Company: TISI
Filing Date: 2025-11-12
Form Type: 10-Q
Source: 0000318833-25-000070
Chunk: 6

Company: TEAM INC
Filing Date: 2025-11-12
Form: 10-Q
Item: Part I, Item 2
Chunk 6
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 debt extinguishment. The loss on debt extinguishment reflects the write-off of unamortized debt issuance costs associated with the prepayment of the 2025 Second Lien Term Loans on September 11, 2025.

Other income (expense), net. Overall change in other income (expense), net of $3.3 million is primarily attributable to gain on favorable foreign currency fluctuations during the current quarter.

Taxes. The provision for income tax was $0.9 million on the pre-tax loss of $10.5 million in the current year quarter, compared to a $0.5 million income tax provision on a pre-tax loss of $10.6 million in the prior year quarter. The effective tax rate, inclusive of discrete items, was a provision of 9.1% for the three months ended September 30, 2025, compared to a provision of 4.7% for the three months ended September 30, 2024. The increase in effective tax rate for the three months ended September 30, 2025 compared to the three months ended September 30, 2024 is due to the mix of pretax income in non-valuation allowance jurisdictions and pretax losses in valuation allowance jurisdictions. The impact is a larger increase in income tax expense as compared to pretax income, resulting in a higher effective tax rate. 

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Nine Months Ended September 30, 2025 Compared to Nine Months Ended September 30, 2024

The following is a comparison of our results of operations for the nine months ended September 30, 2025 to the nine months ended September 30, 2024 (in thousands):

 Nine Months Ended September 30,Favorable (Unfavorable) 20252024$% (unaudited)(unaudited)  Revenues by business segment:IHT$350,389 $320,286 $30,103 9.4 %MS321,268 318,690 2,578 0.8 %Total revenues$671,657 $638,976 $32,681 5.1 %Operating income (loss):IHT$35,995 $27,504 $8,491 30.9 %MS14,879 19,188 (4,309)(22.5)%Corporate and shared support services(43,432)(38,761)(4,671)(12.1)%Total operating income$7