Karma works best with mip-mapped .exr or .rat files which can be created with imaketx. For tiled, mip-mapped .exr files, you can also use tools like maketx or txmake. Karma should also work with tiled, mip-mapped .tif textures.
If you have .png or .jpg files as textures, there are two modes that karma can use to process these. Both of these modes will use significantly more memory and probably take longer for time to first pixel. So tiled, mip-mapped textures are better.
The default mode is to use OpenImageIO for texturing. There are a lot of ways to control auto-mip generation, cache, tiling etc. (see
https://openimageio.readthedocs.io/en/latest/imagecache.html [openimageio.readthedocs.io] and setting the OPENIMAGEIO_IMAGECACHE_OPTIONS environment variable).
The other mode is to use Houdini's internal texture filtering, which can be enabled by setting
HOUDINI_ENABLE_EXR_TEXTURE=0.