How Does Kornit Digital Company Work?

Kornit's operations are driven by continuous technological development, exemplified by their patented NeoPigment™ process. This innovation eliminates water-intensive steps like washing and steaming, significantly reducing environmental impact. Their specialized printers, such as the Apollo and Atlas MAX PLUS, streamline the printing process into a single, efficient system.

The company's value proposition centers on enabling efficient, sustainable, and customized textile production. By consolidating multiple printing steps, Kornit's technology reduces transportation needs and carbon emissions. This allows customers to achieve rapid prototyping, quick design adjustments, and reduced lead times, all while minimizing waste.

Kornit's supply chain and distribution networks are extensive, serving customers in over 100 countries. Strategic alliances, such as the May 2025 partnership with Gooten, expand access to their Global Fulfillment Network (GFN), which comprises over 250 production sites. Another key alliance in May 2025 with MAS Holdings aims to enhance supply chain management for sustainable fashion brands.

What sets Kornit apart is its holistic, end-to-end approach to digital textile production. This integrated capability, from design to fulfillment, allows customers to capitalize on fast fashion trends, improve margins, and reduce their environmental footprint. Understanding Growth Strategy of Kornit Digital provides further insight into their market approach.

The delivery of 15 Apollo systems in 2024 highlights the company's advancement in mass-scale digital production. This period also saw a significant financial recovery, with operating expenses reduced by 14.0% on a non-GAAP basis.

In 2025, strategic partnerships with Gooten and MAS Holdings were established to enhance the company's Global Fulfillment Network and promote sustainable, on-demand fashion production.

Despite a decline in total revenue for 2024 and softer consumables revenue in Q2 2025, the company is adapting by scaling its Apollo and AIC models and exploring new markets.

Kornit's competitive edge lies in its patented NeoPigment™ technology and integrated automated pretreatment, offering eco-friendly and efficient digital textile printing solutions.

Kornit Digital is a recognized pioneer in sustainable, on-demand digital fashion and textile production. The overall digital textile printing market was valued at approximately USD 3.40 billion in 2024 and is projected to reach USD 12.73 billion by 2034, growing at a CAGR of 14.11% from 2025 to 2034. In 2024, Europe led the global market with a 37% share, and the direct-to-fabric (DTF) segment held a major market share of 68% by printing process. Kornit's market capitalization stood at approximately $1.01 billion as of May 2025.

The company faces risks tied to technology adoption rates, with only about 37% of textile manufacturers having integrated digital printing by early 2024. Economic uncertainties and market fluctuations led to a 15% revenue volatility in 2023. Supply chain issues, component shortages, and raw material cost volatility are also concerns, alongside slower-than-expected adoption of their All-Inclusive Click (AIC) lease offering and customer inventory adjustments impacting consumables revenue.

Kornit's strategic initiatives focus on scaling Apollo and AIC models and expanding its customer base by targeting screen-printing users. The company forecasts an average revenue growth of 7.8% per annum over the next three years, exceeding the US Machinery industry's projected 4.8% growth. Leadership emphasizes execution in 2025 for scalable, profitable growth and strengthening market leadership.

The company reported a GAAP net loss of $7.5 million in Q2 2025. For Q3 2025, revenue guidance is between $49 million and $55 million, with an adjusted EBITDA margin forecasted between -3% and 3%. Kornit aims to deliver 30 Apollo systems in 2025 and leverage its technology to address sustainability needs and capitalize on on-demand production demand.