Company: TISI
Filing Date: 2025-08-12
Form Type: 10-Q
Source: 0000318833-25-000057
Chunk: 57

Company: TEAM INC
Filing Date: 2025-08-12
Form: 10-Q
Item: Part I, Item 1
Chunk 57
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 our reportable segments. Free cash flow is used by our management and investors to analyze our ability to service and repay debt and return value directly to stakeholders.

Non-GAAP measures have important limitations as analytical tools because they exclude some, but not all, items that affect net earnings and operating income. These measures should not be considered substitutes for their most directly comparable U.S. GAAP financial measures and should be read only in conjunction with financial information presented on a GAAP basis. Further, our non-GAAP financial measures may not be comparable to similarly titled measures of other companies who may calculate non-GAAP financial measures differently, limiting the usefulness of those measures for comparative purposes. The liquidity measure of free cash flow does not represent a precise calculation of residual cash flow available for discretionary expenditures. Reconciliations of each non-GAAP financial measure to its most directly comparable GAAP financial measure are presented below.

The following tables set forth the reconciliation of adjusted net income (loss), EBIT and EBITDA to their most comparable GAAP financial measurements on a consolidated and segmented basis:

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TEAM, INC. AND SUBSIDIARIESRECONCILIATION OF NON-GAAP FINANCIAL MEASURES(unaudited, in thousands except per share data)Three Months Ended June 30,Six Months Ended June 30,2025202420252024Adjusted Net Loss:Net loss$(4,266)$(2,763)$(33,984)$(19,958)Professional fees and other12,301 516 4,308 2,597 Write-off of software cost— — 45 — Legal costs799 41 1,289 123 Severance charges375 225 842 650 Loss on debt extinguishment— — 11,853 — Tax impact of adjustments and other net tax items(90)(26)(103)(138)Adjusted Net Loss$(881)$(2,007)$(15,750)$(16,726)Adjusted Net Loss per common share:Basic and Diluted$(0.20)$(0.45)$(3.50)$(3.79)Consolidated Adjusted EBIT and Adjusted EBITDA:Net loss$(4,266)$(2,763)$(33,984)$(19,958)Provision for income taxes983 1,472 1,205 1,545 Loss on equipment sale— 28 5 18 Interest expense, net11,