The Israeli developer of digital embellishment systems grew sales by 23% to $32.1m (£24.6m) last year.

The operating profit was $360,000, compared to a $2.14m loss the prior year.

Gross profit margin increased from 36.4% to 40.4%.

The firm said it was “moving towards operating profitability and gross margin growth”.

System sales were up by nearly 40%, while Scodix booked a 4% rise in recurring revenues.

At Drupa 2024 the business gained $13m in new orders for a total of 17 systems.

It launched its Scodix Ultra 6500 SHD and 2500 SHD models at the show.

CEO and co-founder Eli Grinberg said 2024 had marked “a pivotal moment for Scodix”.

“We have successfully transitioned to profitability-driven growth, validating our strategic focus on innovation, customer success, and operational excellence.

“The launch of our next-generation Ultra SHD technology at Drupa 2024, coupled with strategic partnerships with global packaging leaders has significantly strengthened our market position.”

Scodix said the digital embellishment market was growing at 14.2% – “the highest growth rate in the industry” – driven by increased demand for custom and premium packaging, luxe products, short runs and security printing.

It cited research that put the overall systems market for embellishments at more than $6bn, with an annual consumables spend at more than $2.5bn.

Scodix currently has 400 systems installed around the world.

Scodix has also partnered with substrate suppliers, including Winter & Company, Fedrigoni, Gmund and Mondi to embellish diverse substrates including leather-like materials, canvas, and uncoated papers.

It is also pushing its sustainability credentials, citing a seven-times lower carbon footprint than analogue embellishment methods.

Scodix was established in 2007 by Kobi Bar and Grinberg, who brought engineering expertise from HP Indigo and NUR/HP Scitex to their new venture. The firm first showed its products in the UK at Ipex 2010.