Industrial output in Italy was far weaker than forecast in April according to the latest statistics unveiled on Monday, declining 1.0% from the previous month following an unrevised 0.5% drop in March, underscoring the challenges faced by the country's beleaguered manufacturing sector.

Whereas a poll of nine analysts surveyed by Reuters news agency had indicated a 0.2% monthly gain in April.

Adjusted for workdays and compared year-on-year, industrial output in the eurozone's third-largest economy dropped by 2.9% in April, according to the national statistics bureau ISTAT, marking the 15th consecutive annual decline.

Over the three months leading up to April, output decreased by 1.3% compared to the period from November to January, Reuters reports.

Whereas in April, there were month-on-month declines in the output of investment goods, intermediate goods, and energy products, while the production of consumer goods remained unchanged.

In addition, Italy’s GDP rose 0.3% during the first three months of the year compared to Q4 last year, according to data published at the end of May, following 0.1% growth between October and December 2023.

The majority of analysts have forecast similar subdued growth over the next few quarters, resulting in a full-year expansion ranging between 0.7% and 1%, broadly consistent with the 0.9% rate seen last year.

Last week, the national statistics bureau revised its forecast for 2024 growth upwards to 1.0% from a previous prediction of 0.7% made in December.