NTZ News & Events

Stock futures are trading with a positive lean this morning as markets try to stabilize after a run of mixed sessions. Traders are attempting to shake off recent headline-driven volatility and weigh the implications of softer U.S. jobs data and upcoming inflation readings. The mixed mood reflects continued debate about the Federal Reserve's future policy path even as commodity prices, especially oil, are pushing higher due to geopolitical headlines.Energy markets are notable, with oil climbing following a U.S. order to block sanctioned Venezuelan tankers, a development that has lifted energy stocks and contributed to broader risk-asset support. Silver and gold have also moved higher as precious metals benefit from expectations of easier monetary policy and ongoing economic uncertainty.In pre-market trading, S&P 500 futures rose 0.24%, Nasdaq futures rose 0.26% and Dow futures rose 0.20%.Check out this morning's top movers from around Wall Street, compiled by The Fly.HIGHER -Udemyand Courseraup 28% and 12%, respectively, after the companies announced that they have entered into a definitive agreement to combine in an all-stock transactionHut 8up 19% after announcing a partnership with Anthropic and Fluidstack to accelerate the deployment of hyperscale AI infrastructure in the United StatesNetflixup 1% after the Warner Bros. Discoveryboard sent a letter to shareholders saying Netflix's deal terms are superior to the bid from ParamountAmazonup 1% after Reutersthat the company is in discussions with OpenAI to potentially invest about $10B in the ChatGPT makerLOWER -Paramount Skydance (PSKY) down 2% after the Warner board sent a letter to shareholders saying Netflix's deal terms are superior to the bid from ParamountUP AFTER EARNINGS -Jabilup 6%Natuzziup 4%ABMup 2%General Millsup 1%DOWN AFTER EARNINGS -Spire Globaldown 22%Worthingtondown 9%

Investor sentiment remains cautious as S&P 500 ended the day lower for the third consecutive session, and the evening hours suggest the markets could see more losses on Wednesday.  In the opening hour of trading, S&P e-minis and Dow Industrials are down 0.2% and Nasdaq 100 futures are down 0.3%.In commodities, WTI Crude Oil selloff is finally relenting with modest upside after the contract fell to a 4-year low of $55 in the wake of a sizable draw seen in API inventory figures.  In precious metals, Gold and Silver are coiling in tight ranges, though Platinum has now taken the spotlight with four straight days of solid gains.Energy was the worst performing name in the S&P on Tuesday amid heavy pressure from Oil prices, with Energy Select Sector SPDR ETF (XLE) at a five-week low down 3%.  Tech and Consumer Discretionary were more resilient, with semiconductor and AI-exposed names seeing greater demand.  After four sessions of gains. Health Care Select Sector ETF (XLV) also saw some profit taking,  Treasury yields slipped about 4 basis points, even though the delayed employment data for October-November was widely deemed being sufficiently neutral for the Fed to stay on hold in January.Check out this evening's top movers from around Wall Street, compiled by The Fly.HIGHER AFTER EARNINGS -Natuzzi S.p.A.up 4.0%ALSO HIGHER -Vir Biotechnologyup 4.5% after granting Norgine exclusive license to CHD treatment in Europe, Australia and New ZealandLeonardo DRSup 1.6% after disclosing milestone with first space data transport testDOWN AFTER EARNINGS -Worthington Enterprisesdown 7.6%Lennardown 4.2%

Reports Q3 operating profit EUR (1.7M) vs. (3.8M) last year. Pasquale Natuzzi, Chairman and Chief Executive Officer ad interim of the Group, commented: "The business environment remains highly challenging, marked by persistent geopolitical uncertainty and macroeconomic headwinds that continued to discourage consumer demand and, consequently, sales. On the other hand, I should emphasize the improvement of 4.1% in the gross margin, exceeding the levels recorded in the first two quarters of the year, mainly due to a sales mix with better margins and savings from the rightsizing of our Chinese operations. Gross margin expansion, however, remains limited by higher industrial labor costs. However, the current level of gross result does not allow for an efficient absorption of selling and administrative expenses. While salaries and transportation costs overall decreased in the period, we are aware that they are still too high compared to the size of revenue. Consequently, the management's challenge is to increase sales and optimize the costs structure at Group level. Fully aware of these challenges, management is advancing its discussions with the Company's Board of Directors and Italian governmental institutions to address Company-specific issues and aimed at restoring efficiency and profitability across the Group. We are currently defining the details of a restructuring plan, whose preliminary guidelines include a significant reduction in fixed costs, a more flexible production capacity, the divesting of certain non-strategic Italian assets, and the outsourcing of selected low value-added activities. In this regard, management has recently received a binding offer for the sale of one of its non-strategic assets. In parallel, we continue to invest in product innovation, design and marketing to enhance customer experience and drive new business opportunities, including through the Trade & Contract Division. The Company remains firmly committed to developing new projects and collections and engaging in promotional events-including international trade fairs and design shows, Natuzzi Congresses and targeted initiatives with real estate developers and designers-to consolidate the Natuzzi brand's positioning and support commercial performance. Finally, the search for a new CEO is progressing. We are carefully assessing a shortlist of candidates capable of leading the Company through its restructuring phase with the objective of working towards long-term sustainability. "

Reports Q2 operating profit EUR (2.7M) vs. (0.4M) last year. Pasquale Natuzzi, Chairman and Chief Executive Officer ad interim of the Group, commented: "The operating environment remains challenging, influenced by the geopolitical instability, a weak U.S. real estate market, a strengthening euro, and still high interest rates. These factors have affected consumer confidence and slowed demand of semi-durable goods. Furthermore, trade tensions arising from U.S. trade tariffs have heightened uncertainty, with dealers and their buyers prioritizing inventory reduction over placing new orders. As a result, consolidated sales for the first half of the year fell short of our expectations, making it more difficult to absorb fixed costs and protect margins. We fully recognize that the Group is currently navigating a highly challenging environment and Company-specific factors. These circumstances have weighed on our operating performance and slowed the execution of our turnaround strategy, which have adversely affected our cash-generation capacity. In response to that, management is developing a comprehensive restructuring plan, aimed at restoring efficiency and profitability across the Group, and that marks a clear break from the past. The restructuring plan guidelines envisages: a significant reduction in fixed costs; a more flexible production capacity; the divesting of certain non-strategic Italian assets; the outsourcing of low value-added activities; and a review of the Company's capital structure and potential capital strengthening measures. In the short term, we remain firmly committed to maintaining a rigorous focus on cash flow monitoring, exerting strict controls on discretionary spending, and ensuring disciplined management of working capital to safeguard our liquidity. Although the execution of our commercial strategy is affected by current uncertainties, its core pillars remain unchanged. Investments made in product innovation, design, marketing and customer experience are delivering encouraging results, and the Trade & Contract division represents a short-term growth opportunity."