TransMedics Raises 2026 Revenue Forecast to $764–774 Million After 41% Quarterly Growth
Key Facts
On November 5, 2026, TransMedics reported revenue of $203.0 million for the third quarter ended September 30, up 41% year over year, and raised its fiscal 2026 revenue forecast range to $764–774 million, including PAD Aviation. The company said organic revenue growth reached 35% during the quarter, while its new annual range implies year-over-year growth of 26% to 28%. The forecast revision comes amid growth in liver and heart transplant volumes and logistics services, along with a contribution from PAD Aviation. The company also issued an annual forecast excluding PAD Aviation of $750–760 million. Its previous range, excluding PAD Aviation, was $737–757 million.
Revenue growth was spread across products and services: product revenue rose 29% to $113.4 million, while service revenue increased 60% to $89.6 million. Organic service revenue growth was 43%, compared with overall organic growth of 35%. TransMedics said the revenue increase was driven mainly by higher liver and heart transplant volumes through its NOP program. The company added that revenue from its logistics services contributed to the increase, along with PAD Aviation following its strategic investment in the company on July 1, 2026. This breakdown separates product growth from service growth, while the figures show that services had the higher annual growth rate.
Sales growth coincided with a decline in net income to $17.1 million in the third quarter, from $24.3 million in the same period of 2025. Diluted earnings per share fell to $0.46 from $0.66 a year earlier. The company said the year-over-year decline in gross margin primarily reflected a higher share of service revenue in the mix. Lower waste and inventory adjustments, along with improved logistics efficiency, partly offset the decline. Cash stood at $493.0 million on September 30, 2026, according to the earnings release.
Investing.com estimated that the new annual revenue range of $764–774 million exceeds the average analyst forecast of $741.8 million. On its operations, the company said the results were achieved despite the usual seasonality of the third quarter. The chief executive added that quarterly performance came before any contribution from the ENHANCE Part B and DENOVO trials. The company therefore cited continued growth in its existing business and service expansion among the factors underpinning its updated forecast, while the two trials remain among the future developments mentioned in the release. TMDX shares closed at $72.76 on November 4, 2026, according to EL7 data.
In October developments, the U.S. Food and Drug Administration approved a continued access protocol allowing 90 patients to be added to Part One of the ENHANCE Heart trial. The agency also granted IDE approvals for the ENHANCE Heart Part B and DENOVO Lung trials, with the CHOPS system serving as a control arm in each. TransMedics won its first European tender for organ transplant logistics services in Italy and began European operations using PAD Aviation. The chief executive said the company plans to launch the OCS NOP model in Italy, the Netherlands and Belgium. The company said its first-in-human OCS Kidney trial remains targeted for the second half of 2027.