Revenue growth has normalized to 21.2% in 2026Q1 as the company faces structural margin pressure, with gross margins fluctuating between 55.9% and 61.8% over the last ten quarters.
| Sales/Revenue | 635.89M | 605.49M | 441.54M | 241.62M | 93.46M | 30.26M | 25.64M | 23.6M | 13.02M | 7.68M | 6.21M |
| Revenue Growth % | 30.24% | 37.13% | 82.74% | 158.53% | 208.83% | 18.03% | 8.62% | 81.33% | 69.38% | 23.77% | - |
| Cost of Goods Sold | 260.15M | 242.69M | 179.46M | 87.53M | 28.19M | 9.1M | 9M | 9.74M | 7.28M | 5.55M | 5.44M |
| COGS % of Revenue | - | 40.08% | 40.64% | 36.23% | 30.16% | 30.08% | 35.12% | 41.27% | 55.95% | 72.19% | 87.66% |
| Gross Profit | 375.74M | 362.81M | 262.08M | 154.09M | 65.27M | 21.16M | 16.64M | 13.86M | 5.73M | 2.14M | 766K |
| Gross Margin % | 59.09% | 59.92% | 59.36% | 63.77% | 69.84% | 69.92% | 64.88% | 58.73% | 44.05% | 27.81% | 12.34% |
| Gross Profit Growth % | - | 38.43% | 70.08% | 136.08% | 208.48% | 27.2% | 20% | 141.77% | 168.32% | 178.98% | - |
| Operating Expenses | 281.3M | 254.22M | 224.59M | 182.82M | 96.71M | 60.59M | 43.02M | 43.47M | 25.97M | 22.56M | 23.75M |
| OpEx % of Revenue | - | 41.99% | 50.86% | 75.66% | 103.48% | 200.21% | 167.79% | 184.15% | 199.52% | 293.6% | 382.54% |
| Selling, General & Admin | 204.53M | 185.17M | 168.62M | 119.55M | 69.9M | 38.28M | 24.19M | 23.6M | 12.31M | 7.61M | 8.12M |
| SG&A % of Revenue | - | 30.58% | 38.19% | 49.48% | 74.79% | 126.51% | 94.34% | 99.97% | 94.61% | 98.97% | 130.7% |
| Research & Development | 76.77M | 69.06M | 55.97M | 63.27M | 26.81M | 22.3M | 18.83M | 19.87M | 13.66M | 14.96M | 15.64M |
| R&D % of Revenue | - | 11.4% | 12.68% | 26.18% | 28.69% | 73.7% | 73.45% | 84.18% | 104.91% | 194.63% | 251.84% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | -213K | 0 | 5K |
| Operating Income | 94.44M | 108.58M | 37.5M | -28.73M | -31.44M | -39.43M | -26.38M | -29.6M | -20.24M | -20.43M | -22.99M |
| Operating Margin % | 14.85% | 17.93% | 8.49% | -11.89% | -33.64% | -130.29% | -102.91% | -125.42% | -155.47% | -265.79% | -370.2% |
| Operating Income Growth % | - | 189.59% | 230.53% | 8.62% | 20.27% | -49.44% | 10.87% | -46.28% | 0.93% | 11.14% | - |
| EBITDA | 115.48M | 135.77M | 57.25M | -20.55M | -27.96M | -37.61M | -24.81M | -28.38M | -19.47M | -19.8M | -22.56M |
| EBITDA Margin % | 18.16% | 22.42% | 12.97% | -8.51% | -29.92% | -124.28% | -96.75% | -120.24% | -149.56% | -257.59% | -363.34% |
| EBITDA Growth % | 55.83% | 137.13% | 378.61% | 26.5% | 25.66% | -51.61% | 12.59% | -45.78% | 1.66% | 12.25% | - |
| D&A (Non-Cash Add-back) | 21.05M | 27.18M | 19.76M | 8.18M | 3.48M | 1.82M | 1.58M | 1.22M | 769K | 630K | 426K |
| EBIT | 104.46M | 121.3M | 50.19M | -15.88M | -32.44M | -40.3M | -24.73M | -29.15M | -21M | -19.72M | -23.09M |
| Net Interest Income | -7.82M | -13.78M | -14.41M | 1.71M | -2.83M | -3.87M | -2.33M | -3.56M | -2.42M | -524K | -974K |
| Interest Income | 2.5M | 0 | 0 | 12.5M | 900K | 0 | 1.65M | 790K | 0 | 548K | 5K |
| Interest Expense | 3.15M | 13.78M | 14.41M | 10.79M | 3.73M | 3.87M | 3.98M | 4.35M | 2.42M | 1.07M | 979K |
| Other Income/Expense | -5.11M | -1.06M | -1.72M | 2.06M | -4.73M | -4.75M | -2.33M | -3.9M | -3.48M | -365K | -1.08M |
| Pretax Income | 89.33M | 107.52M | 35.78M | -26.67M | -36.16M | -44.18M | -28.72M | -33.51M | -23.71M | -20.79M | -24.07M |
| Pretax Margin % | 14.05% | 17.76% | 8.1% | -11.04% | -38.7% | -145.99% | -112% | -141.95% | -182.18% | -270.54% | -387.58% |
| Income Tax | -84.93M | -82.77M | 316K | -1.64M | 66K | 36K | 32K | 40K | 41K | 32K | 0 |
| Effective Tax Rate % | -95.08% | -76.98% | 0.88% | 6.16% | -0.18% | -0.08% | -0.11% | -0.12% | -0.17% | -0.15% | 0% |
| Net Income | 171.92M | 190.29M | 35.46M | -25.03M | -36.23M | -44.22M | -28.75M | -33.55M | -23.76M | -20.82M | -24.07M |
| Net Margin % | 27.04% | 31.43% | 8.03% | -10.36% | -38.77% | -146.11% | -112.13% | -142.12% | -182.5% | -270.96% | -387.58% |
| Net Income Growth % | 251.23% | 436.58% | 241.7% | 30.92% | 18.06% | -53.8% | 14.31% | -41.21% | -14.09% | 13.47% | - |
| Net Income (Continuing) | 171.92M | 190.29M | 35.46M | -25.03M | -36.23M | -44.22M | -28.75M | -33.55M | -23.76M | -20.82M | -24.07M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 4.75 | 4.87 | 1.01 | -0.77 | -1.23 | -1.60 | -1.16 | -2.36 | -1.23 | -1.44 | -1.66 |
| EPS Growth % | 221.32% | 382.18% | 231.17% | 37.4% | 23.13% | -37.93% | 50.85% | -91.87% | 14.58% | 13.25% | - |
| EPS (Basic) | - | 5.60 | 1.07 | -0.77 | -1.23 | -1.60 | -1.16 | -2.36 | -1.23 | -1.44 | -1.66 |
| Diluted Shares Outstanding | 36.19M | 40.54M | 35.22M | 32.52M | 29.56M | 27.62M | 24.7M | 14.2M | 19.25M | 14.48M | 14.48M |
| Basic Shares Outstanding | 34.38M | 33.99M | 33.23M | 32.52M | 29.56M | 27.62M | 24.7M | 14.2M | 19.25M | 14.48M | 14.48M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - |
Aviation operational cost volatility
As reported in recent financial filings, TransMedics' year-over-year revenue growth has decelerated significantly from the triple-digit expansion observed in early 2024 to 21.2% in 2026Q1, suggesting the company is transitioning from an early-stage hyper-growth phase toward a more mature, albeit still expanding, market penetration cycle.
The rapid deceleration in top-line growth indicates that the initial surge from the National OCS Program rollout is moderating as the company reaches higher penetration levels within existing transplant centers. Investors should monitor whether the current growth rate represents a sustainable baseline or if further deceleration is likely as the company exhausts its immediate addressable market.
Based on the provided income statement data, gross margins have fluctuated between 55.9% and 61.8% over the last ten quarters, reflecting the inherent tension between high-margin disposable kit sales and the increasingly capital-intensive, lower-margin aviation logistics services required to support the National OCS Program infrastructure.
The inability to consistently maintain gross margins above 60% suggests that the integration of aviation assets is creating a structural drag on profitability. This shift implies that the company's margin profile is now more sensitive to operational efficiencies in flight utilization rather than just the pricing power of its medical device portfolio.
According to the company's reported figures, the 2025Q4 net margin of 65.6% appears to be a significant outlier compared to the 4.2% margin in 2026Q1, indicating that non-operating items or tax valuation allowance releases are likely inflating periodic net income and obscuring the underlying operational performance.
The wide variance between operating income and net income suggests that GAAP earnings are not a reliable proxy for core business health. Analysts should focus on operating margins, which have shown volatility, to better understand the true profitability of the logistics-heavy business model without the noise of non-recurring accounting events.
As indicated by the quarterly income statements, SG&A expenses have risen from $34.6 million in 2023Q4 to $63.0 million in 2026Q1, reflecting the substantial overhead required to manage a national clinical logistics network and the associated specialized labor force necessary for the OCS service model.
The persistent increase in SG&A suggests that the company is incurring significant fixed costs to maintain its competitive moat. If revenue growth continues to decelerate while these operating expenses remain sticky, the company may face meaningful pressure on its operating leverage in the coming quarters.
Quick answers to the most common questions about buying TMDX stock.
For fiscal year 2025, TransMedics Group, Inc. (TMDX) reported total revenue of $605.5M. This represents a 9651.9% increase compared to $6.2M in 2016.
TransMedics Group, Inc. (TMDX) is profitable, generating $190.3M in net income for the fiscal year ending 2025 with a net profit margin of 31.4%.
TransMedics Group, Inc. (TMDX) reported an operating income of $108.6M, resulting in an operating profit margin of 17.9%. This margin reflects the operational efficiency of the business before interest and taxes.
TransMedics Group, Inc. (TMDX) generated $362.8M in gross profit for the year, representing a gross profit margin of 59.9%. This demonstrates the company's core pricing power and production efficiency.