TransMedics Group Inc (TMDX)
Quick ratio
| 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 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 336,650 | 330,094 | 362,751 | 350,217 | 394,812 | 427,110 | 582,210 | 195,375 | 201,182 | 204,462 | 30,386 | 17,897 | 25,580 | 22,495 | 25,314 | 26,727 | 24,581 | 21,397 | 51,152 | 24,738 |
| Short-term investments | US$ in thousands | — | — | — | — | — | — | — | — | 0 | 0 | 27,697 | 54,104 | 66,872 | 80,360 | 86,935 | 91,386 | 101,061 | 111,317 | 88,223 | 47,816 |
| Receivables | US$ in thousands | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — |
| Total current liabilities | US$ in thousands | 59,913 | 60,048 | 54,329 | 50,223 | 54,934 | 49,101 | 32,017 | 28,635 | 23,661 | 20,689 | 22,741 | 20,256 | 23,238 | 15,923 | 15,079 | 11,757 | 11,879 | 13,624 | 13,818 | 15,039 |
| Quick ratio | 5.62 | 5.50 | 6.68 | 6.97 | 7.19 | 8.70 | 18.18 | 6.82 | 8.50 | 9.88 | 2.55 | 3.55 | 3.98 | 6.46 | 7.44 | 10.05 | 10.58 | 9.74 | 10.09 | 4.82 |
December 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($336,650K
+ $—K
+ $—K)
÷ $59,913K
= 5.62
The quick ratio of TransMedics Group Inc has shown notable fluctuations over the given periods, ranging from a high of 18.18 to a low of 2.55. The quick ratio measures the company's ability to meet its short-term obligations with its most liquid assets. A quick ratio above 1 indicates that the company has an adequate level of liquid assets to cover its short-term liabilities.
From March 31, 2020, to June 30, 2021, the company's quick ratio experienced a generally increasing trend, indicating improving liquidity and a stronger ability to meet short-term obligations. However, from September 30, 2021, to December 31, 2024, the quick ratio fluctuated, at times dropping below 1, which may raise concerns about the company's short-term liquidity position.
The sharp increase in the quick ratio to 18.18 on June 30, 2023, suggests a significant buildup of liquid assets relative to short-term liabilities. However, the subsequent decline in the ratio to 5.50 by September 30, 2024, may indicate a decrease in the company's ability to quickly cover its short-term obligations.
Overall, it is important for TransMedics Group Inc to maintain a healthy quick ratio above 1 to ensure its liquidity and ability to meet short-term financial commitments. Monitoring changes in the quick ratio over time will be crucial for assessing the company's liquidity position and financial health.
Peer comparison
Dec 31, 2024