This study details the fabrication and comprehensive characterization of the naphthyl-functionalized N-salicylidenaniline derivative, viz. N-naphthyl-3-ethoxysalicylideneimine (1), which was synthesized via a direct ethanol-mediated condensation of 3-ethoxysalicylaldehyde and 1-naphthylamine, and under solvent-free grinding of the starting materials. The asymmetric unit of the 1 crystal structure comprises two molecules. The isolated materials were characterized using IR and 1H NMR spectroscopy. X-ray diffraction confirmed structural integrity and phase purity of the obtained materials. The Hirshfeld surface analysis provided insights into the distinct crystal packing arrangements of 1. The optical properties of 1 were investigated via solid-state diffuse reflectance spectroscopy and solution-phase UV–vis spectroscopy and spectrofluorimetry. Density functional theory (DFT) calculations complemented experimental findings, offering deeper understanding of the compound’s structural and electronic characteristics.