TransMedics Group Inc (TMDX)

Operating profit margin

		Dec 31, 2024	Dec 31, 2023	Dec 31, 2022	Dec 31, 2021	Dec 31, 2020
Operating income	US$ in thousands	37,496	-28,727	-31,437	-39,428	-26,384
Revenue	US$ in thousands	441,540	241,623	93,459	30,262	25,639
Operating profit margin		8.49%	-11.89%	-33.64%	-130.29%	-102.91%

December 31, 2024 calculation

Operating profit margin = Operating income ÷ Revenue
= $37,496K ÷ $441,540K
= 8.49%

TransMedics Group Inc's operating profit margin has shown variability over the years based on the provided data. The company experienced extremely negative operating profit margins in 2020 and 2021, which indicates that its operating expenses were significantly higher than its generated revenues during those periods. However, there was a noticeable improvement in the operating profit margin in 2022, where the margin was still negative but to a lesser extent compared to the previous years.

By 2023, TransMedics Group Inc was able to further reduce its operating losses, with the operating profit margin standing at -11.89%. This suggests that the company's cost management strategies may have started to yield some positive results. Finally, in 2024, the company turned a corner with a positive operating profit margin of 8.49%, indicating that TransMedics Group Inc was able to generate operating income relative to its revenue for the first time in the provided data.

Overall, the trend in TransMedics Group Inc's operating profit margin shows a gradual improvement from significant losses to eventual profitability, indicating potential positive developments in the company's operational efficiency and financial performance over the years.