TransMedics Group Inc (TMDX)

Total asset turnover

		Dec 31, 2024	Sep 30, 2024	Jun 30, 2024	Mar 31, 2024	Dec 31, 2023	Sep 30, 2023	Jun 30, 2023	Mar 31, 2023	Dec 31, 2022	Sep 30, 2022	Jun 30, 2022	Mar 31, 2022	Dec 31, 2021	Sep 30, 2021	Jun 30, 2021	Mar 31, 2021	Dec 31, 2020	Sep 30, 2020	Jun 30, 2020	Mar 31, 2020
Revenue (ttm)	US$ in thousands	441,540	401,090	358,759	296,919	241,623	191,824	151,077	119,133	93,459	71,752	51,439	39,089	30,262	28,221	29,942	25,162	25,639	24,069	24,183	26,458
Total assets	US$ in thousands	804,076	785,571	758,577	723,831	706,047	689,227	690,358	287,088	277,147	274,873	117,285	124,008	134,893	131,146	140,512	145,783	152,026	159,322	163,137	96,923
Total asset turnover		0.55	0.51	0.47	0.41	0.34	0.28	0.22	0.41	0.34	0.26	0.44	0.32	0.22	0.22	0.21	0.17	0.17	0.15	0.15	0.27

December 31, 2024 calculation

Total asset turnover = Revenue (ttm) ÷ Total assets
= $441,540K ÷ $804,076K
= 0.55

TransMedics Group Inc's total asset turnover has shown fluctuations over the period from March 31, 2020, to December 31, 2024. The total asset turnover ratio measures the efficiency of the company in utilizing its assets to generate sales revenue. A higher ratio indicates that the company is generating more sales revenue per dollar of assets.

Initially, the total asset turnover ratio was quite low at 0.27 on March 31, 2020, indicating inefficiency in utilizing its assets to generate revenue. However, there was a significant drop in the ratio to 0.15 in June and September 2020, suggesting further deterioration in asset utilization efficiency during that period.

From December 2020 to March 2023, the total asset turnover remained relatively stable around 0.17 to 0.22, indicating a moderate level of asset efficiency in generating revenue. There was a notable increase in the ratio in the subsequent quarters, reaching 0.55 on December 31, 2024, indicating a substantial improvement in asset utilization efficiency.

The peak ratio of 0.55 on December 31, 2024, suggests that TransMedics Group Inc improved its efficiency in generating sales revenue compared to the earlier periods. The company may have optimized its asset management practices during this period to enhance revenue generation. The increasing trend in total asset turnover from 2020 to 2024 reflects potential improvements in operational efficiency and asset utilization within the company.