The Rotherham-based company installed the new Kolbus 12-station Publica late last year. The machine is fully automated with a palletiser, strapping, inserting, static blocker and log feeder.
According to operations director David Lightfoot, the machine, which can run at speeds of up to 15,000sph, produced good quality work immediately.
However, he added that it took the company a while to get it running to a satisfactory level, but this weekend saw something of a watermark achieved.
He said: "The quality of the work produced was instantly impressive, but we had not got the output levels we expected from it.
"There is a big learning curve with new machines, you won't reach maximum product levels over night. It is about the guys getting up to speed with the machine and understanding what it is capable of.
"Productivity has been going up though and this weekend we ran the machine at 10,000sph for a 24-hour period, it is our best 24 hour period yet. We are very happy."
Lightfoot added that the company had needed to replace its previous perfect binder because it could not keep up with the amount of work it was getting and often jobs were being farmed out.
Garnett Dickinson's investment follows a £1m investment in Agfa pre-press kit. The £27m-turnaround company invested £20m in a new facility in July 2006.
Its business predominantly revolves around magazine production, but it also has a digital section and handles brochures and catalogues.