Kornit Digital, a manufacturer of digital textile printers, has announced a “record 2019” with the company achieving year-on-year growth of 39 per cent to December 31, 2019.
The company achieved fourth quarter revenues of US$48.7 million which took full year revenue to US$179.9m, an increase from the US$142.4m in the prior year.
Kornit Digital chief executive officer Ronen Samuel says the significant fourth quarter result capped off an exciting year for the company.
“The fourth quarter of 2019 capped off another year of exciting growth and progress for Kornit. We are extremely proud of our strong performance in 2019 and believe that our leadership position in the market continues to widen,” Samuel said.
“Our 2019 results provide a robust foundation for continued growth and execution in 2020 as we are seeing the exceptionally strong momentum in the business continue in the first quarter.
“We believe Kornit is best positioned to lead the textile industry in its shift to on-demand manufacturing in a sustainable way.”
Kornit Digital chief financial officer Guy Avidan said the company’s growth strategy will propel it towards its long-term goal of US$500m in run-rate sales at the end of 2023.
“We had a strong close to 2019 as we saw significant business expansion with strategic accounts and collaborative business development activities with leading brands resulting in new customer accounts in both the athleisure and specialty retail categories,” Avidan said.
“There is a significant market opportunity ahead of us and we continue to invest in the business through expansion of our go-to-market capabilities, enhancements to our global leadership team, and allocation of incremental capital to drive innovation.”
Last year, Samuel said the company has seen its APAC region revenues double.
“Commercial print is declining, there is a huge pressure on margins, with huge competition. Print is being substituted by digital communications. This will not happen with clothes,” he said previously.
“There are more people in the world, standards of living and salaries are rising, and people want to express their identities through their clothing, with more personalised clothing. The margins are great, and will continue to be great, because it is a premium product.
“People are willing to pay more for shirts that they can connect to. This is why we see many graphic arts and commercial printers moving into printing on garments.”
In July 2019 it launched Kornit Konnect, a cloud-based, mobile workflow software platform to help businesses maximise productivity of their digital printing solutions by monitoring production, analysing insights and managing their fleet and eliminating blind spots.
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