- Revenue up 51% year-over-year to $86.7 million, net of $7.9 million attributed to the non-cash impact of warrants; Record revenues across all regions, strong profitability, and operating cash flows
- Third quarter GAAP operating profit of $3.9 million; Non-GAAP operating profit of $8.6 million, net of $7.9 million attributed to the non-cash impact of warrants
- New industry transforming innovative platforms; Atlas MAX and Presto MAX extremely well received by market; Robust new product introductions planned for early 2022
- Company’s inspirational global fashion tech platform in Los Angeles, New York, Italy, and Japan drives creativity, sustainability, and inclusiveness to the forefront of the fashion world, utilizing Kornit’s on-demand technologies
- Enters 2022 with extremely strong business fundamentals, momentum, and pipeline
ROSH-HA`AYIN, Israel, Nov. 10, 2021 (GLOBE NEWSWIRE) -- Kornit Digital Ltd. (NASDAQ: KRNT), a worldwide market leader in sustainable, on-demand, digital textile production technologies, reported today results for the third quarter ended September 30, 2021.
“I am extremely proud of our phenomenal third quarter performance, with record revenues across all regions, strong profitability and operating cash flows,” said Ronen Samuel, Kornit Digital’s Chief Executive Officer. “We are witnessing the change in the fashion industry with an acceleration to sustainable, on-demand production -- a revolutionary moment in how we all think and act about fashion, from the need for self-expression, to responsible production. Kornit is leading the digital transformation the fashion industry must make with innovative solutions that break the barriers between imagination and physical applications.”
Mr. Samuel concluded, “We enter 2022 with very strong business fundamentals supported by broad-based demand for our industry leading solutions. This growing demand and market acceptance puts us firmly on the path of becoming a $1 billion revenue company in 2026.”
The following table compares the adverse, non-cash impact that the Company’s outstanding warrants had on the Company’s results of operations during the third quarters of 2021 and 2020, respectively:
Third Quarter Warrants Impact | ||||||||
Three Months Ended | ||||||||
September 30, | ||||||||
2021 | 2020 | |||||||
Net of Warrants Impact | Warrants Impact | Net of Warrants Impact | Warrants Impact | |||||
Revenue | $86.7M | $7.9M | $57.4M | $2.2M | ||||
Non-GAAP Gross Margin | 47.8% | 4.3% | 48.1% | 1.9% | ||||
Non-GAAP Operating Margin | 9.9% | 7.5% | 11.3% | 3.2% | ||||
Non-GAAP Net Margin | 13.3% | 7.2% | 13.5% | 3.1% | ||||
Non-GAAP Diluted Earnings Per Share | $0.24 | $0.16 | $0.18 | $0.05 |
“We are very pleased with our strong third quarter performance, which continued our momentum from the first half of the year,” said Alon Rozner, Kornit Digital’s Chief Financial Officer. “We are focused on ending the year strong and supporting our customers to ensure they are ready for their peak season. We enter 2022 in a phenomenal position with outstanding business fundamentals, a robust backlog and strong pipeline.”
Third Quarter 2021 Results of Operations
- Total revenue for the third quarter of 2021 was $86.7 million, net of $7.9 million attributed to the non-cash impact of warrants, compared to $57.4 million, net of $2.2 million attributed to the non-cash impact of warrants in the prior year period.
- GAAP net income for the third quarter of 2021 was $3.9 million, or $0.08 per diluted share, compared to $3.9 million, or $0.09 per share, for the third quarter of 2020.
- Non-GAAP net income for the third quarter of 2021 was $11.5 million, or $0.24 per diluted share, net of $0.16 per diluted share attributed to the non-cash impact of warrants, compared to non-GAAP net profit of $7.7 million, or $0.18 per diluted share, net of $0.05 per diluted share attributed to the non-cash impact of warrants, for the third quarter of 2020.
Fourth Quarter 2021 Guidance
For the fourth quarter of 2021, and assuming zero impact from the fair value of issued warrants in the quarter, the Company expects revenue to be in the range of $89 million to $93 million and non-GAAP operating income to be in the range of 13.0% to 15.0% of revenue.
Third Quarter 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 investment community.
A live webcast of the call can be accessed at ir.kornit.com. 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. The confirmation code is 13724287.
To listen to a replay of the conference call, dial toll-free 1-844-512-2921 or +1-412-317-6671 (international) and enter confirmation code 13724287. The telephonic replay will be available beginning at 11:30 a.m. ET on Wednesday, November 10, 2021, until 11:59 p.m. ET on Wednesday, November 24, 2021. The call will also be available for replay via the webcast link on Kornit’s Investor Relations website.
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 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; 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 Kornit’s systems; the extent of the Company’s ability to continue to increase sales of Kornit’s systems, ink and consumables; the extent of the Company’s ability to leverage Kornit’s 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; the duration and severity of, and the degree of recovery from, the global COVID-19 pandemic, which could potentially impact once again, in a material adverse manner, the Company’s operations, financial position and cash flows, and those of the Company’s customers and suppliers; 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, 2020, filed with the U.S. Securities and Exchange Commission, or SEC, on March 25, 2021. 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.
The presentation of non-GAAP financial information is not meant to be considered in isolation or as a substitute for the directly comparable financial measures prepared in accordance with GAAP. Kornit urges investors to review the reconciliation of non-GAAP financial measures to the comparable GAAP financial measures included below, and not to rely on any single financial measures to evaluate its business. A reconciliation for non-GAAP operating income guidance set forth above is not provided because, as forward-looking statements, such reconciliation is not available without unreasonable effort due to the high variability, complexity, and difficulty of estimating certain items such as charges to share-based compensation expense and currency fluctuations which could have an impact on its consolidated results. Kornit believes the information provided is useful to investors because it can be considered in the context of Kornit’s historical disclosures of this measure.
Non-GAAP Discussion Disclosure
Non-GAAP financial measures consist of GAAP financial measures adjusted to exclude the impact of share-based compensation expenses, acquisition related expenses, excess cost of acquired inventory, foreign exchange differences associated with ASC 842, amortization of acquired intangible assets, deferred tax impact and the one-time impact of COVID-19, and the tax effect of the foregoing. The purpose of such adjustments is to provide an indication of 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. However, 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.
About Kornit
Kornit Digital (NASDAQ: KRNT) is a worldwide market leader in sustainable, on-demand, digital fashion and textile production technologies. The company is writing the operating system for fashion with end-to-end solutions including digital printing systems, inks, consumables, and an entire global ecosystem that manages workflows and fulfillment. 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 www.kornit.com.
KORNIT DIGITAL LTD. | ||||||
AND ITS SUBSIDIARIES | ||||||
CONSOLIDATED BALANCE SHEETS | ||||||
(U.S. dollars in thousands) | ||||||
September 30, | December 31, | |||||
2021 | 2020 | |||||
(Unaudited) | ||||||
ASSETS | ||||||
CURRENT ASSETS: | ||||||
Cash and cash equivalents | $ | 96,668 | $ | 125,777 | ||
Short-term bank deposit | 241,103 | 224,804 | ||||
Marketable securities | 25,920 | 13,718 | ||||
Trade receivables, net | 49,866 | 51,566 | ||||
Inventory | 55,344 | 52,487 | ||||
Other accounts receivable and prepaid expenses | 11,148 | 9,178 | ||||
Total current assets | 480,049 | 477,530 | ||||
LONG-TERM ASSETS: | ||||||
Marketable securities | 93,816 | 71,636 | ||||
Deposits and prepaid expenses | 471 | 395 | ||||
Severance pay fund | 342 | 337 | ||||
Deferred taxes | 7,054 | 5,096 | ||||
Property,plant and equipment, net | 38,401 | 29,255 | ||||
Operating lease right-of-use assets | 22,122 | 21,053 | ||||
Intangible assets, net | 10,479 | 7,221 | ||||
Goodwill | 25,447 | 16,466 | ||||
Total long-term assets | 198,132 | 151,459 | ||||
Total assets | $ | 678,181 | $ | 628,989 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||
CURRENT LIABILITIES: | ||||||
Trade payables | $ | 30,630 | $ | 32,016 | ||
Employees and payroll accruals | 22,238 | 15,022 | ||||
Deferred revenues and advances from customers | 11,719 | 27,019 | ||||
Operating lease liabilities | 4,461 | 3,957 | ||||
Other payables and accrued expenses | 22,116 | 11,613 | ||||
Total current liabilities | 91,164 | 89,627 | ||||
LONG-TERM LIABILITIES: | ||||||
Accrued severance pay | 1,327 | 1,214 | ||||
Operating lease liabilities | 18,856 | 18,688 | ||||
Other long-term liabilities | 1,699 | 443 | ||||
Total long-term liabilities | 21,882 | 20,345 | ||||
SHAREHOLDERS' EQUITY | 565,135 | 519,017 | ||||
Total liabilities and shareholders' equity | $ | 678,181 | $ | 628,989 | ||
KORNIT DIGITAL LTD. | |||||||||||||||
AND ITS SUBSIDIARIES | |||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS | |||||||||||||||
(U.S. dollars in thousands, except share and per share data) | |||||||||||||||
Nine Months Ended | Three Months Ended | ||||||||||||||
September 30, | September 30, | ||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||
(Unaudited) | (Unaudited) | ||||||||||||||
Revenues | |||||||||||||||
Products | $ | 206,682 | $ | 103,536 | $ | 76,560 | $ | 49,290 | |||||||
Services | 27,776 | 17,504 | 10,109 | 8,102 | |||||||||||
Total revenues | 234,458 | 121,040 | 86,669 | 57,392 | |||||||||||
Cost of revenues | |||||||||||||||
Products | 98,457 | 50,117 | 36,028 | 23,031 | |||||||||||
Services | 26,477 | 20,066 | 10,109 | 7,330 | |||||||||||
Total cost of revenues | 124,934 | 70,183 | 46,137 | 30,361 | |||||||||||
Gross profit | 109,524 | 50,857 | 40,532 | 27,031 | |||||||||||
Operating expenses: | |||||||||||||||
Research and development, net | 30,736 | 22,213 | 11,493 | 8,689 | |||||||||||
Sales and marketing | 40,716 | 25,375 | 15,837 | 8,587 | |||||||||||
General and administrative | 24,972 | 18,957 | 9,283 | 7,093 | |||||||||||
Total operating | 96,424 | 66,545 | 36,613 | 24,369 | |||||||||||
Operating income (loss) | 13,100 | (15,688 | ) | 3,919 | 2,662 | ||||||||||
Financial income, net | 2,635 | 4,427 | 219 | 1,630 | |||||||||||
Income (loss) before taxes on income | 15,735 | (11,261 | ) | 4,138 | 4,292 | ||||||||||
Taxes on income (benefit) | 1,162 | (577 | ) | 266 | 350 | ||||||||||
Net income (loss) | 14,573 | (10,684 | ) | 3,872 | 3,942 | ||||||||||
Basic net income (loss) per share | $ | 0.32 | $ | (0.26 | ) | $ | 0.08 | $ | 0.09 | ||||||
Weighted average number of shares | |||||||||||||||
used in computing basic net | |||||||||||||||
income (loss) per share | 46,200,884 | 41,059,090 | 46,361,164 | 41,536,835 | |||||||||||
Diluted net income (loss) per share | $ | 0.30 | $ | (0.26 | ) | $ | 0.08 | $ | 0.09 | ||||||
Weighted average number of shares | |||||||||||||||
used in computing diluted | |||||||||||||||
net income (loss) per share | 47,846,077 | 41,059,090 | 48,116,716 | 42,692,989 | |||||||||||
KORNIT DIGITAL LTD. | |||||||||||||||
AND ITS SUBSIDIARIES | |||||||||||||||
CONSOLIDATED STATEMENTS OF CASH FLOWS | |||||||||||||||
(U.S. dollars in thousands) | |||||||||||||||
Nine Months Ended | Three Months Ended | ||||||||||||||
September 30, | September 30, | ||||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||||
(Unaudited) | (Unaudited) | ||||||||||||||
Cash flows from operating activities: | |||||||||||||||
Net income (loss) | $ | 14,573 | $ | (10,684 | ) | $ | 3,872 | $ | 3,942 | ||||||
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | |||||||||||||||
Depreciation and amortization | 4,945 | 3,411 | 1,910 | 1,215 | |||||||||||
Fair value of warrants deducted from revenues | 17,568 | 3,564 | 7,857 | 2,158 | |||||||||||
Share-based compensation | 10,969 | 7,310 | 4,070 | 2,680 | |||||||||||
Amortization of premium and accretion of discount on marketable securities, net | (1,652 | ) | 248 | (354 | ) | 83 | |||||||||
Realized loss (gain) on sale of marketable securities | - | (503 | ) | - | (401 | ) | |||||||||
Change in operating assets and liabilities: | |||||||||||||||
Trade receivables | 1,713 | (7,933 | ) | 12,798 | (8,549 | ) | |||||||||
Other receivables and prepaid expenses | (1,853 | ) | (1,615 | ) | (340 | ) | (771 | ) | |||||||
Inventory | (3,765 | ) | (9,529 | ) | (3,239 | ) | (4,324 | ) | |||||||
Operating lease right-of-use assets and liabilities, net | (397 | ) | - | 122 | 49 | ||||||||||
Deferred taxes, net | (1,866 | ) | (823 | ) | (2,111 | ) | 561 | ||||||||
Other long term assets | (76 | ) | 38 | 55 | 120 | ||||||||||
Trade payables | (2,400 | ) | 571 | 17 | 10,462 | ||||||||||
Employees and payroll accruals | 8,878 | 4,318 | 6,774 | 3,983 | |||||||||||
Deferred revenues and advances from customers | (15,350 | ) | 7,663 | (3,949 | ) | 7,770 | |||||||||
Payables and accrued expenses | 10,479 | 2,120 | 4,803 | 1,688 | |||||||||||
Severance pay, net | 108 | 81 | 59 | 18 | |||||||||||
Other long term liabilities | 1,256 | 48 | 456 | 191 | |||||||||||
Sale of property and Equipment | - | 75 | - | - | |||||||||||
Foreign currency translation income (loss) on inter company balances with foreign subsidiaries | - | (294 | ) | - | (477 | ) | |||||||||
Net cash provided by (used in) operating activities | 43,130 | (1,934 | ) | 32,800 | 20,398 | ||||||||||
Cash flows from investing activities: | |||||||||||||||
Purchase of property and equipment | (9,422 | ) | (10,758 | ) | (3,867 | ) | (2,247 | ) | |||||||
Capitalization of software development costs | - | (121 | ) | - | - | ||||||||||
Proceeds from sale of property and equipment | - | 4 | - | - | |||||||||||
Cash paid in connection with acquisition, net of cash acquired | (14,991 | ) | (15,059 | ) | (14,991 | ) | (15,059 | ) | |||||||
Investment in (proceeds from) bank deposits | (16,299 | ) | 43,192 | (6,167 | ) | 27,996 | |||||||||
Proceeds from sale of marketable securities | - | 58,532 | - | 37,730 | |||||||||||
Proceeds from maturity of marketable securities | 10,304 | 20,006 | 8,254 | 2,561 | |||||||||||
Investment in marketable securities | (44,310 | ) | (18,542 | ) | (13,800 | ) | - | ||||||||
Net cash provided by (used in) investing activities | (74,718 | ) | 77,254 | (30,571 | ) | 50,981 | |||||||||
Cash flows from financing activities: | |||||||||||||||
Exercise of employee stock options | 4,141 | 4,942 | 2,387 | 2,138 | |||||||||||
Payments related to shares withheld for taxes | (1,662 | ) | (82 | ) | (516 | ) | (18 | ) | |||||||
Proceeds from public offering, net of issuance costs | - | 162,720 | - | 162,720 | |||||||||||
Net cash provided by financing activities | 2,479 | 167,580 | 1,871 | 164,840 | |||||||||||
Foreign currency translation adjustments on cash and cash equivalents | - | 37 | - | 13 | |||||||||||
Increase (decrease) in cash and cash equivalents | (29,109 | ) | 242,937 | 4,100 | 236,232 | ||||||||||
Cash and cash equivalents at the beginning of the period | 125,777 | 40,743 | 92,568 | 47,448 | |||||||||||
Cash and cash equivalents at the end of the period | 96,668 | 283,680 | 96,668 | 283,680 | |||||||||||
Non-cash investing and financing activities: | |||||||||||||||
Purchase of property and equipment on credit | 1,907 | 382 | 1,907 | 382 | |||||||||||
Inventory transferred to be used as property and equipment | 931 | 823 | 51 | 312 | |||||||||||
Issuance expenses on credit | - | 739 | - | 739 | |||||||||||
Lease liabilities arising from obtaining right-of-use assets | 1,517 | 2,769 | 1,033 | 849 | |||||||||||
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) | ||||||||||||||||
Nine Months Ended | Three Months Ended | |||||||||||||||
September 30, | September 30, | |||||||||||||||
2021 | 2020 | 2021 | 2020 | |||||||||||||
(Unaudited) | (Unaudited) | |||||||||||||||
Revenues | $ | 234,458 | $ | 121,040 | $ | 86,669 | $ | 57,392 | ||||||||
GAAP cost of revenues | $ | 124,934 | $ | 70,183 | 46,137 | 30,361 | ||||||||||
Cost of product recorded for share-based compensation (1) | (1,000 | ) | (772 | ) | (381 | ) | (281 | ) | ||||||||
Cost of service recorded for share-based compensation (1) | (750 | ) | (568 | ) | (251 | ) | (208 | ) | ||||||||
Intangible assets amortization on cost of product (3) | (161 | ) | (75 | ) | (111 | ) | (25 | ) | ||||||||
Intangible assets amortization on cost of service (3) | (480 | ) | - | (160 | ) | - | ||||||||||
Coronavirus one time impact (4) | - | (520 | ) | - | (74 | ) | ||||||||||
Non-GAAP cost of revenues | $ | 122,543 | $ | 68,248 | $ | 45,234 | $ | 29,773 | ||||||||
GAAP gross profit | $ | 109,524 | $ | 50,857 | 40,532 | 27,031 | ||||||||||
Gross profit adjustments | 2,391 | 1,935 | 903 | 588 | ||||||||||||
Non-GAAP gross profit | $ | 111,915 | $ | 52,792 | $ | 41,435 | $ | 27,619 | ||||||||
GAAP operating expenses | $ | 96,424 | $ | 66,545 | $ | 36,613 | $ | 24,369 | ||||||||
Share-based compensation (1) | (9,219 | ) | (5,970 | ) | (3,438 | ) | (2,191 | ) | ||||||||
Acquisition related expenses (2) | (194 | ) | (648 | ) | (194 | ) | (648 | ) | ||||||||
Intangible assets amortization (3) | (336 | ) | (622 | ) | (98 | ) | (371 | ) | ||||||||
Coronavirus one time impact (4) | - | 69 | - | - | ||||||||||||
Non-GAAP operating expenses | $ | 86,675 | $ | 59,374 | $ | 32,883 | $ | 21,159 | ||||||||
GAAP Financial income (expenses), net | $ | 2,635 | $ | 4,427 | $ | 219 | $ | 1,630 | ||||||||
Foreign exchange losses associated with ASC 842 | (302 | ) | 28 | 113 | 110 | |||||||||||
Non-GAAP Financial income (expenses), net | $ | 2,333 | $ | 4,455 | $ | 332 | $ | 1,740 | ||||||||
GAAP Taxes on income (benefit) | $ | 1,162 | $ | (577 | ) | $ | 266 | $ | 350 | |||||||
Tax effect on to the above non-GAAP adjustments | (1,954 | ) | 346 | (2,119 | ) | 526 | ||||||||||
Deferred tax benefit based on an Israeli statutory tax rate (a) | (1,360 | ) | 610 | (774 | ) | (405 | ) | |||||||||
Non-GAAP Taxes on income (benefit) | $ | (2,152 | ) | $ | 379 | $ | (2,627 | ) | $ | 471 | ||||||
GAAP net income (loss) | $ | 14,573 | $ | (10,684 | ) | $ | 3,872 | $ | 3,942 | |||||||
Share-based compensation (1) | 10,969 | 7,310 | 4,070 | 2,680 | ||||||||||||
Acquisition related expenses (2) | 194 | 648 | 194 | 648 | ||||||||||||
Intangible assets amortization (3) | 977 | 697 | 369 | 396 | ||||||||||||
Coronavirus one time impact (4) | - | 451 | - | 74 | ||||||||||||
Foreign exchange losses associated with ASC 842 | (302 | ) | 28 | 113 | 110 | |||||||||||
Tax effect on to the above non-GAAP adjustments | 1,954 | (346 | ) | 2,119 | (526 | ) | ||||||||||
Deferred tax benefit based on an Israeli statutory tax rate (a) | 1,360 | (610 | ) | 774 | 405 | |||||||||||
Non-GAAP net income (loss) | $ | 29,725 | $ | (2,506 | ) | $ | 11,511 | $ | 7,729 | |||||||
GAAP diluted earning (loss) per share | $ | 0.30 | $ | (0.26 | ) | $ | 0.08 | $ | 0.09 | |||||||
Non-GAAP diluted earning (loss) per share | $ | 0.62 | $ | (0.06 | ) | $ | 0.24 | $ | 0.18 | |||||||
Weighted average number of shares | ||||||||||||||||
Shares used in computing GAAP diluted net earning (loss) per share | 47,846,077 | 41,059,090 | 48,116,716 | 42,692,989 | ||||||||||||
Shares used in computing Non-GAAP diluted net earning (loss) per share | 48,082,118 | 41,059,090 | 48,361,472 | 42,972,182 | ||||||||||||
(1) Share-based compensation | ||||||||||||||||
Cost of product revenues | 1,000 | 772 | 381 | 281 | ||||||||||||
Cost of service revenues | 750 | 568 | 251 | 208 | ||||||||||||
Research and development | 1,810 | 1,243 | 739 | 463 | ||||||||||||
Selling and marketing | 3,651 | 2,150 | 1,318 | 769 | ||||||||||||
General and administrative | 3,758 | 2,577 | 1,381 | 959 | ||||||||||||
10,969 | 7,310 | 4,070 | 2,680 | |||||||||||||
(2) Acquisition related expenses | ||||||||||||||||
General and administrative | 194 | 648 | 194 | 648 | ||||||||||||
194 | 648 | 194 | 648 | |||||||||||||
(3) Intangible assets amortization | ||||||||||||||||
Cost of product revenues | 161 | 75 | 111 | 25 | ||||||||||||
Cost of service revenues | 480 | - | 160 | - | ||||||||||||
Research and development | - | 315 | - | 315 | ||||||||||||
Selling and marketing | 336 | 307 | 98 | 56 | ||||||||||||
977 | 697 | 369 | 396 | |||||||||||||
(4) Coronavirus one time impact | ||||||||||||||||
Cost of product revenues | - | 527 | - | 74 | ||||||||||||
Cost of service revenues | - | -7 | - | - | ||||||||||||
Research and development | - | -57 | - | - | ||||||||||||
Selling and marketing | - | -1 | - | - | ||||||||||||
General and administrative | - | -11 | - | - | ||||||||||||
- | 451 | - | 74 | |||||||||||||
(a) | Non cash impact related to the recognition of deferred taxes with respect to carryforward losses in Israel. | |||||||||||||||
Investor Contact:
Andrew G. Backman
Global Head of Investor Relations
andrew.backman@kornit.com
![](https://ml.globenewswire.com/media/OWRhZWZlZTItM2U0MC00YTBiLThjYTAtNWRjMDMxYTBhNDdjLTEwMjg0OTU=/tiny/Kornit-Digital-Ltd.png)