Italian manufacturer of leather-upholstered furniture Natuzzi S.p.A. has reported a fall in sales for the fourth quarter and fiscal year ended on December 31, 2005.

In the fourth quarter, total net sales decreased by 1.5% to €190.6 million ($226.6 million), down from the €193.6 million ($251.5 million) reported for the same quarter of 2004. During the same period, total seats sold increased by 4.1%. For the full year, total net sales decreased 11.1% from 2004 to €669.9 million and the number of units sold decreased by 8.4%.

During the last three months of 2005, upholstery net sales were up 3% at €173 million from €167.9 million in the same period last year. However, leather-upholstered furniture sales reached €147.4 million - an increase of 6.4% over last year's fourth quarter.