Team, Inc. Reports 8.3% Revenue Increase to $215.1 Million in Q1 2026

Team, Inc. reported a revenue increase of 8.3% for the first quarter of 2026, reaching $215.1 million compared to $198.7 million in the same period last year. The growth was driven by a $9.8 million increase in the Inspection and Heat-Treating (IHT) segment, attributed to heightened turnaround and capital project activities, particularly in the U.S. Additionally, the Mechanical Services (MS) segment saw a revenue rise of $6.6 million, primarily due to increased project activity in the U.S. and Canada. Despite the revenue growth, the company recorded a net loss of $11.3 million, a significant improvement from the $29.7 million loss reported in the prior year.

Operating expenses for the quarter were $161.9 million, up from $148.3 million in the previous year, reflecting increased operational activity. The overall operating loss narrowed to $3.4 million from $6.0 million, indicating improved cost management alongside revenue growth. The IHT segment reported a slight increase in operating income, while the MS segment's operating loss decreased significantly, reflecting better performance in the U.S. market. Interest expenses also decreased by 22.3% to $8.9 million, largely due to refinancing efforts that reduced overall debt costs.

In terms of strategic developments, Team, Inc. has made organizational changes by moving its Emission Control Services from the MS segment to the IHT segment, which is expected to enhance operational efficiency. The company continues to focus on expanding its service offerings and improving its market position in the industrial services sector. As of March 31, 2026, Team, Inc. had a total of 4,571,382 shares of common stock outstanding, with a total debt of $306.5 million, reflecting an increase from $297.2 million at the end of 2025.

Looking ahead, Team, Inc. remains cautiously optimistic about its financial outlook, emphasizing the importance of maintaining liquidity and managing operational costs. The company has approximately $40.5 million in available borrowing capacity under its credit facilities, which it plans to utilize for working capital and capital expenditures. Management believes that current cash flows and available credit will be sufficient to support operations and meet financial obligations in the near term, although they acknowledge potential risks related to market conditions and operational performance.