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Here are 1-3 brief analogies to describe Team Inc. (TISI):

• Team is like Schlumberger or Halliburton, but focused on the specialized inspection and repair of critical fixed industrial assets like refineries and pipelines, rather than oilfield extraction services.
• Team is like Caterpillar's world-renowned service network, but for all types of critical industrial assets (not just Cat equipment) found in refineries, power plants, and pipelines.
• Team is like the Mayo Clinic for industrial plants – providing high-tech diagnostics and specialized "surgery" to maintain their health and integrity.

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• Inspection and Heat Treating Services: Provides non-destructive testing (NDT), advanced NDT, and heat treatment solutions to assess the condition and integrity of industrial assets.
• Mechanical Services: Offers critical maintenance and repair solutions, including on-line leak repair, hot tapping, field machining, and composite repair, to maintain operational integrity and extend asset life.

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Major Customers of Team, Inc. (TISI)

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Keith D. Tucker, Chief Executive Officer

Keith D. Tucker was appointed as Team, Inc.'s Chief Executive Officer in November 2022, after serving as interim CEO since March 2022. He joined TEAM in 2005 and has held various leadership roles within the company, including President of the Inspection & Heat Treating Group, Executive Vice President of the North Division, Executive Vice President of the Mid Continent Division, and Vice President of the Great Lakes Region, Inspection & Heat Treating. With 32 years of industry experience, Mr. Tucker previously held positions at Citgo and BP Amoco, focusing on process safety management and inspection functions.

Nelson M. Haight, Executive Vice President, Chief Financial Officer

Nelson M. Haight was appointed Executive Vice President and Chief Financial Officer for TEAM in June 2022. He brings over 30 years of experience in finance and operations within downstream, midstream, and upstream services. Prior to joining TEAM, Mr. Haight served as Senior Vice President, Chief Financial Officer, and Treasurer at Key Energy Services, Inc. from June 2020 to June 2022.

Matthew E. Acosta, Vice President and Chief Accounting Officer

Matthew E. Acosta serves as the Vice President and Chief Accounting Officer for Team, Inc.

James C. Webster, Executive Vice President, Chief Legal Officer and Corporate Secretary

James C. Webster was appointed Executive Vice President, Chief Legal Officer and Corporate Secretary of Team, Inc. in April 2025. He previously served as Corporate Secretary of Team, Inc. from January 2025. Before joining TEAM, Mr. Webster was the Vice President and General Counsel of Dril-Quip, Inc., an NYSE-listed manufacturer of equipment for the energy industry, from February 2011 until its merger in September 2024.

Daniel Dolson, Executive Vice President, Chief Strategy and Transformation Officer

Daniel Dolson was promoted to Executive Vice President, Chief Strategy and Transformation Officer in July 2025 to lead the Company's transformation efforts. He has over 25 years of operational and financial experience. Before joining TEAM in October 2024, Mr. Dolson was an Executive Vice President with Dayton Superior Corporation, where he successfully led commercial efforts to improve margins and operating EBITDA. Earlier in his career, he worked to improve earnings at Associated Materials LLC as Vice President – Operations Controller. Mr. Dolson, a CPA, began his career with Arthur Andersen LLP and holds a BA in Accounting from Kent State University.

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The key risks to Team, Inc.'s (TISI) business primarily revolve around its financial health, the successful execution of its turnaround strategy, and its vulnerability to the cyclical nature of the industrial sectors it serves.

1. Financial Instability and High Leverage: Team, Inc. faces significant financial challenges, evidenced by a weak financial status and high debt. The company's Altman Z-Score of 0.95 suggests an increased risk of bankruptcy, as a score under 3 is generally considered a warning sign. Furthermore, the company has a high Debt/Equity ratio of 10.98, negative earnings per share, and has reported losses in the last 12 months, along with negative operating and free cash flow. The company has also been evaluating options to address its capital structure.
2. Execution Risk of Turnaround Plan and Operational Challenges: Team, Inc. is actively undergoing a strategic turnaround, focusing on simplification, cost optimization, and margin expansion to drive profitable growth. While the company has reported some progress, such as increased revenue and gross margin despite inflationary pressures and labor challenges, the success of this turnaround is critical. The most recent financial results still show a large EPS loss and negative margins, indicating that sustained operational improvement and new contract wins are essential for future upside. The company also continues to contend with ongoing inflationary pressures in its supply chain and challenging labor costs and availability.
3. Sensitivity to Industrial Sector Conditions and Economic Downturns: As a provider of specialty industrial services to sectors like process, pipeline, and power, Team, Inc.'s business is inherently exposed to the cyclical nature and health of these industries. The company's performance can be significantly impacted by broader economic volatility and disruptions, including inflation, rising interest rates, and overall economic uncertainty, the duration and severity of which cannot be predicted. Additionally, the company experiences seasonality in its business activity, which can lead to negative working capital and liquidity impacts during certain periods.

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Clear Emerging Threats for Team, Inc. (TISI):

1. Advancements in Autonomous Inspection and Digitalization: The rapid development and adoption of robotics, drones, and artificial intelligence (AI) for industrial asset inspection and predictive maintenance present a significant emerging threat. Companies specializing in these technologies offer more efficient, safer, and data-rich solutions compared to traditional human-led, periodic inspections. This shift towards continuous, automated monitoring and AI-driven insights could displace demand for TISI's conventional inspection and maintenance services, mirroring how Netflix disrupted Blockbuster's traditional delivery model by offering a more technologically advanced and convenient alternative.

2. Energy Transition and Decarbonization: TISI's substantial revenue dependence on traditional energy sectors, such as oil and gas, power generation, and chemicals, exposes it to long-term market contraction as global energy transitions accelerate towards renewable sources and industries prioritize decarbonization. A potential decline in demand for services related to legacy fossil fuel infrastructure, coupled with the emergence of specialized competitors focused solely on the burgeoning green energy infrastructure market (e.g., offshore wind, hydrogen facilities), poses a systemic threat to TISI's core revenue streams and requires a substantial strategic reorientation.

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The addressable markets for Team, Inc.'s (TISI) main products and services encompass the broader industrial services market, which can be further broken down into Inspection and Heat Treating (IHT) services, and Mechanical Services (MS).

Industrial Services Market

• The global industrial services market was estimated at USD 32.65 billion in 2023 and is projected to reach USD 50.09 billion by 2030, growing at a Compound Annual Growth Rate (CAGR) of 6.5% from 2024 to 2030.
• Another estimate places the global industrial services market at USD 34.81 billion in 2024, projected to reach USD 65.53 billion by 2034, with a CAGR of 6.53% from 2025 to 2034.
• North America held the largest share of the industrial services market, accounting for 34.66% in 2023. The North American market was valued at USD 12.18 billion in 2024. The U.S. industrial services market was estimated at USD 8.77 billion in 2024 and is expected to reach approximately USD 16.86 billion by 2034.

Inspection and Heat Treating (IHT) Services (Non-Destructive Testing (NDT) Inspection Services)

• The global non-destructive testing (NDT) inspection service market was valued at USD 20.5 billion in 2023 and is projected to grow to USD 34.93 billion by 2032, at a CAGR of 6.1% from 2025 to 2032.
• Another projection indicates the global NDT inspection service market will grow from USD 24.1 billion in 2025 to USD 50.7 billion by 2035, at a CAGR of 7.7%.
• North America is the leading market for NDT inspection services, holding approximately 40% of the global market share. The NDT services market size for North America is projected to increase from USD 6.67 billion in 2025 to USD 8.85 billion by 2030.

Mechanical Services (MS)

• The global mechanical services market is expected to reach USD 17.56 billion by 2035, growing from USD 10.26 billion in 2024, at a CAGR of 5.1% from 2025 to 2035.
• Within the broader mechanical, electrical, and plumbing (MEP) services market, mechanical services alone were valued at USD 66.46 billion in 2024. The global MEP services market was valued at USD 149.9 billion in 2024 and is projected to reach USD 301.93 billion by 2032, with a CAGR of 9.6%.
• The North American market for mechanical, electrical, and plumbing services was USD 42.96 billion in 2024, with the U.S. market expected to generate USD 34.90 billion in 2025.

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Team, Inc. (TISI) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and market dynamics:

• Growth in Inspection and Heat Treating (IHT) Segment: The IHT segment has demonstrated strong performance, with a notable 15% revenue growth in Q2 2025, including a 13% increase in the U.S. and a significant 31% rise in Canadian operations. This growth in higher-margin services, such as heat treating and laboratory testing/inspection, is a key focus for the company. Team, Inc. aims to continue expanding its margins by focusing on this higher-margin work.
• Expansion in Midstream End Markets: The company has made significant progress in one of its core commercial initiatives by growing revenue from midstream end markets by nearly 15% in Q1 2025. This indicates a strategic focus on expanding its customer base within this specific industrial sector.
• Operational Efficiency and Strategic Transformation: While primarily impacting profitability, Team, Inc.'s ongoing focus on operational efficiency, cost discipline, and strategic transformation efforts are expected to support revenue growth by allowing the company to pursue higher-margin opportunities and enhance its value proposition. The company is targeting further improvements in selling, general, and administrative (SG&A) and other costs, workforce utilization, and the top line, with anticipated annualized savings. These improvements can free up resources and enhance competitiveness, indirectly driving revenue.
• Leveraging Integrated, Digitally-Enabled Solutions: Team, Inc. is enhancing its value proposition by developing fully-digitized processes for customers looking to consolidate their purchases with fewer, larger, and more sophisticated service providers. As a global leader in specialty industrial services, offering integrated and customized solutions, the company's ability to provide digitally-enabled asset performance assurance and optimization solutions positions it to capture market share from clients seeking comprehensive and advanced service offerings.

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Share Issuance

• Team, Inc. completed a private placement of $75 million in preferred stock and warrants with Stellex Capital Management in September 2025, primarily to reduce debt and enhance financial flexibility.
• This agreement includes an obligation for Stellex Capital to purchase an additional 30,000 Delayed Draw Series B Preferred Shares at $1,000 per share, exercisable from September 11, 2025, to September 11, 2027.

Inbound Investments

• In September 2025, Stellex Capital Management made a significant inbound investment of $75 million in preferred stock and warrants into Team, Inc.
• As part of the investment agreement, Stellex Capital Management nominated two members, K. Niclas Ytterdahl and Michael D. Stewart, to Team, Inc.'s Board of Directors, effective October 24, 2025, signifying a strategic partnership.

Outbound Investments

• Team, Inc. made a Later Stage VC investment in Q-CTRL on October 8, 2024.

Capital Expenditures

• For the second quarter of 2025, Team, Inc. reported an increase in total liquidity to $49 million, which included consolidated cash of $16.6 million and $32.7 million of undrawn availability under various credit facilities.
• Free Cash Flow is defined as net cash provided by (used in) operating activities minus capital expenditures paid in cash.
• Team, Inc. successfully closed a refinancing transaction in March 2025 that lowered its blended interest rate by over 100 basis points and extended term loan maturities to 2030, enhancing financial flexibility.