TransMedics Group Q3 revenue jumps 41% on higher organ volumes, logistics growth
Overview
U.S. transplant therapy firm's Q3 revenue rose 41% yr/yr, beating analyst expectations
Adjusted EPS for Q3 beat analyst expectations
Company raised full-year 2026 revenue guidance
Outlook
TransMedics raises 2026 revenue guidance to $764-$774 mln, including PAD Aviation
Company plans European expansion and expects OCS Kidney clinical experience in H2 2027
Result Drivers
ORGAN VOLUME & LOGISTICS - Co said higher liver and heart volumes through National OCS Program and added logistics revenue, including PAD Aviation, drove revenue growth
SERVICE MIX & EFFICIENCIES - Higher service revenue mix weighed on gross margin, partly offset by logistics efficiencies and lower costs
EXPANSION INVESTMENTS - Operating expenses rose due to investment in new clinical programs, headcount growth, and infrastructure expansion
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Beat | $203 mln | $177.58 mln (11 Analysts) |
Q3 Adjusted EPS | Beat | $0.51 | $0.29 (9 Analysts) |
Q3 EPS | $0.46 | ||
Q3 Net Income | $17.10 mln | ||
Q3 Gross Margin | 58.50% |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 4 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the advanced medical equipment & technology peer group is "buy"
Wall Street's median 12-month price target for TransMedics Group, Inc. is $106.00, about 45.7% above its November 4 closing price of $72.76
The stock recently traded at 32 times the next 12-month earnings vs. a P/E of 30 three months ago
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)