| x      | QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934  |
|--------|------------------------------------------------------------------------------------------|
|   |                                                                                     |
|   | For the quarterly period ended August 31, 2010                                           |
|   |                                                                                     |
| Or     |
|   |                                                                                     |
| o      | TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
|   |                                                                                     |
|   | For the transition period to                                                             |

----

----

| Delaware                                                      |   | 22-3341267                          |
|---------------------------------------------------------------|--------|-------------------------------------|
| (State or other jurisdiction ofincorporation or organization) |   | (I.R.S. EmployerIdentification No.) |
|                                                          |   |                                |
| 195 Clarksville RoadPrinceton Junction, New Jersey            |   | 08550                               |
| (Address of principal executive offices)                      |   | (Zip Code)                          |

----

|                                          | Large accelerated filer o |   | Accelerated filer o         |   |
|-----------------------------------------------|---------------------------|--------|-----------------------------|--------|
|                                          | Non-accelerated filer x   |   | Smaller reporting company o |   |
| (Do not check if a smaller reporting company) |                      |   |                        |

----

|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   | PAGE   |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-----------|---------------------------------------------------------------------------------------------------------|--------|--------|
| PART I—FINANCIAL INFORMATION                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |      |                                                                                                    |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 1.   | Financial Statements (unaudited)                                                                   |   | 2      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      | Unaudited Consolidated Balance Sheets as of August 31, 2010 and May 31, 2010                            |   | 2      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      | Unaudited Consolidated Statements of Operations for the three months ended August 31, 2010 and 2009     |   | 3      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      | Unaudited Consolidated Statement of Equity  as of  August 31, 2010 and May 31, 2010 |   | 4      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      | Unaudited Consolidated Statements of Cash Flows for the three months ended August 31, 2010 and 2009     |   | 5      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      | Notes to Unaudited Consolidated Financial Statements                                                    |   | 6      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 2.   | Management’s Discussion and Analysis of Financial Condition and Results of Operations             |   | 19     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 3.   | Quantitative and Qualitative Disclosures about Market Risk                                              |   | 26     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 4.   | Controls and Procedures                                                                                 |   | 27     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
| PART II—OTHER INFORMATION                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               |      |                                                                                                    |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 1.   | Legal Proceedings                                                                                       |   | 29     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 1.A. | Risk Factors                                                                                            |   | 29     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 2.   | Unregistered Sales of Equity Securities and Use of Proceeds                                             |   | 29     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 3.   | Defaults Upon Senior Securities                                                                         |   | 29     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 5.   | Other Information                                                                                       |   | 29     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          | ITEM 6.   | Exhibits                                                                                                |   | 29     |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |   |   |
| SIGNATURES                                                                                                                            |      | 30                                                                                                      |
|                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          |      |                                                                                                    |
| EXHIBIT INDEX                                                                                                                         |      | 31                                                                                                      |

----

PART I—FINANCIAL INFORMATION

| ITEM 1. | Financial Statements (unaudited) |
|---------|----------------------------------|

|                                                                                                                                                                       |   | August 31, 2010 |    |   | May 31, 2010 |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-----------------|---------|--------|--------------|--------|
| ASSETS                                                                                                                                                                     |   |            |    |   |         |   |
| Current Assets                                                                                                                                                             |   |            |    |   |         |   |
| Cash and cash equivalents                                                                                                                                                  |   | $               | 13,855  |   |         | $      | 16,037 |   |
| Accounts receivable, net                                                                                                                                                   |   |            | 51,877  |   |         |   | 54,721 |   |
| Inventories, net                                                                                                                                                           |   |            | 8,982   |   |         |   | 8,736 |   |
| Deferred income taxes                                                                                                                                                      |   |            | 2,272   |   |         |   | 2,189 |   |
| Prepaid expenses and other current assets                                                                                                                                  |   |            | 5,334   |   |         |   | 5,292 |   |
| Total current assets                                                                                                                                                       |   |            | 82,320  |   |         |   | 86,975 |   |
| Property, plant and equipment, net                                                                                                                                         |   |            | 40,469  |   |         |   | 39,981 |   |
| Intangible assets, net                                                                                                                                                     |   |            | 17,695  |   |         |   | 16,088 |   |
| Goodwill                                                                                                                                                                   |   |            | 47,622  |   |         |   | 44,315 |   |
| Other assets                                                                                                                                                               |   |            | 204     |   |         |   | 1,273 |   |
| Total assets                                                                                                                                                               |   | $               | 188,310 |   |         | $      | 188,632 |   |
|                                                                                                                                                                       |   |            |    |   |         |   |   |   |
| LIABILITIES, PREFERRED STOCK AND EQUITY                                                                                                                                    |   |            |    |   |         |   |   |   |
| Current liabilities                                                                                                                                                        |   |            |    |   |         |   |   |   |
| Current portion of long-term debt                                                                                                                                          |   | $               | 6,579   |   |         | $      | 6,303 |   |
| Current portion of capital lease obligations                                                                                                                               |   |            | 5,219   |   |         |   | 5,370 |   |
| Accounts payable                                                                                                                                                           |   |            | 4,553   |   |         |   | 4,640 |   |
| Accrued expenses and other current liabilities                                                                                                                             |   |            | 19,263  |   |         |   | 20,090 |   |
| Income taxes payable                                                                                                                                                       |   |            | 2,332   |   |         |   | 3,281 |   |
| Total current liabilities                                                                                                                                                  |   |            | 37,946  |   |         |   | 39,684 |   |
| Long-term debt, net of current portion                                                                                                                                     |   |            | 6,441   |   |         |   | 5,691 |   |
| Obligations under capital leases, net of current portion                                                                                                                   |   |            | 8,467   |   |         |   | 9,199 |   |
| Deferred income taxes                                                                                                                                                      |   |            | 2,032   |   |         |   | 2,087 |   |
| Other long-term liabilities                                                                                                                                                |   |            | 662     |   |         |   | 1,417 |   |
| Total liabilities                                                                                                                                                          |   |            | 55,548  |   |         |   | 58,078 |   |
|                                                                                                                                                                       |   |            |    |   |         |   |   |   |
| Commitments and contingencies                                                                                                                                              |   |            |    |   |         |   |   |   |
| Preferred stock, 10,000,000 shares authorized                                                                                                                              |   |            | — |   |         |   | — |   |
| Equity                                                                                                                                                                     |   |            |    |   |         |   |   |   |
| Common stock, $0.01 par value, 200,000,000 shares authorized, 26,664,254 and 26,663,528 shares issued and outstanding as of August 31, 2010 and May 31, 2010, respectively |   |            | 267     |   |         |   | 267 |   |
| Additional paid-in capital                                                                                                                                                 |   |            | 162,783 |   |         |   | 162,054 |   |
| Accumulated deficit                                                                                                                                                        |   |            | (28,856 | )      |         |   | (30,448 | ) |
| Accumulated other comprehensive loss                                                                                                                                       |   |            | (1,797  | )      |         |   | (1,587 | ) |
| Total Mistras Group, Inc. stockholders’ equity                                                                                                                       |   |            | 132,397 |   |         |   | 130,286 |   |
| Noncontrolling interest                                                                                                                                                    |   |            | 365     |   |         |   | 268 |   |
| Total equity                                                                                                                                                               |   |            | 132,762 |   |         |   | 130,554 |   |
| Total liabilities, preferred stock and equity                                                                                                                              |   | $               | 188,310 |   |         | $      | 188,632 |   |

----

|                                                                     |   | For the three months ended August 31, |    |
|--------------------------------------------------------------------------|--------|---------------------------------------|---------|
|                                                                     |   | 2010                                  |    |   | 2009 |   |
| Revenues:                                                                |   |                                  |    |   |   |   |
| Services                                                                 |   | $                                     | 61,252  |   |   | $ | 51,656 |   |
| Products                                                                 |   |                                  | 7,158   |   |   |   | 4,433 |   |
| Total revenues                                                           |   |                                  | 68,410  |   |   |   | 56,089 |   |
| Cost of Revenues:                                                        |   |                                  |    |   |   |   |   |   |
| Cost of services                                                         |   |                                  | 41,391  |   |   |   | 34,369 |   |
| Cost of goods sold                                                       |   |                                  | 3,277   |   |   |   | 2,099 |   |
| Depreciation of services                                                 |   |                                  | 2,809   |   |   |   | 2,280 |   |
| Depreciation of products                                                 |   |                                  | 155     |   |   |   | 191 |   |
| Total cost of revenues                                                   |   |                                  | 47,632  |   |   |   | 38,939 |   |
| Gross profit                                                             |   |                                  | 20,778  |   |   |   | 17,150 |   |
| Selling, general and administrative expenses                             |   |                                  | 15,479  |   |   |   | 13,133 |   |
| Research and engineering                                                 |   |                                  | 555     |   |   |   | 483 |   |
| Depreciation and amortization                                            |   |                                  | 1,178   |   |   |   | 1,045 |   |
| Legal reserve                                                            |   |                                  | 250     |   |   |   | (297 | ) |
| Income from operations                                                   |   |                                  | 3,316   |   |   |   | 2,786 |   |
| Other expenses                                                           |   |                                  |    |   |   |   |   |   |
| Interest expense                                                         |   |                                  | 690     |   |   |   | 1,064 |   |
| Loss on extinguishment of long-term debt                                 |   |                                  | — |   |   |   | 169 |   |
| Income before provision for income taxes and noncontrolling interest     |   |                                  | 2,626   |   |   |   | 1,553 |   |
| Provision for income taxes                                               |   |                                  | 1,054   |   |   |   | 694 |   |
| Net income                                                               |   |                                  | 1,572   |   |   |   | 859 |   |
| Net loss (income) attributable to noncontrolling interests, net of taxes |   |                                  | 20      |   |   |   | (44 | ) |
| Net income attributable to common stockholders                           |   | $                                     | 1,592   |   |   | $ | 815 |   |
| Earnings per common share:                                               |   |                                  |    |   |   |   |   |   |
| Basic                                                                    |   | $                                     | 0.06    |   |   | $ | 0.06 |   |
| Diluted                                                                  |   | $                                     | 0.06    |   |   | $ | 0.04 |   |
| Weighted average common shares outstanding:                              |   |                                  |    |   |   |   |   |   |
| Basic                                                                    |   |                                  | 26,664  |   |   |   | 13,000 |   |
| Diluted                                                                  |   |                                  | 26,778  |   |   |   | 20,435 |   |

----

Mistras Group, Inc. and Subsidiaries

Unaudited Consolidated Statement of Stockholders’ Equity

(in thousands)

|                                    |   |  Common Stock |   |   |    | Retained   |   | Accumulated  |   |          |    |           |   |    |   |
|-----------------------------------------|--------|--------------------|--------|--------|---------|------------|--------|--------------|--------|---------------|---------|----------------|--------|---------|--------|
|                                    |   |               |   |   |    | Additional |   | earnings     |   | other         |    |           |   |    |   |   |   |
|                                    |   |               |   |   |    | paid-in    |   | (accumulated |   | comprehensive |    | Noncontrolling |   |    |   | Comprehensive |   |
|                                    |   | Shares             |   | Amount |    | capital    |   | deficit)     |   | loss          |    | Interest       |   | Total   |   | income (loss) |   |
| Balance at May 31, 2010                 |   | 26,664             |   | $      | 267     |       | $      | 162,054      |   | $             | (30,448 | )              | $      | (1,587  | )      | $ | 268 |   | $ | 130,554 |   | $ |   |   |
|                                    |   |               |   |   |    |       |   |         |   |          |    |           |   |    |   |   |   |   |   |   |   |   |   |   |
| Net income (loss)                       |   | —            |   |   | — |       |   | —      |   |          | 1,592   |           |   | — |   |   | (20 | ) |   | 1,572 |   |   | 1,572 |   |
| Foreign currency translation adjustment |   | —            |   |   | — |       |   | —      |   |          | — |           |   | (210    | )      |   | — |   |   | (210 | ) |   | (210 | ) |
| Stock compensation                      |   | —            |   |   | — |       |   | 729          |   |          | — |           |   | — |   |   | — |   |   | 729 |   |   | — |   |
| Noncontrolling interest in subsidiary   |   | —            |   |   | — |       |   | —      |   |          | — |           |   | — |   |   | 117 |   |   | 117 |   |   | — |   |
|                                    |   |               |   |   |    |       |   |         |   |          |    |           |   |    |   |   |   |   |   |   |   |   |   |   |
| Balance at August 31, 2010              |   | 26,664             |   | $      | 267     |       | $      | 162,783      |   | $             | (28,856 | )              | $      | (1,797  | )      | $ | 365 |   | $ | 132,762 |   | $ | 1,362 |   |

----

|                                                                                   |   | For the three months ended August 31, |    |
|----------------------------------------------------------------------------------------|--------|---------------------------------------|---------|
|                                                                                   |   | 2010                                  |    |   | 2009 |   |
| Cash flows from operating activities                                                   |   |                                  |    |   |   |   |
| Net income attributable to common stockholders                                         |   | $                                     | 1,592   |   |   | $ | 815 |   |
| Adjustments to reconcile net income to net cash provided by operating activities       |   |                                  |    |   |   |   |   |   |
| Depreciation and amortization                                                          |   |                                  | 4,142   |   |   |   | 3,516 |   |
| Deferred income taxes                                                                  |   |                                  | (24     | ) |   |   | — |   |
| Provision for doubtful accounts                                                        |   |                                  | 105     |   |   |   | 897 |   |
| Loss on extinguishment of long-term debt                                               |   |                                  | — |   |   |   | 169 |   |
| Gain on sale of assets                                                                 |   |                                  | (9      | ) |   |   | (29 | ) |
| Amortization of deferred financing costs                                               |   |                                  | 42      |   |   |   | 69 |   |
| Stock compensation expense                                                             |   |                                  | 729     |   |   |   | 250 |   |
| Noncash interest rate swap                                                             |   |                                  | 89      |   |   |   | 124 |   |
| Net (loss) income attributable to noncontrolling interests                             |   |                                  | (20     | ) |   |   | 44 |   |
| Foreign currency (gain) loss                                                           |   |                                  | (17     | ) |   |   | 210 |   |
| Changes in operating assets and liabilities, net of effect of acquisitions             |   |                                  |    |   |   |   |   |   |
| Accounts receivable                                                                    |   |                                  | 3,140   |   |   |   | 214 |   |
| Inventories                                                                            |   |                                  | (189    | ) |   |   | 965 |   |
| Prepaid expenses and other current assets                                              |   |                                  | (18     | ) |   |   | (436 | ) |
| Other assets                                                                           |   |                                  | 937     |   |   |   | (575 | ) |
| Accounts payable                                                                       |   |                                  | 281     |   |   |   | 1,154 |   |
| Income taxes payable                                                                   |   |                                  | (938    | ) |   |   | 452 |   |
| Accrued expenses and other current liabilities                                         |   |                                  | (1,561  | ) |   |   | (2,356 | ) |
| Net cash provided by operating activities                                              |   |                                  | 8,281   |   |   |   | 5,483 |   |
| Cash flows from investing activities                                                   |   |                                  |    |   |   |   |   |   |
| Purchase of property, plant and equipment                                              |   |                                  | (1,877  | ) |   |   | (1,375 | ) |
| Purchase of intangible assets                                                          |   |                                  | (86     | ) |   |   | (85 | ) |
| Acquisition of businesses, net of cash acquired                                        |   |                                  | (5,301  | ) |   |   | (14,000 | ) |
| Proceeds from sale of equipment                                                        |   |                                  | 24      |   |   |   | 102 |   |
| Net cash used in investing activities                                                  |   |                                  | (7,240  | ) |   |   | (15,358 | ) |
| Cash flows from financing activities                                                   |   |                                  |    |   |   |   |   |   |
| Repayment of capital lease obligations                                                 |   |                                  | (1,459  | ) |   |   | (1,425 | ) |
| Repayments of long-term debt                                                           |   |                                  | (1,642  | ) |   |   | (38,009 | ) |
| Net borrowings from revolver                                                           |   |                                  | — |   |   |   | 25,335 |   |
| Proceeds from borrowings of long-term debt                                             |   |                                  | — |   |   |   | 25,000 |   |
| Debt issuance costs                                                                    |   |                                  | — |   |   |   | (500 | ) |
| Net cash (used in) provided by financing activities                                    |   |                                  | (3,101  | ) |   |   | 10,401 |   |
| Effect of exchange rate changes on cash and cash equivalents                           |   |                                  | (122    | ) |   |   | (159 | ) |
| Net change in cash and cash equivalents                                                |   |                                  | (2,182  | ) |   |   | 367 |   |
| Cash and cash equivalents                                                              |   |                                  |    |   |   |   |   |   |
| Beginning of period                                                                    |   |                                  | 16,037  |   |   |   | 5,668 |   |
| End of period                                                                          |   | $                                     | 13,855  |   |   | $ | 6,035 |   |
| Supplemental disclosure of cash paid                                                   |   |                                  |    |   |   |   |   |   |
| Interest                                                                               |   | $                                     | 750     |   |   | $ | 1,035 |   |
| Income taxes                                                                           |   | $                                     | 3,530   |   |   | $ | 185 |   |
| Noncash investing and financing                                                        |   |                                  |    |   |   |   |   |   |
| Equipment acquired through capital lease obligations                                   |   | $                                     | 583     |   |   | $ | 1,598 |   |
| Issuance of notes payable and other debt obligations primarily related to acquisitions |   | $                                     | 1,637   |   |   | $ | 4,412 |   |

----

----

----

----

----

|                    |   | For the three months ended August 31, |
|-------------------------|--------|---------------------------------------|
|                    |   | 2010                                  |   | 2009 |
|                    |   |                                  |   |   |   |   |
| Dividend yield          |   |                                  | 0.0 | % |   |   | 0.0 | % |
| Expected volatility     |   |                                  | 44 | % |   |   | 44 | % |
| Risk-free interest rate |   |                                  | 2.6 | % |   |   | 1.9-3.0 | % |
| Expected term (years)   |   |                                  | 6.3 |   |   |   | 4.0-6.3 |   |

----

| Number of entities                    |   |   | 2      |   |
|---------------------------------------|--------|--------|--------|--------|
| Total cost:                           |   |   |   |   |
| Cash paid                             |   | $      | 5,301  |   |
| Subordinated notes issued             |   |   | 1,637  |   |
| Debt assumed                          |   |   | 98     |   |
|                                  |   |   |   |   |
|                                  |   | $      | 7,036  |   |
|                                  |   |   |   |   |
| Current assets acquired               |   |   | 59     |   |
| Property, plant and equipment         |   |   | 1,067  |   |
| Deferred tax asset                    |   |   | 6      |   |
| Intangibles, primarily customer lists |   |   | 2,655  |   |
| Goodwill                              |   |   | 3,366  |   |
| Less: noncontrolling interest         |   |   | (117   | )      |
|                                  |   |   |   |   |
|                                  |   | $      | 7,036  |   |

|                                      |   | Useful Life |   |   | August 31, 2010 |   |   | May 31, 2010 |   |
|-------------------------------------------|--------|-------------|--------|--------|-----------------|--------|--------|--------------|--------|
|                                      |   | (Years)     |   |   |            |   |   |         |   |
| Land                                      |   |        |   |   | $               | 2,186  |   |         | $      | 1,304 |   |
| Building and improvements                 |   |        | 30-40  |   |            |   | 10,677 |         |   |   | 10,240 |   |
| Office furniture and equipment            |   |        | 5-8    |   |            |   | 3,543  |         |   |   | 1,479 |   |
| Machinery and equipment                   |   |        | 5-7    |   |            |   | 68,499 |         |   |   | 68,238 |   |
|                                      |   |        |   |   |            |   | 84,905 |         |   |   | 81,261 |   |
| Accumulated depreciation and amortization |   |        |   |   |            |   | 44,436 |         |   |   | 41,280 |   |
|                                      |   |        |   |   |            | $      | 40,469 |         |   | $ | 39,981 |   |

----

| Balance, May 31, 2010           |   | $      | 1,661  |   |
|---------------------------------|--------|--------|--------|--------|
| Provision for doubtful accounts |   |   | 105    |   |
| Write-offs, net of recoveries   |   |   | (19    | )      |
| Foreign exchange valuation      |   |   | 7      |   |
|                            |   |   |   |   |
| Balance, August 31, 2010        |   | $      | 1,754  |   |

|            |   | As of           |   |   | As of        |   |
|-----------------|--------|-----------------|--------|--------|--------------|--------|
|            |   | August 31, 2010 |   |   | May 31, 2010 |   |
|            |   |            |   |   |         |   |
| Raw materials   |   | $               | 2,595  |   |         | $      | 2,564 |   |
| Work in process |   |            | 2,373  |   |         |   | 2,252 |   |
| Finished goods  |   |            | 2,746  |   |         |   | 2,655 |   |
| Supplies        |   |            | 1,268  |   |         |   | 1,265 |   |
|            |   | $               | 8,982  |   |         | $      | 8,736 |   |

|                                                  |   | As of           |   |   | As of        |   |
|-------------------------------------------------------|--------|-----------------|--------|--------|--------------|--------|
|                                                  |   | August 31, 2010 |   |   | May 31, 2010 |   |
|                                                  |   |            |   |   |         |   |
| Accrued salaries, wages and related employee benefits |   | $               | 8,511  |   |         | $      | 8,158 |   |
| Other accrued expenses                                |   |            | 2,675  |   |         |   | 2,740 |   |
| Accrued worker compensation and health benefits       |   |            | 6,809  |   |         |   | 8,041 |   |
| Deferred revenues                                     |   |            | 1,268  |   |         |   | 1,151 |   |
|                                                  |   |            |   |   |         |   |   |   |
| Total                                                 |   | $               | 19,263 |   |         | $      | 20,090 |   |

----

|                                      |   | As of           |    |   | As of        |   |
|-------------------------------------------|--------|-----------------|---------|--------|--------------|--------|
|                                      |   | August 31, 2010 |    |   | May 31, 2010 |   |
| Senior credit facility:                   |   |            |    |   |         |   |
| Revolver                                  |   | $               | — |   |         | $      | — |   |
| Term loans                                |   |            | — |   |         |   | — |   |
| Notes payable                             |   |            | 12,149  |   |         |   | 11,023 |   |
| Other                                     |   |            | 871     |   |         |   | 971 |   |
|                                      |   |            | 13,020  |   |         |   | 11,994 |   |
| Less: Current maturities                  |   |            | 6,579   |   |         |   | 6,303 |   |
| Long-term debt, net of current maturities |   | $               | 6,441   |   |         | $      | 5,691 |   |

----

|              |   |    |   |     |   | Variable |   | Fixed    |   |            |   |   |         |   |
|-------------------|--------|---------|--------|----------|--------|----------|--------|----------|--------|-----------------|--------|--------|--------------|--------|
|              |   |    |   | Notional |   | interest |   | interest |   | As of           |   |   | As of        |   |
| Contract date     |   | Term    |   | Amount   |   | rate     |   | rate     |   | August 31, 2010 |   |   | May 31, 2010 |   |
| November 20, 2006 |   | 4 years |   | $        | 8,000  |     | LIBOR  |     | 5.17   | %               |   | $      | (121         | )      |   | $ | (210 | ) |
|              |   |    |   | $        | 8,000  |     |   |     |   |            |   | $      | (121         | )      |   | $ | (210 | ) |

----

----

|                       |   | Three months ended August 31, |   |
|----------------------------|--------|-------------------------------|--------|
|                       |   | 2010                          |   |   | 2009 |   |
|                       |   |                          |   |   |   |   |
| Revenues                   |   |                          |   |   |   |   |
| Services                   |   | $                             | 55,282 |   |   | $ | 45,702 |   |
| Products and Systems       |   |                          | 5,310  |   |   |   | 3,625 |   |
| International              |   |                          | 9,040  |   |   |   | 7,751 |   |
| Corporate and eliminations |   |                          | (1,222 | ) |   |   | (989 | ) |
|                       |   | $                             | 68,410 |   |   | $ | 56,089 |   |

|                       |   | Three months ended August 31, |   |
|----------------------------|--------|-------------------------------|--------|
|                       |   | 2010                          |   |   | 2009 |   |
|                       |   |                          |   |   |   |   |
| Gross profit               |   |                          |   |   |   |   |
| Services                   |   | $                             | 15,001 |   |   | $ | 12,528 |   |
| Products and Systems       |   |                          | 2,569  |   |   |   | 1,688 |   |
| International              |   |                          | 3,271  |   |   |   | 3,046 |   |
| Corporate and eliminations |   |                          | (63    | ) |   |   | (112 | ) |
|                       |   | $                             | 20,778 |   |   | $ | 17,150 |   |
|                       |   |                          |   |   |   |   |   |   |
|                       |   | Three months endedAugust 31,  |   |
|                       |   |                          | 2010   |   |   |   | 2009 |   |
|                       |   |                          |   |   |   |   |   |   |
| Income from operations     |   |                          |   |   |   |   |   |   |
| Services                   |   | $                             | 3,848  |   |   | $ | 3,232 |   |
| Products and Systems       |   |                          | 791    |   |   |   | (70 | ) |
| International              |   |                          | 1,028  |   |   |   | 1,262 |   |
| Corporate and eliminations |   |                          | (2,351 | ) |   |   | (1,638 | ) |
|                       |   | $                             | 3,316  |   |   | $ | 2,786 |   |

----

|                          |   | Three months ended August 31, |   |
|-------------------------------|--------|-------------------------------|--------|
|                          |   | 2010                          |   |   | 2009 |   |
|                          |   |                          |   |   |   |   |
| Depreciation and amortization |   |                          |   |   |   |   |
| Services                      |   | $                             | 3,584  |   |   | $ | 2,874 |   |
| Products and Systems          |   |                          | 206    |   |   |   | 246 |   |
| International                 |   |                          | 320    |   |   |   | 365 |   |
| Corporate and eliminations    |   |                          | 32     |   |   |   | 31 |   |
|                          |   | $                             | 4,142  |   |   | $ | 3,516 |   |

|                       |   | As of           |   |   | As of        |   |
|----------------------------|--------|-----------------|--------|--------|--------------|--------|
|                       |   | August 31, 2010 |   |   | May 31, 2010 |   |
|                       |   |            |   |   |         |   |
| Intangible assets, net     |   |            |   |   |         |   |
| Services                   |   | $               | 15,207 |   |         | $      | 14,042 |   |
| Products and Systems       |   |            | 1,048  |   |         |   | 1,016 |   |
| International              |   |            | 930    |   |         |   | 504 |   |
| Corporate and eliminations |   |            | 510    |   |         |   | 526 |   |
|                       |   | $               | 17,695 |   |         | $      | 16,088 |   |

|                       |   | As of           |    |   | As of        |   |
|----------------------------|--------|-----------------|---------|--------|--------------|--------|
|                       |   | August 31, 2010 |    |   | May 31, 2010 |   |
|                       |   |            |    |   |         |   |
| Goodwill                   |   |            |    |   |         |   |
| Services                   |   | $               | 46,010  |   |         | $      | 42,804 |   |
| Products and Systems       |   |            | — |   |         |   | — |   |
| International              |   |            | 1,612   |   |         |   | 1,511 |   |
| Corporate and eliminations |   |            | — |   |         |   | — |   |
|                       |   | $               | 47,622  |   |         | $      | 44,315 |   |

|                       |   | As of           |    |   | As of        |   |
|----------------------------|--------|-----------------|---------|--------|--------------|--------|
|                       |   | August 31, 2010 |    |   | May 31, 2010 |   |
|                       |   |            |    |   |         |   |
| Long-lived assets          |   |            |    |   |         |   |
| Services                   |   | $               | 95,115  |   |         | $      | 91,040 |   |
| Products and Systems       |   |            | 3,724   |   |         |   | 3,837 |   |
| International              |   |            | 5,548   |   |         |   | 4,957 |   |
| Corporate and eliminations |   |            | 1,399   |   |         |   | 550 |   |
|                       |   | $               | 105,786 |   |         | $      | 100,384 |   |

----

|                          |   | For the three months ended August 31, |   |
|-------------------------------|--------|---------------------------------------|--------|
|                          |   | 2010                                  |   |   | 2009 |   |
|                          |   |                                  |   |   |   |   |
| Revenues by geographic region |   |                                  |   |   |   |   |
| United States                 |   | $                                     | 54,767 |   |   | $ | 45,237 |   |
| Europe                        |   |                                  | 6,440  |   |   |   | 6,387 |   |
| Other Americas                |   |                                  | 4,853  |   |   |   | 2,926 |   |
| Asia-Pacific                  |   |                                  | 2,350  |   |   |   | 1,539 |   |
|                          |   | $                                     | 68,410 |   |   | $ | 56,089 |   |

----

| ITEM 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
|---------|---------------------------------------------------------------------------------------------|

----

|                                                                     |   | For the three months ended August 31, |    |
|--------------------------------------------------------------------------|--------|---------------------------------------|---------|
|                                                                     |   | 2010                                  |    |   | 2009 |   |
|                                                                     |   | (in thousands )                       |    |
| Statement of Operations Data                                             |   |                                  |    |   |   |   |
| Revenues                                                                 |   | $                                     | 68,410  |   |   | $ | 56,089 |   |
| Cost of revenues                                                         |   |                                  | 44,668  |   |   |   | 36,468 |   |
| Depreciation                                                             |   |                                  | 2,964   |   |   |   | 2,471 |   |
| Gross profit                                                             |   |                                  | 20,778  |   |   |   | 17,150 |   |
| Selling, general and administrative expenses                             |   |                                  | 15,479  |   |   |   | 13,133 |   |
| Research and engineering                                                 |   |                                  | 555     |   |   |   | 483 |   |
| Depreciation and amortization                                            |   |                                  | 1,178   |   |   |   | 1,045 |   |
| Legal reserve                                                            |   |                                  | 250     |   |   |   | (297 | ) |
| Income from operations                                                   |   |                                  | 3,316   |   |   |   | 2,786 |   |
| Interest expense                                                         |   |                                  | 690     |   |   |   | 1,064 |   |
| Loss on extinguishment of long-term debt                                 |   |                                  | — |   |   |   | 169 |   |
| Income before provision for income taxes and noncontrolling interest     |   |                                  | 2,626   |   |   |   | 1,553 |   |
| Provision for income taxes                                               |   |                                  | 1,054   |   |   |   | 694 |   |
| Net income                                                               |   |                                  | 1,572   |   |   |   | 859 |   |
| Net loss (income) attributable to noncontrolling interests, net of taxes |   |                                  | 20      |   |   |   | (44 | ) |
| Net income attributable to common stockholders                           |   | $                                     | 1,592   |   |   | $ | 815 |   |

----

|                            |   | For the three months ended August 31, |    |
|---------------------------------|--------|---------------------------------------|---------|
|                            |   | 2010                                  |    |   | 2009 |   |
| EBITDA and Adjusted EBITDA data |   | (in thousands)                        |    |
| Net income                      |   | $                                     | 1,592   |   |   | $ | 815 |   |
| Interest expense                |   |                                  | 690     |   |   |   | 1,064 |   |
| Provision for income taxes      |   |                                  | 1,054   |   |   |   | 694 |   |
| Depreciation and amortization   |   |                                  | 4,142   |   |   |   | 3,516 |   |
| EBITDA                          |   | $                                     | 7,478   |   |   | $ | 6,089 |   |
| Legal reserve                   |   |                                  | 250     |   |   |   | (297 | ) |
| Large customer bankruptcy       |   |                                  | — |   |   |   | 767 |   |
| Stock compensation expense      |   |                                  | 729     |   |   |   | 250 |   |
| Loss on extinguishment of debt  |   |                                  | — |   |   |   | 169 |   |
| Adjusted EBITDA                 |   | $                                     | 8,457   |   |   | $ | 6,978 |   |

----

|                       |   | Three months ended August 31, |   |
|----------------------------|--------|-------------------------------|--------|
|                       |   | 2010                          |   |   | 2009 |   |
|                       |   | (in thousands)                |   |
| Revenues                   |   |                          |   |   |   |   |
| Services                   |   | $                             | 55,282 |   |   | $ | 45,702 |   |
| Products and Systems       |   |                          | 5,310  |   |   |   | 3,625 |   |
| International              |   |                          | 9,040  |   |   |   | 7,751 |   |
| Corporate and eliminations |   |                          | (1,222 | ) |   |   | (989 | ) |
|                       |   | $                             | 68,410 |   |   | $ | 56,089 |   |

----

|                        |   | For the three months ended August 31, |   |
|-----------------------------|--------|---------------------------------------|--------|
|                        |   | 2010                                  |   |   | 2009 |   |
|                        |   |                                  |   |   |   |   |
| Revenue growth              |   | $                                     | 12,321 |   |   | $ | 9,092 |   |
| % Growth over prior year    |   |                                  | 22.0   | % |   |   | 19.3 | % |
|                        |   |                                  |   |   |   |   |   |   |
| Comprised of:               |   |                                  |   |   |   |   |   |   |
| % of organic growth         |   |                                  | 14.5   | % |   |   | 10.9 | % |
| % of acquisition growth     |   |                                  | 7.9    | % |   |   | 12.2 | % |
| % foreign exchange decrease |   |                                  | (0.4   | %) |   |   | (3.8 | %) |
|                        |   |                                  | 22.0   | % |   |   | 19.3 | % |

|                                            |   | For the three months ended August 31, |   |
|-------------------------------------------------|--------|---------------------------------------|--------|
|                                            |   | 2010                                  |   |   | 2009 |   |
|                                            |   | (in thousand)                         |   |
| Gross profit                                    |   | $                                     | 20,778 |   |   | $ | 17,150 |   |
|                                            |   |                                  |   |   |   |   |   |   |
| Gross profit % comprised of:                    |   |                                  |   |   |   |   |   |   |
| Revenues                                        |   |                                  | 100.0  | % |   |   | 100.0 | % |
| Cost of revenues                                |   |                                  | 65.3   | % |   |   | 65.0 | % |
| Depreciation                                    |   |                                  | 4.3    | % |   |   | 4.4 | % |
| Total                                           |   |                                  | 30.4   | % |   |   | 30.6 | % |
| Gross profit % decrease from prior year quarter |   |                                  | (0.2   | %) |   |   | (4.7 | %) |

----

|                       |   | Three months ended August 31, |   |
|----------------------------|--------|-------------------------------|--------|
|                       |   | 2010                          |   |   | 2009 |   |
|                       |   | (in thousands)                |   |
| Gross profit               |   |                          |   |   |   |   |
| Services                   |   | $                             | 15,001 |   |   | $ | 12,528 |   |
| Products and Systems       |   |                          | 2,569  |   |   |   | 1,688 |   |
| International              |   |                          | 3,271  |   |   |   | 3,046 |   |
| Corporate and eliminations |   |                          | (63    | ) |   |   | (112 | ) |
|                       |   | $                             | 20,778 |   |   | $ | 17,150 |   |

|                       |   | Three months ended August 31, |   |
|----------------------------|--------|-------------------------------|--------|
|                       |   | 2010                          |   |   | 2009 |   |
|                       |   | (in thousands)                |   |
| Income from operations     |   |                          |   |   |   |   |
| Services                   |   | $                             | 3,848  |   |   | $ | 3,232 |   |
| Products and Systems       |   |                          | 791    |   |   |   | (70 | ) |
| International              |   |                          | 1,028  |   |   |   | 1,262 |   |
| Corporate and eliminations |   |                          | (2,351 | ) |   |   | (1,638 | ) |
|                       |   | $                             | 3,316  |   |   | $ | 2,786 |   |

----

|                                                         |   | For the three months ended August 31, |   |
|--------------------------------------------------------------|--------|---------------------------------------|--------|
|                                                         |   | 2010                                  |   |   | 2009 |   |
|                                                         |   | (in thousands)                        |   |
| Net cash provided by (used in):                              |   |                                  |   |   |   |   |
| Operating Activities                                         |   | $                                     | 8,281  |   |   | $ | 5,483 |   |
| Investing Activities                                         |   |                                  | (7,240 | ) |   |   | (15,358 | ) |
| Financing Activities                                         |   |                                  | (3,101 | ) |   |   | 10,401 |   |
| Effect of exchange rate changes on cash and cash equivalents |   |                                  | (122   | ) |   |   | (159 | ) |
| Net change in cash and cash equivalents                      |   | $                                     | (2,182 | ) |   | $ | 367 |   |

----

----

| ITEM 3. | Quantitative and Qualitative Disclosures about Market Risk |
|---------|------------------------------------------------------------|

----

| ITEM 4. | Controls and Procedures |
|---------|-------------------------|

----

----

PART II—OTHER INFORMATION

| ITEM 1. | Legal Proceedings |
|---------|-------------------|

| ITEM 1.A. | Risk Factors |
|-----------|--------------|

| ITEM 2. | Unregistered Sale of Equity Securities and Use of Proceeds |
|---------|------------------------------------------------------------|

| ITEM 3. | Defaults Upon Senior Securities |
|---------|---------------------------------|

| ITEM 5. | Other Information |
|---------|-------------------|

| ITEM 6. | Exhibits |
|---------|----------|

----

Signatures

|   | MISTRAS GROUP, INC. |
|--------|---------------------|
|   |                |   |
|   | By:                 | /s/ Francis T. Joyce |
|   |                | Francis T. Joyce |
|   |                | Chief Financial Officer |
|   |                | (Principal financial officer and duly authorized officer) |

----

EXHIBIT INDEX

| Exhibit No. |   | Description                                                                                                    |
|-------------|--------|----------------------------------------------------------------------------------------------------------------|
|        |   |                                                                                                           |
| 10.1        |   | Amendment to Employment Agreement, dated July 14, 2010 between Sotirios J. Vahaviolos and Mistras Group, Inc.  |
|        |   |                                                                                                           |
| 10.2        |   | Compensation Plan for Non-Employee Directors (July 2010)                                                       |
|        |   |                                                                                                           |
| 31.1        |   | Certification of Chief Executive Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934. |
|        |   |                                                                                                           |
| 31.2        |   | Certification of Chief Financial Officer pursuant to Rule 13a-14(a) under the Securities Exchange Act of 1934. |
|        |   |                                                                                                           |
| 32.1        |   | Certification pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                                       |

----