Latest news with #KornitDigitalLtd
Yahoo
15-05-2025
- Business
- Yahoo
Kornit Digital Ltd (KRNT) Q1 2025 Earnings Call Highlights: Strong Revenue Performance Amid ...
Release Date: May 14, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Kornit Digital Ltd (NASDAQ:KRNT) met its Q1 2025 revenue expectations with $46.5 million and an adjusted EBITDA margin of 8.4%, demonstrating strong financial performance. The company generated positive cash flow from operations, highlighting the strength of its business model and disciplined execution. Kornit Digital Ltd (NASDAQ:KRNT) is well-positioned to benefit from the apparel industry's shift towards on-demand, local production, driven by changing consumer demands and trade policy developments. The Apollo system has been successfully adopted, showing strong growth in impressions and replacing traditional screen printing methods, which indicates a significant market opportunity. The company's AIC model has reached $14.5 million in annual recurring revenue, validating its strategy of emphasizing recurring revenue streams. Macro conditions have delayed some planned system purchases in Q1, indicating potential challenges in the sales cycle. The company faces uncertainties due to evolving trade policies, which could impact costs and operations. Service revenue declined year over year due to fewer upgrades of the Atlas Max, partially offset by upgrades to Max Plus with lower average selling prices. The company anticipates a negative adjusted EBITDA margin in the range of -4% to 4% for Q2 2025, reflecting ongoing challenges. A major Apollo customer delayed their purchase, which could impact the company's ability to meet its target of delivering 30 Apollo systems this year. Warning! GuruFocus has detected 2 Warning Signs with KRNT. Q: What are you seeing from customers given recent changes in tariffs and trade supply chains? A: Ronan Samuel, CEO: The fashion textile market is undergoing significant disruption, with consumers demanding instant gratification, variety, and fast delivery. Traditional mass production models in low-cost countries are becoming obsolete, leading to waste and inventory issues. Recent tariffs and trade changes are accelerating the shift towards local manufacturing. Brands and retailers are actively seeking to connect with local manufacturers to remain relevant and reduce inventory. Kornit is playing a key role in this transition, with technology like Apollo enabling mass production and attracting new customers, particularly screen printers entering digital for the first time. Q: Can you discuss the Apollo placement number for the year versus previous expectations for 30 systems? A: Ronan Samuel, CEO: Feedback on Apollo has been overwhelmingly positive, with customers seeing it as a game-changer in terms of quality, automation, and cost. The pipeline is strong, primarily with new customers from the screen printing market. We still expect to deliver approximately 30 Apollo systems this year, despite some delays from customers planning multiple system purchases. The pipeline is filled with new and existing customers, and we remain optimistic about Apollo's future. Q: Can you unpack the ARR number for AIC and provide context on its growth? A: Ronan Samuel, CEO: The ARR of $14.5 million is a mix of Apollo and Atlas systems, exceeding expectations. The pipeline for AIC is strong, with more deliveries expected in Q2 and beyond. The ARR reflects minimum annual volume commitments, and we anticipate significant growth in AIC revenue, contributing to stronger performance in the second half of 2025. Q: How long should we expect for the catalysts like the shift to on-demand and closing the de minimis loophole to play out? A: Ronan Samuel, CEO: While some growth is short-term, such as Apollo's impact on mass production, major brands are undergoing pilots and starting small before scaling. We expect some benefits in H2 2025, with more significant impacts in 2026 as brands leverage on-demand production and technology. Q: Are there any differences in how direct sales and the AIC model are impacted by tariffs? A: Laurie Hanover, CFO: For tariff purposes, the price at which products are sold from Israel to the US subsidiary is what matters, not whether it's a direct sale or AIC. The price is on a cost-plus basis, and parts manufactured in the US are excluded. We expect only a modest impact on cost of goods sold from tariffs. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
14-05-2025
- Business
- Yahoo
Kornit Digital: Q1 Earnings Snapshot
ROSH-HAAYIN, Israel (AP) — ROSH-HAAYIN, Israel (AP) — Kornit Digital Ltd. (KRNT) on Wednesday reported a loss of $5.1 million in its first quarter. On a per-share basis, the Rosh-Haayin, Israel-based company said it had a loss of 11 cents. Earnings, adjusted for one-time gains and costs, came to 1 cent per share. The digital textile printer posted revenue of $46.5 million in the period. For the current quarter ending in June, Kornit Digital said it expects revenue in the range of $49 million to $55 million. _____ This story was generated by Automated Insights ( using data from Zacks Investment Research. Access a Zacks stock report on KRNT at Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
San Francisco Chronicle
14-05-2025
- Business
- San Francisco Chronicle
Kornit Digital: Q1 Earnings Snapshot
ROSH-HAAYIN, Israel (AP) — ROSH-HAAYIN, Israel (AP) — Kornit Digital Ltd. (KRNT) on Wednesday reported a loss of $5.1 million in its first quarter. On a per-share basis, the Rosh-Haayin, Israel-based company said it had a loss of 11 cents. Earnings, adjusted for one-time gains and costs, came to 1 cent per share. The digital textile printer posted revenue of $46.5 million in the period. For the current quarter ending in June, Kornit Digital said it expects revenue in the range of $49 million to $55 million.
Associated Press
12-02-2025
- Business
- Associated Press
Kornit Digital Reports Fourth Quarter and Full Year 2024 Results
Fourth quarter revenues of $60.7 million, in line with previous guidance Fourth quarter GAAP net income of $2.2 million; non-GAAP net income of $8.7 million Successfully delivered positive EBITDA and strong cash flow from operating activities in both Q4 and for the full year 2024 Breakthrough innovations and continued momentum across our markets set the stage for profitable growth in 2025 ROSH-HA`AYIN, Israel, Feb. 12, 2025 (GLOBE NEWSWIRE) -- Kornit Digital Ltd. ('Kornit' or the 'Company') (Nasdaq: KRNT), a global leader in sustainable, on-demand, digital fashion and textile production technologies, today reported its results for the fourth quarter and full year ended December 31, 2024. 'Our fourth quarter performance was fueled by a successful peak season and growing impressions across our key customers,' said Ronen Samuel, Kornit's Chief Executive Officer. 'One of the most exciting highlights of Q4 was the Apollo platform's performance. Having delivered 15 Apollo systems throughout the year, with most becoming fully operational during this critical period, customer feedback has been excellent, reinforcing Apollo's role as a key enabler of mass-scale digital production.' Mr. Samuel continued that 'at the beginning of 2024, we set clear objectives: return to positive EBITDA, generate meaningful cash flow, and establish a scalable, disciplined model that fuels long-term expansion. Thanks to the dedicated efforts of our teams, I am pleased to report that we not only delivered on these goals but also introduced game-changing innovations, strengthened our market position, and expanded into new strategic adjacencies.' Mr. Samuel concluded, 'As we stated in our last call, 2025 is about execution—translating the strong foundation built in 2024 into scalable, profitable growth, strengthening our market leadership and driving the industry forward with our innovative solutions and business models.' Fourth Quarter 2024 Results of Operations Total revenue for the fourth quarter of 2024 was $60.7 million compared with $56.6 million in the prior year period, due primarily to growth in products revenue. GAAP gross profit margin for the fourth quarter of 2024 was 51.3% compared with 25.8% in the prior year period. On a non-GAAP basis, gross profit margin was 55.1% compared with 48.6% in the prior year period. GAAP operating expenses for the fourth quarter of 2024 were $32.3 million compared with $42.4 million in the prior year period. On a non-GAAP basis, operating expenses decreased by 6.9% to $28.0 million compared with the prior year period. GAAP net income for the fourth quarter of 2024 was $2.2 million, or $0.05 basic and diluted per share, compared with net loss of $22.9 million, or ($0.48) basic and diluted per share, for the fourth quarter of 2023. Non-GAAP net income for the fourth quarter of 2024 was $8.7 million, or $0.18 basic and diluted per share, compared with non-GAAP net income of $3.8 million, or $0.08 per basic share, for the fourth quarter of 2023. Adjusted EBITDA for the fourth quarter of 2024 was $8.4 million compared with adjusted EBITDA of $0.2 million for the fourth quarter of 2023. Adjusted EBITDA margin for the fourth quarter of 2024 was 13.8% compared with 0.3% for the fourth quarter of 2023. Full Year 2024 Results of Operations Total revenue for the full year 2024 was $203.8 million compared with $219.8 million in the prior year, due primarily to lower systems revenue. GAAP gross profit margin for the full year 2024 was 45.0% compared with 30.5% in the prior year. On a non-GAAP basis, gross profit margin was 48.6% compared with 38.4% in the prior year. GAAP operating expenses for the full year 2024 were $129.1 million compared with $154.5 million in the prior year. On a non-GAAP basis, operating expenses decreased by 14.0% to $109.8 million compared with the prior year. GAAP net loss for the full year 2024 was $16.8 million, or ($0.35) basic and diluted per share, compared with net loss of $64.4 million, or ($1.31) basic and diluted per share, for the full year 2023. Non-GAAP net income for the full year 2024 was $10.1 million, or non-GAAP basic and diluted net income per share was $0.21 and $0.20, respectively, compared with non-GAAP net loss of $20.4 million, or ($0.42) basic and diluted per share, for the full year 2023. Adjusted EBITDA for the full year 2024 was $0.3 million compared with adjusted EBITDA loss of $30.9 million for the full year 2023. Adjusted EBITDA margin for the full year 2024 was 0.2% compared with –14.0% for the full year 2023. First Quarter 2025 Guidance For the first quarter of 2025, the Company expects revenues to be in the range of $45.5 million to $49.5 million and adjusted EBITDA margin between –9% to –4% of revenue. Fourth Quarter and Full Year 2024 Earnings Conference Call Information The Company will host a conference call today at 8:30 a.m. ET, or 3:30 p.m. Israel time, to discuss the results, followed by a question-and-answer session with the investor community. A live webcast of the call can be accessed at To access the call, participants may dial toll-free at 1-877-407-0792 or 1-201-689-8263. The toll-free Israeli number is 1 809 406 247. To listen to a replay of the conference call, dial toll-free 1-844-512-2921 or 1-412-317-6671 and enter confirmation code 13751316. The telephone replay will be available approximately three hours after the completion of the live call until 11:59 pm ET on February 26, 2025. The call will also be available for replay via the webcast link on Kornit's Investor Relations website. About Kornit Digital Kornit Digital (NASDAQ: KRNT) is a worldwide market leader in sustainable, on-demand, digital fashion, and textile production technologies. The company offers end-to-end solutions including digital printing systems, inks, consumables, software, and fulfillment services through its global fulfillment network. Headquartered in Israel with offices in the USA, Europe, and Asia Pacific, Kornit Digital serves customers in more than 100 countries and states worldwide. To learn more about how Kornit Digital is boldly transforming the world of fashion and textiles, visit Forward Looking Statements Certain statements in this press release are 'forward-looking statements' within the meaning of the Private Securities Litigation Reform Act of 1995 and other U.S. securities laws. Forward-looking statements are characterized by the use of forward-looking terminology such as 'will,' 'expects,' 'anticipates,' 'continue,' 'believes,' 'should,' 'intended,' 'guidance,' 'preliminary,' 'future,' 'planned,' or other words. These forward-looking statements include, but are not limited to, statements relating to the Company's objectives, plans and strategies, statements of preliminary or projected results of operations or of financial condition and all statements that address activities, events, or developments that the Company intends, expects, projects, believes or anticipates will or may occur in the future. Forward-looking statements are not guarantees of future performance and are subject to risks and uncertainties. The Company has based these forward-looking statements on assumptions and assessments made by its management in light of their experience and their perception of historical trends, current conditions, expected future developments and other factors they believe to be appropriate. Important factors that could cause actual results, developments and business decisions to differ materially from those anticipated in these forward-looking statements include, among other things: the duration and severity of adverse macro-economic headwinds that were caused by inflationary pressures and higher interest rates, which have impacted, and may continue to impact, in an adverse manner, the Company's operations, financial position and cash flows, in part due to the adverse impact on the Company's customers and suppliers; the Company's degree of success in developing, introducing and selling new or improved products and product enhancements including specifically the Company's Poly Pro and Presto products, and the Company's Apollo direct-to-garment platform; the extent of the Company's ability to consummate sales to large accounts with multi-system delivery plans; the degree of the Company's ability to fill orders for its systems and consumables; the extent of the Company's ability to increase sales of its systems, ink and consumables; the extent of the Company's ability to leverage its global infrastructure build-out; the development of the market for digital textile printing; the availability of alternative ink; competition; sales concentration; changes to the Company's relationships with suppliers; the extent of the Company's success in marketing; and those additional factors referred to under 'Risk Factors' in Item 3.D of the Company's Annual Report on Form 20-F for the year ended December 31, 2023, filed with the SEC on March 28, 2024. Any forward-looking statements in this press release are made as of the date hereof, whether as a result of new information, future events or otherwise, except as required by law. Non-GAAP Discussion Disclosure The Company presents certain non-GAAP financial measures, in this press release and in the accompanying conference call to discuss the Company's quarterly results. These non-GAAP financial measures reflect adjustments to corresponding GAAP financial measures in order to exclude the impact of the following: share-based compensation expenses; amortization of intangible assets; restructuring expenses; foreign exchange differences associated with ASC 842; and non-cash deferred tax income. The Company defines 'Adjusted EBITDA' as non-GAAP operating income (loss), which reflects the adjustments described in the preceding paragraph, as further adjusted to exclude depreciation expense. The purpose of the foregoing non-GAAP financial measures is to convey the Company's performance exclusive of non-cash charges and other items that are considered by management to be outside of the Company's core operating results. These non-GAAP measures are among the primary factors management uses in planning for and forecasting future periods. Furthermore, the non-GAAP measures are regularly used internally to understand, manage, and evaluate the Company's business and make operating decisions, and the Company believes that they are useful to investors as a consistent and comparable measure of the ongoing performance of the Company's business. The Company's non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP measures and should be read only in conjunction with the Company's consolidated financial statements prepared in accordance with GAAP. Additionally, these non-GAAP financial measures may differ materially from the non-GAAP financial measures used by other companies. The reconciliation tables included below present a reconciliation of our non-GAAP financial measures to the most directly comparable GAAP financial measures. Jared Maymon [email protected] KORNIT DIGITAL LTD. AND ITS SUBSIDIARIES CONSOLIDATED BALANCE SHEETS (U.S. dollars in thousands) December 31, December 31, 2024 2023 (Unaudited) (Audited) ASSETS CURRENT ASSETS: Cash and cash equivalents $ 35,003 $ 39,605 Short-term bank deposit 205,934 235,600 Marketable securities 222,937 57,292 Trade receivables, net 65,459 93,632 Inventory 60,342 67,712 Other accounts receivable and prepaid expenses 25,714 28,546 Total current assets 615,389 522,387 LONG-TERM ASSETS: Marketable securities 48,086 223,203 Deposits and other long-term assets 10,542 8,209 Severance pay fund 306 283 Property, plant and equipment, net 45,342 50,905 Equipment on lease, net 13,880 - Operating lease right-of-use assets 19,054 23,782 Intangible assets, net 5,721 7,647 Goodwill 29,164 29,164 Total long-term assets 172,095 343,193 Total assets 787,484 865,580 LIABILITIES AND SHAREHOLDERS' EQUITY CURRENT LIABILITIES: Trade payables 9,019 6,936 Employees and payroll accruals 13,101 12,121 Deferred revenues and advances from customers 2,339 2,158 Operating lease liabilities 3,311 5,073 Other payables and accrued expenses 16,561 23,814 Total current liabilities 44,331 50,102 LONG-TERM LIABILITIES: Accrued severance pay 1,051 1,080 Operating lease liabilities 15,065 18,533 Other long-term liabilities 138 198 Total long-term liabilities 16,254 19,811 SHAREHOLDERS' EQUITY 726,899 795,667 Total liabilities and shareholders' equity $ 787,484 $ 865,580 KORNIT DIGITAL LTD. AND ITS SUBSIDIARIES CONSOLIDATED STATEMENTS OF OPERATIONS (U.S. dollars in thousands, except share and per share data) Three Months Ended Year Ended December 31, December 31, 2024 2023 2024 2023 (Unaudited) (Unaudited) (Audited) Revenues Products $ 47,711 $ 43,573 $ 148,086 $ 161,045 Services 12,985 13,012 55,739 58,741 Total revenues 60,696 56,585 203,825 219,786 Cost of revenues Products 18,088 23,125 61,697 91,516 Services 11,479 18,888 50,366 61,313 Total cost of revenues 29,567 42,013 112,063 152,829 Gross profit 31,129 14,572 91,762 66,957 Operating expenses: Research and development, net 9,781 12,033 41,578 50,060 Sales and marketing 15,200 17,909 58,413 66,836 General and administrative 7,358 12,449 29,086 37,592 Total operating expenses 32,339 42,391 129,077 154,488 Operating loss (1,210) (27,819) (37,315) (87,531) Financial income, net 3,849 5,424 22,350 24,150 Income (loss) before taxes on income 2,639 (22,395) (14,965) (63,381) Taxes on income 423 539 1,835 970 Net income (loss) $ 2,216 $ (22,934) $ (16,800) $ (64,351) Basic income (loss) per share $ 0.05 $ (0.48) $ (0.35) $ (1.31) Weighted average number of shares used in computing basic net income (loss) per share 47,180,390 48,231,916 47,482,820 49,160,266 Diluted income (loss) per share $ 0.05 $ (0.48) $ (0.35) $ (1.31) Weighted average number of shares used in computing diluted net income (loss) per share 48,222,449 48,231,916 47,482,820 49,160,266 KORNIT DIGITAL LTD. AND ITS SUBSIDIARIES RECONCILIATION OF GAAP TO NON-GAAP CONSOLIDATED STATEMENTS OF OPERATIONS (U.S. dollars in thousands, except share and per share data) Three Months Ended Year Ended December 31, December 31, 2024 2023 2024 2023 (Unaudited) (Unaudited) Revenues $ 60,696 $ 56,585 $ 203,825 $ 219,786 GAAP cost of revenues $ 29,567 $ 42,013 $ 112,063 $ 152,829 Cost of product recorded for share-based compensation (1) (524) (545) (2,018) (2,356) Cost of service recorded for share-based compensation (1) (409) (447) (1,703) (1,758) Intangible assets amortization on cost of product (2) (176) (260) (936) (1,053) Intangible assets amortization on cost of service (2) (160) (160) (640) (640) Restructuring expenses (3) (1,067) (11,501) (1,981) (11,590) Non-GAAP cost of revenues $ 27,231 $ 29,100 $ 104,785 $ 135,432 GAAP gross profit $ 31,129 $ 14,572 $ 91,762 $ 66,957 Gross profit adjustments 2,336 12,913 7,278 17,397 Non-GAAP gross profit $ 33,465 $ 27,485 $ 99,040 $ 84,354 GAAP operating expenses $ 32,339 $ 42,391 $ 129,077 $ 154,488 Share-based compensation (1) (4,151) (4,653) (18,035) (18,475) Intangible assets amortization (2) (88) (93) (350) (550) Restructuring expenses (3) (105) (7,579) (862) (7,785) Non-GAAP operating expenses $ 27,995 $ 30,066 $ 109,830 $ 127,678 GAAP Financial income, net $ 3,849 $ 5,424 $ 22,350 $ 24,150 Foreign exchange losses associated with ASC 842 (169) 1,579 388 378 Non-GAAP Financial income, net $ 3,680 $ 7,003 $ 22,738 $ 24,528 GAAP Taxes on income $ 423 $ 539 $ 1,835 $ 970 Non-cash deferred tax income - 88 - 666 Non-GAAP Taxes on income $ 423 $ 627 $ 1,835 $ 1,636 GAAP Net income (loss) $ 2,216 $ (22,934) $ (16,800) $ (64,351) Share-based compensation (1) 5,084 5,645 21,756 22,589 Intangible assets amortization (2) 424 513 1,926 2,243 Restructuring expenses (3) 1,172 19,080 2,843 19,375 Foreign exchange losses associated with ASC 842 (169) 1,579 388 378 Non-cash deferred tax income - (88) - (666) Non-GAAP net income (loss) $ 8,727 $ 3,795 $ 10,113 $ (20,432) GAAP diluted income (loss) per share $ 0.05 $ (0.48) $ (0.35) $ (1.31) Non-GAAP diluted income (loss) per share $ 0.18 $ 0.08 $ 0.20 $ (0.42) Weighted average number of shares Shares used in computing GAAP diluted net income (loss) per share 48,222,449 48,231,916 47,482,820 49,160,266 Shares used in computing Non-GAAP diluted net income (loss) per share 49,868,143 50,094,714 49,341,794 49,160,266 (1) Share-based compensation Cost of product revenues $ 524 $ 545 $ 2,018 $ 2,356 Cost of service revenues 409 447 1,703 1,758 Research and development 1,255 1,329 5,310 5,759 Sales and marketing 1,212 1,635 6,228 6,689 General and administrative 1,684 1,689 6,497 6,027 $ 5,084 $ 5,645 $ 21,756 $ 22,589 (2) Intangible assets amortization Cost of product revenues $ 176 $ 260 $ 936 $ 1,053 Cost of service revenues 160 160 640 640 Sales and marketing 88 93 350 550 $ 424 $ 513 $ 1,926 $ 2,243 (3) Restructuring expenses Cost of product revenues $ 818 $ 5,569 $ 1,683 $ 5,658 Cost of service revenues 249 5,932 298 5,932 Research and development - 860 235 880 Sales and marketing - 2,744 190 2,930 General and administrative 105 3,975 437 3,975 $ 1,172 $ 19,080 $ 2,843 $ 19,375 KORNIT DIGITAL LTD. AND ITS SUBSIDIARIES RECONCILIATION OF GAAP NET INCOME TO ADJUSTED EBITDA (U.S. dollars in thousands, except share and per share data) Three Months Ended Year Ended December 31, December 31, 2024 2023 2024 2023 (Unaudited) (Unaudited) GAAP Revenues $ 60,696 $ 56,585 $ 203,825 $ 219,786 GAAP Net income (loss) 2,216 (22,934) (16,800) (64,351) Taxes on income 423 539 1,835 970 Financial income (3,849) (5,424) (22,350) (24,150) Share-based compensation 5,084 5,645 21,756 22,589 Intangible assets amortization 424 513 1,926 2,243 Non-GAAP Operating income (loss) 5,470 (2,581) (10,790) (43,324) Depreciation 2,889 2,774 11,121 12,457
