Good day, ladies and gentlemen. Thank you for standing by. Welcome to the Natuzzi Conference Call for 2024 Second Quarter Conference Call Financial Results. As a reminder, anyone interested in ongoing this call live can join via telephone by dialing plus +1-412-717-963, then passcode 39252103#in addition to the link already provided to join via video. Once again, if you’d like to join via phone, please dial +1-412-717-9633 then passcode 39252103#. At this time, all participants are in a listen-only mode. Following the introduction, we'll conduct a question-and-answer session. Instructions will be provided at that time for you to queue up for questions. Joining us on today's call are Mr. Antonio Achille, Natuzzi's Chief Executive Officer, Mr. Pasquale Natuzzi, Founder and Executive Chairman; Mr. Carlo Silvestri, Chief Financial Officer; and Piero Direnzo, Investor Relations. As a reminder, today's call is being recorded. I'd now like to turn the conference over to Piero. Please go ahead.

Thank you, Kevin, and good day to everyone. Thank you for joining the Natuzzi's conference call for the 2024 second quarter financial results. After a brief introduction, we will give room for the Q&A session. Before proceeding, we would like to advise our listeners that our discussion today could contain certain statements that constitute forward-looking statements under the United States securities law. Obviously, actual results may differ materially from those in the forward-looking statements because of risks and uncertainties that can affect our results of operations and financial condition. Please refer to our most recent annual report on Form 20-F filed with the United States Securities and Exchange Commission for a complete review of those risks. The Company assumes no obligation to update or revise any forward-looking matters discussed during this call. And now, I would like to turn the call over to the Company's Chief Executive Officer. Please, Antonio.

Thank you, Kevin, and thank you, Piero. Good afternoon for the listeners joining from Europe and good morning from the one at least joining from U.S. for our Chairman is. I would like to start with a brief introduction to what has been the second quarter in terms of sales. As you have seen, we reported sales slightly increasing versus the same period 2023, which is not something we are particularly excited about. But definitely, we need to be put in the context where not only our sector has been very soft. And to our knowledge, most of our direct competitors actually are reported in negative comps. But in general, the durable and consumer spending are very much depressed. I believe that one of you is following what's happening to another interesting industry, the automotive where there is serious double-digit decrease in orders. So, we interpret the fact that we have been able to defend our top line. And then if we look at the brand the sales actually has been 3% above last year, is a sign of resilience of our company and also as a testament that our brand journey is very much appreciated and understood our partner and increasing by new partners like real estate developers. I would like to highlight a few elements of our strategy, which has been very much consistent through the cycle. The first element is our effort to continue improving the way we reach our consumer. As you know, Natuzzi has taken the titanic, the gigantic task of turning from a manufacturer to a brand retailer. And one key element is improving the quality of the relationship that we have with our final customers, which can only happen in an environment where we can control the customer experience. Here, retail, which is,…

Antonio, I'm sorry, but we opened it also 47 or 48 Natuzzi store in 2024.

So, Piero, the numbers. We're opening and closing that the balance net number is pretty much stable.

We opened 47 new stores in 2024 with kind of a business environment. I mean -- and these are -- I mean we just opened one store in Denver and Colorado as a direct operating store, but all the others are franchising. So, I mean...

That's correct.

It's even in the, yes. Okay, yes, alright.

So, in imagining the journey of Natuzzi or visualizing the journey of Natuzzi, you're really to have to understand the distance that Natuzzi has been, covering, which is significant because it’s still operating for very few selective relationships in a way in which it just displayed the product. But other than those relationship which are chiefly with larger -- few larger retailers in U.S. The remaining way that the customer can get in contact with Natuzzi is through a very qualified distribution channel where the brand and the merchandising can fully express their potential. A second direction where we are very excited by deceleration is trading contract. Let me clarify first what we mean by each of you toward trading contract. So, trade is the business that we do mostly to our stores, chiefly Natuzzi Italia where the final buyer rather than be an individual consumer is an architectural designer, which is working for the final consumer. That's a very interesting part of business it's exactly the place where we can deploy our strategy, which is Natuzzi Italia not to sell product but to sell project. We believe we have the legitimacy now to step in and house and do a full project for the living room, for the bedroom, for the full house. And this is increasingly happening. And in U.S., for instance, this part of business represents some 20% of the revenue stores, which is incremental versus the revenues we do with the retail consumer. And this business is channeled mostly to our stores. The second company contract is, I would say, pretty new for our company, but it's very important for several of the Italian brands Natuzzi Italia compete with. For contract, we mean in the business where the buyer is a business operator, typically retail --…

[Operator Instructions] Our first question today is coming from David Kanen. Your line is now open.

Can you hear me?

Please proceed, sir.

Now, yes.

Thank you for taking my question and congratulations on selling the building. Congratulations to you, Pasquale. I hope it works out very well. I'm pleased with the outcome. I have a number of questions. I'm going to get halfway through them, and then I'll go back in queue because I don't want to completely monopolize. But could you speak a little bit about, first, the capital that you're going to receive from the disposition of High Point and how you're going to deploy that capital? In the past, we spoke about continuing to fill in white space in North America with Natuzzi Italia stores. I'm hopeful that, that's going to be the continued strategy. So, if you could expand upon that, I'd appreciate it.

Okay. So, you want me to do question-by-question? Okay. I thought you had a longer list. You want to go question by question.

Yes, let's start with that.

Okay. So, the discussion we had with the Board when we decided in 2021 to start this process of selling nonstrategic assets has been very clear. The proceeding, if any of these disposals happened as it happened today, will go on structural improvement basically in two area. One is restructuring and the payback of restructuring is very predictable because, as you know, Dave, when you ask on cost, that is independent from market context or other conditions. So, restructuring is still an area we will prioritize in using that additional resources, and when I talk restructuring is laser focused restructuring. I will not disclose here too many details because they are trade union involved. But our area where the evolution of our business model require restructuring. So, it's not like a flat bound restructuring. The second dimension, you're absolutely right, is retail. The fact we have money doesn't mean any way, Dave, that we're going to be a rush in opening retail. Why is that? First, because -- for three reasons: First, because we still had plenty opportunity to growth organic. Second, even the most recent opening like Denver, testified that is very, very delicate to find the right location in the right place and the right condition. So, we're going to be continuing looking for retail opportunity, but always with a very structured approach. We don't want to jump in. The retail, it will be predominantly when we talk about retailer to Italian North America. There might be other selective opportunity in other geography, but we will be predominantly North America for Natuzzi. So long answer to say what the proceeding of Natuzzi High Point will be safeguarded and reinvested for restructuring and retail. I'm using this order because also in this context, I believe restructuring assume for you a shareholder offer a more predictable return in the short term, which doesn't mean we will not open stores. But I'm saying those two levers, maybe in this phase will be used in this sequence. No, you're muted, I believe.

Am I still mute?

No, we can hear you.

Okay. So, I should have commented at the beginning, I was pleasantly surprised with the operating results in light of the fact that we're in really a very severe furniture recession due to very low turnover of homes in North America. And I'm hopeful that when interest rates are lower, we'll see a reversion to the mean. And implicitly, I think there's probably 20% to 25% organic upside from where we are. But when I do my own math on the adjusted gross margin at 39.3%. And then also some of the preopening expenses and onetime expense that were in SG&A. I come up with a kind of an adjusted if you will, if you were a U.S. company non-GAAP operating profit of $2 million, which I'm very pleased with, and I congratulate you and your team on it and I'm happy that you continue to look for ways to be more efficient. So, I look forward to when we get the reversion to the mean in sales and opening up stores, it seems like we're positioned to do very well. So, congratulations, and thank you for your hard work in that Antonio and team. So, my next question is on China. I know that China has been very soft, and you're levered to that with your JV with Kuka. However, I've been doing my own proprietary work on it. And the Chinese government has aggressively been lowering interest rates to stimulate demand in housing. And we have been tracking furniture sales over the last month or so. And we see a clear inflection. Now we don't -- we do not have data in particular on Kuka or Natuzzi. But we do see that in Mainland China, there has been an inflection. Now, I'm not saying it's off to the races, but are you guys seeing a turn or an inflection there most recently as well.

Thank you, day for the positive notes and for the long-term trust in our hard work on commenting on margin for -- we move on to China, not dreaming, sky dreaming, but think 400 is a natural, let's say, revenue potential of this company without progression, 11 percentage points of gross margin almost translates in 20 to 30 EBIT number because then the fixed costs are paid. So, I believe that if there is a rebound in retail real estate, which is a primary driver for our industry. The Company now is set to generate a much higher return on the investments. On China, the market is very soft, as you know. I'm just drawing analogy with other sector, you are seeing caring posting yesterday result, 11% sales down 20% sales down in China. And we're talking about item that, yes, a luxury, but compared with our price point. They are one set of the price of one seat of three-seater sofa. So, the market is very tough. We are lucky to have a partner which is robust. As you know, the government has announced this stimulus package because the situation is so severe that they had to step in as somehow the Fed had to step in the U.S. when there was the COVID crisis. The impact of that still need to be visible because it's very recent. But everyone is hoping, and we are between those ones that this will be gradually easing the situation, which has been extremely, extremely difficult. I've been, as I mentioned, in Shanghai in August last time, restaurants were empty, department stores were empty. The sales bringing to the second floor we're somehow stopped to save energy. And I'm not talking about furniture mall, I'm talking about fashion mall. Then you go to the department furniture mall, the situation was even worse. So, to say I hope it will provide as the intention of the government is a positive acceleration, yet the situation is quite difficult. In the meantime, we are working on what we can control. As I mentioned, we have been extensively worked with the JV to bring them closer to us to make sure the retail and the merchandising marketing choices are taking fully leverage our knowledge, so that we are preparing our operation to intercept this positive rebound of the market, which I cannot predict it will happen next month or in the first part of 2025. Definitely, I believe we are closer to what is the bottom because if the government step in situation can only improve.

Okay. Can you hear me?

Yes, we can.

So, after this question, I'm going to go back in queue and then probably have a few follow-ups. But in particular, your initiatives in the wholesale/gallery business, going forward, do you have net new doors that you'll be in? Or is it down the same, I know you're restructuring refreshing you're trying to come up with ways to drive organic growth at the doors you're in. But could you give me an idea, are there net increases or decreases in doors?

For gallery, there is an increase of 43 new ones, and we plan to have additional 25 by the end of the year. So, this is a net addition. A lot of venue relies not only the net additional, but in the upgrading of the gallery because gallery has been historically quite a broad concept. There were partners, which were really aligned with the brand that we're representing well, the brand, having right merchandising, right let’s say, the customer experience, other that were using it more tactically more in the live manner. We are elevating the banner of course, gradually because we also recognize that our partner also facing difficult in investing, but we want to show them that by doing the right things at the gallery level, they can have higher returns. And our expectations are increasing in terms of what is the minimum level of investment in customer experience gallery should combine. So, to your question, 43 openings, 25 expected by end of the year, but there is a massive job in upgrading the existing one because a part of it, especially in U.S. where quite a loose implementation of what is the new gallery concept we have.

Okay. You answered the question.

Yes. Just one moment and I will link back to what also Pasquale, our Chairman said on China. I can tell you that there is not a lot of happening in China, not a lot of happening in China cross sector is very, very quiet in the market. We had 16 dealers visiting the Milan this week. So, 16 dealers which operate franchising, building our Milan this week, almost half of them decided needed to open new store or to run new stores. So first of all, I want to recognize how brave they are because investing in this circumstance in China is very brave. At the same time, and I say in humble manner is also a result of their work we have done in showing what the strength of Natuzzi can be. So, I challenge you to find other brands which are opening stores right now in China. I don't want to quote, but even the larger fashion group, French luxury group, they mentioned they will not open anything more before 2026. So, I think this is, again, talks a lot about the potential strengths of this group that you only see partially today in the top line numbers. Kevin, I think Dave has been very kind as usual to leave space for other questions. For other participants, maybe you want to quickly check if there's people in queue.

[Operator Instructions] And we do have a question at this point coming from George Melas from MKH Management. Your line is now open.

Just a simple question. I don't know if it's a simple question, but on the U.S., retail results so far, you have open new stores, you have invested a fair amount of money and focus on the U.S. operation. Tell us a little bit more about it, about the performance of the stores, the variability in the performance of the stores and kind of what you've learned? And also, if you've started being able to leverage the presence that you already have in galleries and elsewhere in the U.S. with those stores.

Thank you, George. Our Head of Global Retail Excellence was actually invited to this call, and I'm sure it would have addressed the question much more effective than I would do, but he’s busy with some meeting in a point. So, we'll start addressing it and then I will wait for him maybe to get more specific. So first, let me talk about the performance of our store. Piero, you can keep me honest because we use those data a few years press release ago. So, on average, our store before the COVID in 2019 was generating sales in the range of 1.8, 1.9 per store. I mentioned it that by heart, so I might be off of a bit, but Piero meanwhile we're streaming the data. Now, the average is more in the range of four, even those is not clearly the best year for retail, for furniture retail in U.S. So, on average, we improved a lot. Having said that, to your question, there is still a significant variability among stores. That variability depends on many factors. First one is location. We have to recognize that the brand evolved, some stores have been opened a few years ago. So not necessarily, they are in the location to date, we would open Natuzzi Italia store considering where the collection has moved. So, location has an impact. And we are, of course, looking at the tail of stores where we believe location maybe is not a good one which doesn't mean it's not in the right city, but retail really changed, if you change the two blocks, it's already a different environment. So, location is -- our first thing is affecting our performance. The second element is the team quality. We have codified what is the real team. As I…

Great. Thank you.

I don't know, Piro. Did you retrieve the data from the press caller, the last press caller?

No, I did not. But if George wants, I can provide him with data.

Our next question is coming from Steve Emerson from Emerson Investment Group. Your line is now open.

Well. First of all, congratulations, and thank you to the whole team to come to a stable point, cut the losses in this very tough retail environment.

Thank you, and please go ahead.

Yes. The High Point sale, how much is net cash coming back to the Company?

Okay. Carlo, I'll leave that to you.

So, let's say, the process is still in…

One sec.

Yes, the offer, we have received from our major shareholders is $12.1 million. I can't disclose right now the net book value, but the offer is above the net book value we're going to have. And we're going have, all the cash will be net cash on these sales become in our accounts. So, all the sales is of $12.1 million is all cash.

Excellent. Will this cash then enable a fairly rapid expansion in the U.S. once conditions stabilize? What kind of growth in new openings do you expect in North America? Let's assume furniture sales and housing start having reasonable growth.

So, thank you for the question. As we addressed somehow before with Dave, we definitely are committed to expand Natuzzi's, particularly Natuzzi Italia presence through direct operator stores. We just completed five opening because four last year and one this year. So, we want to really to make sure those stores become at regime, but, we might look at again at new opening in 2025. Definitely, we see potential for additional directly operated store in U.S. And this is, as I mentioned, one of the potential areas where the proceeding of High Point will be going. So definitely, this is confirmed. We're not changing our strategy. I hope you understand that this market and the fact we just opened five new stores advised us to be gradual. Because, opening right store is great, opening wrong stores because you don't have right team or wrong location is one of the worst investment or worst legacy you can add. Because then you are committed with them.

Okay. And is High Point sale lease back or actually excess property that you don't need?

So, it’s not a sale leaseback in the meaning that, when we were considering sales leaseback to our brokerage agency. They were requiring, the potential buyer for some 12 to 14 years of commitment of minimum lease, which was very significant and which would have caused us to increase by $20 million our liability in correspondence of debt obligation. So, this is absolutely not the case. And that's the reason also why our board and myself, we're looking at those sales and leaseback opportunity quite with skepticism. This is dry sales, how do they say, technically. So, it's just selling the building. The new owner might consider renting us space at market value since we are still using the space for our showroom, but there won't be long-term obligation that will force us to accrue any liability for that. So dry sales, it's dry sales.

Okay. So maybe our rent will go up, what, $100,000, $200,000 a year that's all?

I mean, it will be a market calculation. But in doing that, remember that right now, we were early spending some €0.5 million and maintenance cost. So that, of course, will not be any more on our book. So, I would say definitely that will be compensating for our rent. Right now, I cannot say what would be our final decision in terms of how many square feet we will ask to a potential lease. It will be quite an easy deal because we have very clear what is the market value for leasing office, the last space and showroom at the first floor. So it won't be, I would say, a complicated this decision to be made, but I will not -- I'm not to be able to give you a precise figure. Just in the question, remember that, yes, we might have some active -- sorry, some lease to pay some rent to pay. But at the same time, we won't have any more the maintenance.

And finally, now that you will have the proceeds cash proceeds, would you think that a share buyback would be in the best interest, the best investment you can make now.

So, that is an interesting question and it's a material definitely for our Board. I definitely see what could be the rationale of buyback. As we mentioned, there is many opportunity that will also could be a good direction where to invest is proceeding. So, we have not taken otherwise, we would have announced it any decision on share buyback. I understand it's a legitimate question, but I also believe there is a very good opportunity from our operations at this moment.

[Operator Instructions] We do have a follow-up from David Kanen from KWM. Your line is now open.

Okay. I guess the first -- a couple of more questions. Could you sketch out for -- can you guys hear me?

Yes, we do.

Okay. Could you sketch out on trade, what your, let's call it refocused strategy is? I understand like designers generate a lot of business and they can really grow sales in your four walls. What are you guys doing differently? Can you share with me? I'm pleased to hear it. How are you going to execute it? What's a little bit different now versus over the last couple of years in terms of your trade initiative and how you're going to grow that?

Yes. So, to cut it short, I would say pretty much everything is given in the sense, we now have a very -- can you maybe mute? There with some rebound -- sorry. So, there is a very well understanding of what it takes to win. And this is in course of being implemented, and there are several new aspects, and I will mention some. First of all, collection. We recognize that the traditional strength Natuzzi, which is still important. And actually, we have doubled down on that for the consumer. This idea of comfort, which we branded into ComfortNet. It's very important to talk and have a dialogue with the consumer. Things for instance about America, where we discuss a lot. The consumer recognized Natuzzi and actually reward Natuzzi for this idea of confidence. But if you want to talk with a designer, you need to have within the collection a different kind of project as well. So, there's a reason why we partner with some of the most renewed architect globally. I'm talking about Marcel Wanders. I'm talking about, Paola Navone, Marino Marini. So really people which sit on the top of the pyramid, which have been reinterpreting with humble approach. The style Natuzzi make it more design oriented. And we came up with a very incredible project that we'll be pleased to show some of you. Like last collection, we have a project from Karim Rashid. He's an Iranian designer who lives in New York, very visionary, but humble enough to understand what Natuzzi mean and design this project. Memoria, really as a tribute to the curve shape of Natuzzi, which then is taken by the Natuzzi R&D to make it a product because then there are very strict R&D element that need to be taken. So…

In other words, Antonio or the gentleman that are asking a question. So, the brand moved from product to project. So, in other words, each individual project we have in our store we can configurate for different type of consumer. So, when the many, many consumers, they go to the architect, to the designer and they ask to decorate their home, they come to us with them in the store people capable to manage this kind of conversation deal or business. And consequently, we have what we call also floor planner. We have all the tools. We have, I mean, project that allow us to design a home for customer where the ticket become 100,000, 80,000, 150,000. That has to do with trade. We have, I mean, some store where 30% or 35% of the business is trade. In other word, there are consumer. They come directly in our store. They choose the product, the project, and we provide to give a service to them and sell the product. But then there are designers, architects. They come in our store and they ask us to design the project for the home of their client, their customer. But there is, Antonio, also, in one of our stores in Miami, I believe, a week ago or two weeks ago, we sold a number of sofa or product for a hotel for €8 million, I believe, just one sale for €8 million.

That's correct. That's very correct.

Then we have, I mean, November 12 in Dubai, we should promote and present in the stadium to a number of potential consumers, the Natuzzi apartment home. And we already have a contract in our hands, I believe Antonio for the Natuzzi Harmony Residences for another 55 apartments. So, there is a building which is recovering our name Natuzzi Harmony Residences. We designed the building. We designed the apartment. We designed the furniture. Everything would be just a Natuzzi in Dubai. A lot of things, I mean, we are certainly doing, which is very much different than sending the sofa in other worlds, okay.

Absolutely. I believe this is a completely new area. We're going to be holding at least definitely a press release because some of the elements we just mentioned are still under confidentiality agreement, we may have a different call. So, David, this is really -- I mean, this is 65 years of history, but the last episode happening very rapidly. So, some of the things we are discussing really materialized over the last six months, some over the last 12 months is really accelerating. Maybe they were happening here and there, but not in a systematic way.

Okay. Pasquale, thank you for sharing that and sketching out for us with the potential and long-term opportunities in trade and construction. Essentially, I mean it sounds like construction is almost, I mean, a new opportunity. But in terms of the traffic that comes into your four walls, you're engaging more with the customer and rather than just selling them a sofa, you're helping them design their home, which should translate to higher average order volume. That's essentially what you're saying for my interpretation. And yes. I appreciate.

The way you described is way better than mine, and that's because of the language. In Italian, I would explain that they said to me.

You did well. You did well. So, the last two questions, Antonio, I appreciate the fact that were we in the furniture recession and you want to be conservative, and essentially, you're allocating your efforts and resources to organic growth that require little to no capital. It seems like that's what you're focusing on. And you're approaching filling in the white space in North America very conservatively. But longer term, if I could ask you to address this because I think it's helping the results. The North American stores clearly are helping results. Am I correct in saying there's -- again, you want to -- I want to emphasize what you're saying, which is we want to very thoughtfully and judiciously open new stores to make sure we have the right people that are trained in the right location? But longer term, five, eight years from now, can we not add 50 to 60 stores over time, okay, executed well. When I look at our competitors, when I look at our house and RH and their boxes are larger than ours, they're at those numbers. Is that a realistic long-term goal to open up an additional 50 or 60 stores?

I will say, long term, definitely, there is opportunity to double and triple our business in U.S. branded business. We're not going to go back to unbranded. A lot of that will happen to stores. We do believe that in some areas the gallery, which basically is a store just within a multi-brand environment is also a line opportunity to reach state, which will not sustain a full fledge store. But definitely, the opportunity in U.S. are massive and some -- significant part of that will happen to directly operated store for Natuzzi Italia. We discussed that in the past, our long-term strategy, if you talk ‘18, ‘19 years, definitely has not changed. I hope you understand that we need to be prudent, first because we want to bring more organic growth also in the last five stores we just opened. Second because retailers need to be an area where we minimize mistake in terms of location.

Okay. And then, here, I appreciate what you're saying. And my last question is on e-commerce. Many of our competitors are generating tens of millions, even hundreds of millions of dollars. Now it seems to me there are two home furnishing e-tailers, e-commerce companies, one of them begins with a W, and everybody knows that are massive, okay. It seems to me like that it's not the right venue for Natuzzi Italia, selling $10,000, $15,000 sofas, but on the lower end with Editions $2,000 sofas, it seems like it's a really good fit. My question is, does -- can Divani & Divani also be sold potentially in the U.S. at these large e-commerce, home furnishing companies along with Editions. And is that something that you're open to? Because I've kind of reached out to one of them, and they seem to be very interested and it kind of got put on hold. They have their own unique issues they're working through. But it seems like there's interest there. Is that something that you're interested in? And then could you do both Editions and Divani & Divani there?

That is a very interesting perspective. So just a couple of, let's say, point I want to make. First of all, I agree with you. For Natuzzi Italia, e-commerce will be more a channel to drive traffic to the store because if you want to sell projects, not product, it's difficult to envisage that online. There may be some improved product like revive or other that can be actually purchased online, but otherwise for Natuzzi Italia, there will be more dry traffic to the store. For let's say, the second brand. That is still an opportunity where I feel we have not done equally well like another area like trade, for instance, because we still need to deploy it carefully. On the idea of the Divani & Divani, there is one element, David. I won't be problem solving here, but there is one element that we need to be cautious. The Divani & Divani, which is a completely different banner to a great extent, the same collection. Having said that, I believe that for Natuzzi Editions, the digital opportunity is something we still need to address properly, especially in U.S. So, I don't want to be defensive. I think you are right on that. I don't want to be defensive and let's take the blame on me. We are later than I wish that we could be now. I think we've done great work on retail, great work on merchandising. On any other dimension, a great work on margin that was a bit later than I wanted.

Okay. So, it's something that's on your radar or to do?

Yes. Yes. Yes. 100%.

Well, thank you guys. Congratulations on navigating a very difficult environment and again on the sale of the building, and I look forward to the back half of the year and more importantly, 2025, I think, is going to be a recovery year. Interest mortgage rates should decline and housing transactions can only go up from here. So, I wish you well.

Thank you, Dave, and thank you all. I'll leave for to Pasquale for closing remark on my side. I really appreciate this conversation and the tone. I don't want to convey the message we accomplished with what we have achieved so far. There is a lot of work we need to be done. We believe the Company definitely deserve higher sales. We focus on the economics of the Company. We focus on the retail transformation and the brand transformation, but there is still a lot that we need to do. Thank you. Pasquale. I'll leave it to you for your final remarks.

As you know, Antonio, I'm, as the founder of the Company, I'm writing down the Natuzzi brand bible. Natuzzi brand bible gives a very clear guideline of what the Natuzzi brand stands for, okay? I'm writing down the DNA, the harmony code, a digitalizing harmony code, retailer religion. I believe that the brand is exactly like religion. And the store, the retailer is the church where the brand needs to be -- where the leisure needs to be practiced. We are doing a really good job in this very difficult time to define clear guideline for the brand management and also for the retailer way we should manage. But I really appreciate the way, Antonio, you have been describing the entire quarter and period, and also all the questions raised by the shareholders. They have been very constructive. I really thank you very much to everyone for the constructive approach, which we need. Thank you again.

Thank you. That does conclude today's teleconference and webcast. You may disconnect your lines at this time, and have a wonderful day. We thank you for your participation today.

Thank you all.