Team (NYSE:TISI) Announces Quarterly Earnings Results, Beats Expectations By $4.51 EPS

Key Points

• Team reported a third-quarter loss of $1.43 per share, narrower than the expected $5.94 loss, while revenue of $220.37 million exceeded the $208.88 million consensus estimate.
• Revenue fell 2% year over year, with turnaround revenue down about 49%. Team lowered its 2026 outlook, citing maintenance deferrals and Middle East disruptions that pushed work beyond year-end.
• The company increased its expected annualized benefit from structural cost improvements to $30 million–$38 million, up from a prior range of $20 million–$35 million.

Team (NYSE:TISI - Get Free Report) announced its quarterly earnings results on Thursday. The business services provider reported ($1.43) EPS for the quarter, beating the consensus estimate of ($5.94) by $4.51, FiscalAI reports. The company had revenue of $220.37 million during the quarter, compared to analyst estimates of $208.88 million.

Here are the key takeaways from Team's conference call:

• Negative Sentiment: Third-quarter revenue fell 2% to $220.4 million, while turnaround revenue declined approximately 49% year over year. The company lowered its 2026 outlook, citing continued maintenance deferrals and Middle East disruptions that pushed additional work beyond year-end.
• Negative Sentiment: Adjusted EBITDA was $15.7 million, but Mechanical Services operating income dropped to $0.4 million from $3.4 million as lower turnaround activity hurt utilization. Management expects much of the deferred work to return in early 2027, though timing depends on customer schedules and market conditions.
• Positive Sentiment: Team raised its expected full annual run-rate benefit from structural cost improvements to $30 million–$38 million, from $20 million–$35 million previously. It reported about $9 million in savings realized through Q3 and expects $15 million–$18 million of benefit in 2026.
• Positive Sentiment: Inspection and Heat-Treating revenue grew 3.9% to $127.1 million, helping offset weakness in Mechanical Services; adjusted EBITDA rose 8.2% to $15.7 million and margin improved to 7.1%. Management attributed the gains partly to lower adjusted SG&A and a more favorable project mix.
• Positive Sentiment: The company is in advanced discussions on potential multi-year aerospace and European nuclear opportunities, and a resolved legal dispute may allow it to pursue more business with a former customer whose historical revenue exceeded $20 million annually. The opportunities remain unsigned, are not included in 2026 guidance, and any contribution is expected to build over time.

Team Stock Performance

Shares of NYSE TISI traded up $3.07 during mid-day trading on Thursday, hitting $22.99. 162,916 shares of the stock were exchanged, compared to its average volume of 16,920. The company has a market cap of $105.36 million, a P/E ratio of -2.44 and a beta of 1.15. The stock's fifty day simple moving average is $25.71 and its two-hundred day simple moving average is $19.02. Team has a twelve month low of $12.47 and a twelve month high of $29.57.

Insider Buying and Selling

In other Team news, CFO Clinton Roeder bought 9,000 shares of Team stock in a transaction dated Friday, August 21st. The shares were acquired at an average cost of $22.89 per share, with a total value of $206,010.00. Following the acquisition, the chief financial officer directly owned 9,000 shares of the company's stock, valued at $206,010. The trade was a ∞ increase in their ownership of the stock. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, Director Anthony Horton bought 2,000 shares of Team stock in a transaction dated Monday, August 24th. The stock was acquired at an average cost of $22.90 per share, for a total transaction of $45,800.00. Following the completion of the acquisition, the director directly owned 28,082 shares in the company, valued at $643,077.80. This represents a 7.67% increase in their ownership of the stock. Additional details regarding this purchase are available in the official SEC disclosure. Insiders bought 23,500 shares of company stock valued at $575,750 in the last quarter. 8.80% of the stock is currently owned by corporate insiders.

Key Team News

These are some of the TISI news items that stood out recently:

• Positive Sentiment: Team reported a third-quarter loss of $1.43 per share, substantially narrower than analysts’ expected loss of $5.94. Revenue of $220.37 million also exceeded the $208.88 million consensus estimate. The earnings and revenue beats are positive signals, though EPS remained negative. Team, Inc. Reports Third Quarter 2026 Results
• Neutral Sentiment: The company said it is advancing operational transformation and commercial diversification initiatives. These may support longer-term performance, but the report summary provides no measurable results or financial impact yet. Team, Inc. Reports Third Quarter 2026 Results
• Neutral Sentiment: Team updated its FY 2026 earnings guidance, but the supplied report does not state the revised outlook, leaving the direction and implications unclear. Team, Inc. Reports Earnings Results

Wall Street Analyst Weigh In

Several research firms have issued reports on TISI. Weiss Ratings reiterated a "sell (d-)" rating on shares of Team in a research note on Thursday, October 15th. Wall Street Zen upgraded shares of Team to a "hold" rating in a research note on Saturday, September 19th. One equities research analyst has rated the stock with a Sell rating. According to MarketBeat, the company presently has an average rating of "Sell".

About Team

Team, Inc. is an industrial services company that provides asset integrity management, inspection, maintenance, and repair services for customers with complex industrial infrastructure. Its work supports the safe and reliable operation of facilities and equipment in industries such as energy, petrochemicals, refining, power generation, and other process-based sectors. The company's services include nondestructive testing and examination, mechanical integrity assessment, engineering and consulting, heat treatment, rope access, leak detection and repair, field machining, and specialized repair and maintenance.

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