Why does my barcode label print bunched and unscannable?

[Gifts1]

I am new to Barcode Scanner app. We have created template to correct size, dedicated to correct printer, etc. The labels are printing ok but when they come out the barcode itself looks “bunched” together and isn’t scannable. Are there settings for margins, etc.? Any suggestions on how to correct? Thank you!

[PeaceFrogs]

Did you ever get help with this? I am running into the same problem.