Kornit Digital is taking steps to “return to profitability” in 2023, including a focus on its new Apollo direct-to-garment (DTG) printer, after reporting losses.
It has revealed that, in the last three months of 2022, it made a quarterly loss of $35.4 million (£29 million) on revenue of $63.3 million (£52.5 million) – broadly in line with warnings made late last year.
At the same time, it published its full-year results, revealing that revenue in the 12 months to the end of December was down by 15% from $322 million (£267 million) to $271.5 million (£225.2 million), contributing to a net loss of $79.1 million (£65.6 million).
Kornit’s chief executive officer, Ronen Samuel, said: “There is no doubt that 2022 was a very difficult year for us, our customers and the global fashion and textile industry.
“We took decisive actions throughout the year to adjust operations to reflect market conditions and are positioning ourselves to return to sustainable, profitable growth.”
Kornit, which is one of the leaders in DTG printing, previewed the new industrial-scale Apollo printer in spring last year. Featuring its Max technology for high-quality automated printing, it is on course to be launched in 2023. The company has also been promoting the benefits of its KornitX operating system for on-demand production.
Ronen said: “In 2023 we will focus on three key areas including: returning to profitability; successfully launching the Apollo and scaling KornitX.
“We believe Kornit continues to be best positioned to lead the retail supply chain transformation of the fashion and textile industry, enabling us to meaningfully scale the business and achieve our long-term financial objectives.”
In the current quarter running to the end of March 2023, Kornit reported that it expected revenue to be in the range of $47 million to $52 million (£39 million to £43 million).
Lauri Hanover, who took over as Kornit’s chief financial officer in November, added: “In the fourth quarter, we started to realise benefits from the actions taken to adjust our business operations to the current market dynamics. We will continue to reallocate resources to higher ROI [return on investment] projects that further position the company for sustainable, long-term, profitable growth.”
Kornit’s machines are distributed in the UK through Amaya Sales UK.
