TransMedics Q2 revenue beats expectations, raises FY forecast

Overview

• TransMedics Q2 revenue grows 38% yr/yr, beating analyst expectations, per LSEG data

• Net income for Q2 rises significantly, reflecting successful strategy execution

• Company raises full-year 2025 revenue guidance, indicating confidence in growth

Outlook

• TransMedics raises 2025 revenue guidance to $585 mln-$605 mln

• Company targets 10,000 US NOP (National OCS Program) transplants by 2028

Result Drivers

• OCS UTILIZATION - Revenue growth driven by increased utilization of Organ Care System, particularly in Liver and Heart through National OCS Program

• AVIATION EXPANSION - Expansion and utilization of aviation fleet fueled NOP service revenue

• R&D INVESTMENT - Increased operating expenses attributed to higher research and development investment

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 3 "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 $149.00, about 29.6% above its July 29 closing price of $104.83

• The stock recently traded at 48 times the next 12-month earnings vs. a P/E of 41 three months ago

Press Release: ID:nPnXYVH1a