TEAM INCTISI
TEAM INC Segments Disclosure
SEGMENT AND GEOGRAPHIC DISCLOSURES
We conduct operations in two segments: IHT and MS. Management’s determination of our reporting segments was made on the basis of our strategic priorities within each segment and the differences in the services we offer. The reportable segments results are reviewed regularly by the chief operating decision maker (“CODM”), who is our Chief Executive Officer, in deciding how to allocate resources and assess performance. Our CODM evaluates the segments’ operating performance based on adjusted EBITDA defined as net income (loss) before income taxes, interest expense, depreciation and amortization, and other non-recurring and non-operational items. Our CODM uses adjusted EBITDA as a measure to make resource allocation decisions for each segment for the budgeting process and reviews budget-to-actual variances to access performance and allocate capital.
Segment data for our two operating segments are as follows (in thousands):
| Twelve Months Ended December 31, 2025 | ||||||||||||||
| IHT | MS | Total | ||||||||||||
| Revenues | $ | 458,879 | $ | 437,604 | $ | 896,483 | ||||||||
Adjusted operating expenses1 | 340,738 | 311,290 | 652,028 | |||||||||||
Adjusted selling, general and administrative expenses2 | 61,089 | 81,553 | 142,642 | |||||||||||
Adjusted EBITDA | $ | 57,052 | $ | 44,761 | $ | 101,813 | ||||||||
| Twelve Months Ended December 31, 2024 | ||||||||||||||
| IHT | MS | Total | ||||||||||||
| Revenues | $ | 426,722 | $ | 425,550 | $ | 852,272 | ||||||||
Adjusted operating expenses1 | 316,831 | 298,473 | 615,304 | |||||||||||
Adjusted selling, general and administrative expenses2 | 60,388 | 80,960 | 141,348 | |||||||||||
Adjusted EBITDA | $ | 49,503 | $ | 46,117 | $ | 95,620 | ||||||||
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1 Represent operating expenses excluding indirect depreciation and amortization, and severance cost.
2 Represent segment selling, general and administrative expenses excluding depreciation and amortization, non-cash share-based compensation, professional, legal and other non-recurring costs.
Reconciliation of segment adjusted EBITDA to consolidated loss before income taxes (in thousands):
| Twelve Months Ended December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
| IHT | $ | 57,052 | $ | 49,503 | |||||||
| MS | 44,761 | 46,117 | |||||||||
Segment adjusted EBITDA | 101,813 | 95,620 | |||||||||
Segment depreciation and amortization | (28,787) | (29,839) | |||||||||
Segment professional fees, severance and other | (2,747) | (1,482) | |||||||||
| Corporate and shared support cost | (56,208) | (54,163) | |||||||||
| Consolidated operating income | 14,071 | 10,136 | |||||||||
| Interest expense | (44,676) | (47,808) | |||||||||
Loss on debt extinguishment | (13,136) | — | |||||||||
| Other income/(expense) | (2,889) | 2,682 | |||||||||
| Loss before income taxes | $ | (46,630) | $ | (34,990) | |||||||
| Twelve Months Ended December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
Capital expenditures1: | |||||||||||
| IHT | $ | 6,527 | $ | 3,675 | |||||||
MS | 4,505 | 3,691 | |||||||||
| Corporate and shared support services | 836 | 132 | |||||||||
Total capital expenditures | $ | 11,868 | $ | 7,498 | |||||||
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1 Excludes finance leases. Totals may vary from amounts presented in the consolidated statements of cash flows due to the timing of cash payments.
| Twelve Months Ended December 31, | |||||||||||
| 2025 | 2024 | ||||||||||
Depreciation and amortization1: | |||||||||||
| IHT | $ | 12,032 | $ | 11,778 | |||||||
| MS | 16,755 | 18,061 | |||||||||
| Corporate and shared support services | 5,295 | 6,456 | |||||||||
Total depreciation and amortization | $ | 34,082 | $ | 36,295 | |||||||
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1 Breakdown of depreciation and amortization included in the Consolidated Statements of Operations described below:
| Twelve Months Ended December 31, | ||||||||||||||
| 2025 | 2024 | |||||||||||||
| Depreciation and amortization: | ||||||||||||||
| Amount included in operating expenses | $ | 12,495 | $ | 13,730 | ||||||||||
| Amount included in SG&A expenses | 21,587 | 22,565 | ||||||||||||
| Total depreciation and amortization | $ | 34,082 | $ | 36,295 | ||||||||||
Separate measures of our assets by operating segment are not produced or utilized by our CODM to evaluate segment performance.
A geographic breakdown of our revenues for the years ended December 31, 2025 and 2024 and our total long-lived assets as of December 31, 2025 and 2024 are as follows (in thousands):
Total Revenues1 | Total Long-lived Assets2 | ||||||||||
| Twelve months ended December 31, 2025 | |||||||||||
| United States | $ | 680,702 | $ | 171,004 | |||||||
| Canada | 76,811 | 5,262 | |||||||||
| Other countries | 138,970 | 22,060 | |||||||||
| Total | $ | 896,483 | $ | 198,326 | |||||||
| Twelve months ended December 31, 2024 | |||||||||||
| United States | $ | 637,662 | $ | 182,971 | |||||||
| Canada | 66,940 | 5,221 | |||||||||
| Other countries | 147,670 | 15,293 | |||||||||
| Total | $ | 852,272 | $ | 203,485 | |||||||
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1 Revenues attributable to individual countries/geographic areas are based on the country of domicile of the legal entity that performs the work.
2 Excludes financial instruments and deferred tax assets.
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 12, 2026 | Showing above |
| 2024 | Mar 19, 2025 | |
| 2023 | Mar 7, 2024 | |
| 2022 | Mar 14, 2023 | |
| 2021 | Mar 16, 2022 | |
| 2020 | Mar 12, 2021 | |
| 2019 | Mar 16, 2020 | |
| 2018 | Mar 19, 2019 | |
| 2017 | Mar 15, 2018 | |
About Segments Disclosures
Segment disclosures break a company into its reportable operating units, revealing revenue, profit, and asset allocation that consolidated financial statements obscure. Under ASC 280, segments must match how the chief operating decision maker views the business, providing a window into internal management structure and resource allocation priorities.
Key signals: compare segment margins to identify which units drive profitability and which destroy value. Watch for changes in the number of reportable segments — segment aggregation or disaggregation often coincides with strategic shifts or attempts to obscure declining performance. Intersegment elimination patterns reveal internal pricing practices. The reconciliation between segment totals and consolidated figures exposes corporate overhead allocation and unallocated items. Geographic revenue concentration highlights regulatory and currency exposure. Compare segment-level capital expenditure against segment revenue to assess where management is investing for future growth versus harvesting existing assets.