Italian leather-upholstered furniture designer and producer, Natuzzi S.p.A., has reported an 18.3% fall in sales in the second quarter of 2005. Net sales decreased to €165.6 million ($208.5 million) down by 18.3% from €202.6 million, ($244.1 million) in the same comparable quarter of 2004. During the same period the total number of seats sold decreased 15.4% percent. For the first six months, net sales dropped 15.8% to €332.1 million ($426.7 million), and total number of seats sold fell by 14.2%.

The company reported net losses of €8.4 million versus net earnings of €12.7 million reported in second quarter 2004.

Italy's largest furniture manufacturer, Natuzzi exports sofas and armchairs to 135 markets on five continents.