Digital fashion firm Kornit's Q2 revenue misses expectations

Kornit Digital

06/08/2025 12:36

Overview

Kornit Q2 revenue of $49.8 mln missed analyst expectations, per LSEG data

GAAP net loss of $7.5 mln missed estimates, non-GAAP net income at $1.2 mln

Company focuses on recurring revenue model and AIC contract adoption

Outlook

Kornit expects Q3 2025 revenue between $49 mln and $55 mln

Company anticipates Q3 adjusted EBITDA margin between -3% and 3%

Kornit focuses on scaling Apollo and AIC adoption

Company aims to maintain adjusted EBITDA profitability and cash flow

Result Drivers

RECURRING REVENUE - Kornit attributes Q2 performance to ongoing transformation towards a recurring revenue model, per CEO Ronen Samuel

SCREEN-PRINTING CUSTOMERS - Positive traction from screen-printing customers embracing digital for various run lengths, according to CEO

AIC ADOPTION - Continued adoption of AIC contracts with annual recurring revenue reaching $18.9 mln, particularly from screen-printing customers

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Miss
$49.75 mln
$52.10 mln (5 Analysts)
Q2 Net Income
Miss
-$7.52 mln
$849,600 (5 Analysts)
Q2 Operating Income
Miss
-$10.87 mln
-$2.96 mln (5 Analysts)
Q2 Basic EPS
-$0.17
Q2 Gross Profit
$20.74 mln
Q2 Operating Expenses
$31.61 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 5 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the industrial machinery & equipment peer group is "buy"

Wall Street's median 12-month price target for Kornit Digital Ltd is $31.00, about 38.1% above its August 5 closing price of $19.18

The stock recently traded at 45 times the next 12-month earnings vs. a P/E of 61 three months ago

Press Release: ID:nGNX5QKxM5

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)