Company: TISI
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0000318833-25-000037
Chunk: 107

Company: TEAM INC
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 8
Chunk 107
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 provided by operating activities was driven by net loss for the period, which totaled $17.2 million, offset by positive working capital impacts of $5.7 million, depreciation and amortization of $9.6 million, PIK interest of $3.1 million, and amortization of debt issuance costs of $2.0 million.

Cash flows attributable to our investing activities. For the three months ended March 31, 2025, net cash used in investing activities consisted primarily of capital expenditures of $1.4 million.

For the three months ended March 31, 2024, net cash used in investing activities consisted primarily of capital expenditures of $3.0 million.

Cash flows attributable to our financing activities. For the three months ended March 31, 2025, net cash provided by financing activities was $11.2 million, consisting primarily of the net borrowings under the Revolving Credit Loans of $8.0 

30 

million, borrowings under the new First Lien Term Loan and 2025 Second Lien Term Loan partially offset by the payments of the total outstanding balances under the Corre Delayed Draw Term Loan, Corre Incremental Term Loan and ME/RE Loans, and  a partial pay down of the Corre Uptiered Loan. In addition, we paid $8.1 million of debt issuance costs for the Refinancing Transactions at March 12, 2025.

For the three months ended March 31, 2024, net cash used in financing activities was $9.8 million, consisting primarily of net payments under our 2022 ABL Credit Facility of $9.9 million, payments under the ME/RE Loans of $0.7 million, payments under the Incremental Term Loan of $0.4 million, and payment of debt issuance costs of $1.4 million, partially offset by equipment financing of $2.5 million.

Effect of exchange rate changes on cash and cash equivalents. For the three months ended March 31, 2025 and 2024, the effect of foreign exchange rate changes on cash was $0.1 million and negative $0.3 million, respectively. The impact of exchange rates on cash and cash equivalents is primarily attributable to fluctuations in U.S. Dollar exchange rate against the Euro, the British Pound, the Canadian Dollar and the Brazil Real.

Off-Balance Sheet Arrangements

From time-to-time, we enter into off-balance sheet arrangements and transactions that can give rise