Company: TISI
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0000318833-25-000037
Chunk: 12

Company: TEAM INC
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 2
Chunk 12
---
 interest rates and their impact on our forecasted costs of raising additional capital.

See Item 1A “Risk Factors” in our Annual Report on Form 10-K for additional information.

29 

Recent Refinancing Transactions. On March 12, 2025, we entered into the Refinancing Transactions with our existing and new lenders. Refer to Note 10 - Debt to the unaudited condensed consolidated financial statements for additional details.

 As of March 31, 2025, we had approximately $16.3 million of available borrowing capacity under our various credit facilities, consisting of $6.3 million available under the Revolving Credit Loans, and $10.0 million available under the Second Lien Delayed Draw Term Loans. Our principal uses of cash are for working capital needs, capital expenditures, and operations.

As of March 31, 2025, we were in compliance with our debt covenants. Our ability to maintain compliance with the financial covenants contained in the 2022 ABL Credit Agreement, First Lien Term Loan Agreement and Second A&R Second Lien Term Loan Credit Agreement is dependent upon our future operating performance and future financial condition, both of which are subject to various risks and uncertainties. 

As of May 8, 2025, we had consolidated cash and cash equivalents of $8.6 million, excluding $3.9 million of restricted cash used mainly as collateral for letters of credit and commercial card programs, and approximately $15.2 million of undrawn availability under our various credit facilities, resulting in total liquidity of $23.8 million. 

Cash Flows

The following table summarizes cash flows from Operating, Investing and Financing activities (in thousands):

Three Months Ended March 31,Cash flows provided by (used in):20252024Favorable(Unfavorable)Operating activities$(28,661)$1,886 $(30,547)Investing activities(1,406)(3,016)1,610 Financing activities11,188 (9,834)21,022 Effect of exchange rate changes on cash137 (273)410 Net change in cash and cash equivalents$(18,742)$(11,237)$(7,505)

Cash and cash equivalents. Our cash and cash equivalents as of March 31, 2025 totaled $16.8 million, consisting of $12.8 million of unrestricted cash on hand, and $4.0 million of