Gross margins have compressed from a peak of 27.8% in 2024Q2 to 20.8% in 2026Q1, reflecting the firm's inability to effectively scale operations or pass through rising costs.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | May'15 | May'14 | May'13 | May'12 | May'11 | May'10 | May'09 | May'08 | May'07 | May'06 | May'05 | May'04 | May'03 | May'02 | May'01 | May'00 | May'99 | May'98 | May'97 | May'96 |
|---|
| Sales/Revenue | 912.88M | 896.48M | 852.27M | 862.62M | 840.21M | 794.2M | 852.54M | 1.16B | 1.25B | 1.2B | 1.2B | 842.05M | 749.53M | 714.31M | 623.74M | 508.02M | 453.87M | 497.56M | 478.48M | 318.35M | 259.84M | 209.04M | 107.67M | 91.88M | 85.08M | 75.64M | 66.64M | 54.6M | 45.5M | 43.7M | 52.5M |
| Revenue Growth % | 7.23% | 5.19% | -1.2% | 2.67% | 5.79% | -6.84% | -26.71% | -6.71% | 3.89% | 0.29% | 42.12% | 12.34% | 4.93% | 14.52% | 22.78% | 11.93% | -8.78% | 3.99% | 50.3% | 22.52% | 24.3% | 94.16% | 17.19% | 7.99% | 12.48% | 13.52% | 22.04% | 20% | 4.12% | -16.76% | -5.75% |
| Cost of Goods Sold | 694.62M | 686.36M | 629.12M | 651.46M | 638.6M | 622.7M | 613.83M | 835.57M | 918.67M | 890.21M | 868.14M | 584.05M | 527.61M | 501.35M | 428.69M | 350.88M | 317.86M | 340.5M | 322.81M | 208.19M | 170.71M | 137.73M | 64.98M | 54.68M | 49.62M | 45.05M | 35.31M | 29.6M | 24.5M | 23.2M | 24M |
| COGS % of Revenue | - | 76.56% | 73.82% | 75.52% | 76% | 78.41% | 72% | 71.83% | 73.67% | 74.17% | 72.55% | 69.36% | 70.39% | 70.19% | 68.73% | 69.07% | 70.03% | 68.43% | 67.47% | 65.4% | 65.7% | 65.89% | 60.36% | 59.52% | 58.32% | 59.56% | 52.99% | 54.21% | 53.85% | 53.09% | 45.71% |
| Gross Profit | 218.26M | 210.12M | 223.15M | 211.15M | 201.61M | 171.5M | 238.71M | 327.74M | 328.26M | 310M | 328.55M | 257.99M | 221.92M | 212.97M | 195.05M | 157.14M | 136M | 157.06M | 155.66M | 110.16M | 89.13M | 71.31M | 42.68M | 37.19M | 35.47M | 30.59M | 31.32M | 25M | 21M | 20.5M | 28.5M |
| Gross Margin % | 23.91% | 23.44% | 26.18% | 24.48% | 24% | 21.59% | 28% | 28.17% | 26.33% | 25.83% | 27.45% | 30.64% | 29.61% | 29.81% | 31.27% | 30.93% | 29.97% | 31.57% | 32.53% | 34.6% | 34.3% | 34.11% | 39.64% | 40.48% | 41.68% | 40.44% | 47.01% | 45.79% | 46.15% | 46.91% | 54.29% |
| Gross Profit Growth % | - | -5.84% | 5.68% | 4.73% | 17.56% | -28.16% | -27.17% | -0.16% | 5.89% | -5.65% | 27.35% | 16.26% | 4.2% | 9.18% | 24.12% | 15.54% | -13.41% | 0.9% | 41.31% | 23.6% | 24.98% | 67.08% | 14.77% | 4.87% | 15.94% | -2.34% | 25.29% | 19.05% | 2.44% | -28.07% | -8.36% |
| Operating Expenses | 199.3M | 194.58M | 213.01M | 224.43M | 241.41M | 298.38M | 456.07M | 329.89M | 360.69M | 348.39M | 323.97M | 189.53M | 171.46M | 158.35M | 139.74M | 114.67M | 107.41M | 116.76M | 109.79M | 79.83M | 67.75M | 60.3M | 32.94M | 29.45M | 28.23M | 25.04M | 27.43M | 21.9M | 18.1M | 18M | 27.1M |
| OpEx % of Revenue | - | 21.7% | 24.99% | 26.02% | 28.73% | 37.57% | 53.5% | 28.36% | 28.93% | 29.03% | 27.07% | 22.51% | 22.88% | 22.17% | 22.4% | 22.57% | 23.67% | 23.47% | 22.95% | 25.07% | 26.07% | 28.84% | 30.6% | 32.05% | 33.18% | 33.1% | 41.17% | 40.11% | 39.78% | 41.19% | 51.62% |
| Selling, General & Admin | 143.31M | 194.58M | 0 | 0 | 0 | 0 | 0 | 0 | 360.69M | 348.39M | 323.97M | 189.53M | 171.46M | 158.35M | 139.74M | 115.7M | 108.05M | 116.76M | 109.79M | 79.83M | 67.75M | 60.3M | 32.93M | 29.45M | 27.69M | 25.04M | 24.48M | 19.7M | 16.6M | 16.6M | 23.7M |
| SG&A % of Revenue | - | 21.7% | - | - | - | - | - | - | 28.93% | 29.03% | 27.07% | 22.51% | 22.88% | 22.17% | 22.4% | 22.77% | 23.81% | 23.47% | 22.95% | 25.07% | 26.07% | 28.84% | 30.59% | 32.05% | 32.54% | 33.1% | 36.73% | 36.08% | 36.48% | 37.99% | 45.14% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 1000K | 0 | 213.01M | 224.43M | 241.41M | 298.38M | 456.07M | 329.89M | 410K | 0 | 34K | 0 | 0 | 0 | -1.18M | -1.03M | -635K | 973K | 0 | 0 | 0 | 0 | 10K | 0 | 541K | 0 | 2.96M | 2.2M | 1.5M | 1.4M | 3.4M |
| Operating Income | 18.96M | 15.54M | 10.14M | -13.28M | -39.8M | -126.88M | -217.36M | -2.15M | -38.96M | -115.11M | -3.12M | 68.47M | 53.42M | 55.6M | 56.5M | 42.48M | 28.59M | 41.27M | 45.87M | 30.34M | 21.38M | 11.02M | 9.74M | 7.74M | 7.24M | 5.55M | 3.89M | 3.1M | 2.9M | 2.5M | 1.4M |
| Operating Margin % | 2.08% | 1.73% | 1.19% | -1.54% | -4.74% | -15.98% | -25.5% | -0.18% | -3.12% | -9.59% | -0.26% | 8.13% | 7.13% | 7.78% | 9.06% | 8.36% | 6.3% | 8.29% | 9.59% | 9.53% | 8.23% | 5.27% | 9.05% | 8.43% | 8.51% | 7.34% | 5.83% | 5.68% | 6.37% | 5.72% | 2.67% |
| Operating Income Growth % | - | 53.32% | 176.35% | 66.64% | 68.63% | 41.63% | -10028.7% | 94.49% | 66.15% | -3591.79% | -104.55% | 28.16% | -3.92% | -1.58% | 33.01% | 48.56% | -30.72% | -10.03% | 51.21% | 41.91% | 94.04% | 13.1% | 25.79% | 6.99% | 30.3% | 42.88% | 25.42% | 6.9% | 16% | 78.57% | -56.25% |
| EBITDA | 53.09M | 49.62M | 46.43M | 24.6M | -3.35M | -87.98M | -171.45M | 46.91M | 25.9M | -62.97M | 45.55M | 96.09M | 79.13M | 79.2M | 73.97M | 57.06M | 41.1M | 53.39M | 57.44M | 38.56M | 28.14M | 17.33M | 12.63M | 10.3M | 9.93M | 8.33M | 6.84M | 5.3M | 4.4M | 3.9M | 4.8M |
| EBITDA Margin % | 5.82% | 5.54% | 5.45% | 2.85% | -0.4% | -11.08% | -20.11% | 4.03% | 2.08% | -5.25% | 3.81% | 11.41% | 10.56% | 11.09% | 11.86% | 11.23% | 9.06% | 10.73% | 12% | 12.11% | 10.83% | 8.29% | 11.73% | 11.21% | 11.67% | 11.01% | 10.27% | 9.71% | 9.67% | 8.92% | 9.14% |
| EBITDA Growth % | 16.49% | 6.87% | 88.77% | 834.65% | 96.19% | 48.69% | -465.47% | 81.12% | 141.13% | -238.22% | -52.59% | 21.44% | -0.09% | 7.07% | 29.63% | 38.83% | -23.01% | -7.05% | 48.95% | 37.04% | 62.34% | 37.2% | 22.66% | 3.71% | 19.25% | 21.67% | 29.15% | 20.45% | 12.82% | -18.75% | -33.33% |
| D&A (Non-Cash Add-back) | 34.13M | 34.08M | 36.3M | 37.87M | 36.45M | 38.9M | 45.91M | 49.06M | 64.86M | 52.14M | 48.67M | 27.63M | 25.71M | 23.59M | 17.47M | 14.58M | 12.51M | 12.12M | 11.56M | 8.22M | 6.76M | 6.32M | 2.89M | 2.56M | 2.69M | 2.77M | 2.96M | 2.2M | 1.5M | 1.4M | 3.4M |
| EBIT | 19.01M | 15.54M | 10.57M | -12.64M | -39.04M | -75.59M | -21.95M | -668K | -63.33M | -116.05M | -2.99M | 38.89M | 65.78M | 49.24M | 54.61M | 54.87M | 42.33M | 24.78M | 41.27M | 45.87M | 30.34M | 21.38M | 9.55M | 8.53M | 7.74M | 7.24M | 5.55M | 3.89M | 3.1M | 2.9M | 2.5M |
| Net Interest Income | -42.12M | -44.68M | -47.81M | -55.18M | -85.05M | -46.08M | -29.82M | -29.71M | -30.88M | -21.49M | -12.67M | 0 | -2.49M | -2.85M | -2.73M | -2.38M | -2.16M | -2.76M | -4.87M | -6.49M | -4.2M | -3.99M | -2.96M | -519K | -601K | -892K | -1.62M | 0 | 0 | -500K | -900K |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 42.12M | 44.68M | 47.81M | 55.18M | 85.05M | 46.08M | 29.82M | 29.71M | 30.88M | 21.49M | 12.67M | 2.49M | 2.85M | 2.73M | 2.73M | 2.38M | 2.76M | 4.87M | 4.87M | 4.2M | 3.99M | 2.96M | 519K | 601K | 892K | 1.62M | 1.14M | 3.5M | 500K | 900K | 4.6M |
| Other Income/Expense | -47.42M | -62.17M | -45.13M | -57.87M | -106.98M | -49.19M | -34.56M | -30.71M | -55.25M | -22.42M | -12.54M | -9.79M | -5.17M | -1.5M | -3.68M | -4.01M | 11.58M | -4.34M | -4.87M | -6.49M | -4.2M | -3.99M | -326K | -128K | -95K | -3.02M | 329K | -566K | -600K | -400K | -900K |
| Pretax Income | -28.46M | -46.63M | -34.99M | -71.14M | -146.78M | -176.07M | -251.92M | -32.85M | -94.21M | -137.53M | -15.66M | 63.29M | 46.38M | 51.92M | 52.49M | 40.17M | 25.98M | 36.4M | 39.38M | 26.13M | 17.39M | 8.06M | 9.22M | 7.14M | 6.35M | 4.22M | 2.53M | 900K | 2.5M | 1.6M | -10.9M |
| Pretax Margin % | -3.12% | -5.2% | -4.11% | -8.25% | -17.47% | -22.17% | -29.55% | -2.82% | -7.56% | -11.46% | -1.31% | 7.52% | 6.19% | 7.27% | 8.42% | 7.91% | 5.72% | 7.32% | 8.23% | 8.21% | 6.69% | 3.86% | 8.57% | 7.77% | 7.46% | 5.57% | 3.8% | 1.65% | 5.49% | 3.66% | -20.76% |
| Income Tax | 2.36M | 2.58M | 3.28M | 4.58M | 3.31M | 8.77M | -14.71M | -436K | -29.41M | -33.37M | -3.09M | 22.79M | 16.24M | 19.21M | 19.42M | 13.55M | 10.37M | 13.49M | 15.76M | 10.62M | 6.75M | 3.27M | 3.45M | 2.74M | 2.44M | 1.48M | 1.05M | 600K | 1.1M | 800K | -1.6M |
| Effective Tax Rate % | -8.3% | -5.53% | -9.36% | -6.43% | -2.25% | -4.98% | 5.84% | 1.33% | 31.21% | 24.26% | 19.75% | 36.01% | 35% | 37% | 37% | 33.72% | 39.92% | 37.06% | 40.02% | 40.63% | 38.86% | 40.6% | 37.37% | 38.37% | 38.4% | 35.02% | 41.44% | 66.67% | 44% | 50% | 14.68% |
| Net Income | -30.82M | -49.21M | -38.27M | -75.72M | 70.08M | -186.02M | -237.2M | -32.42M | -64.8M | -104.16M | -12.68M | 40.07M | 29.86M | 32.44M | 32.91M | 26.59M | 15.61M | 22.91M | 23.62M | 15.52M | 10.64M | 4.79M | 5.78M | 4.4M | 3.91M | 2.74M | 1.48M | 300K | 1.4M | 800K | -9.3M |
| Net Margin % | -3.38% | -5.49% | -4.49% | -8.78% | 8.34% | -23.42% | -27.82% | -2.79% | -5.2% | -8.68% | -1.06% | 4.76% | 3.98% | 4.54% | 5.28% | 5.23% | 3.44% | 4.6% | 4.94% | 4.87% | 4.09% | 2.29% | 5.36% | 4.79% | 4.59% | 3.62% | 2.23% | 0.55% | 3.08% | 1.83% | -17.71% |
| Net Income Growth % | 39.31% | -28.6% | 49.47% | -208.05% | 137.67% | 21.58% | -631.72% | 49.98% | 37.79% | -721.72% | -131.63% | 34.22% | -7.96% | -1.44% | 23.8% | 70.31% | -31.87% | -3.01% | 52.26% | 45.87% | 122.14% | -17.11% | 31.21% | 12.61% | 42.66% | 84.64% | 394.67% | -78.57% | 75% | 108.6% | -57.63% |
| Net Income (Continuing) | -30.82M | -49.21M | -38.27M | -75.72M | -150.09M | -184.84M | -237.2M | -32.42M | -63.15M | -84.45M | -12.56M | 15.22M | 40.5M | 30.15M | 32.71M | 33.07M | 26.62M | 12.28M | 22.91M | 23.62M | 15.52M | 10.63M | 4.28M | 5.78M | 4.4M | 3.91M | 2.74M | 1.48M | 300K | 1.4M | 800K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 220.17M | -1.17M | 0 | 0 | 0 | 0 | 0 | 24.85M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 6.03M | 5.68M | 5.38M | 5.1M | 4.98M | 4.98M | 0 | 0 | 307K | 266K | 373K | 234K | 218K | 173K | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -6.76 | -11.70 | -8.64 | -17.32 | -35.85 | -54.08 | -77.42 | -10.70 | -21.58 | -34.90 | -4.51 | 18.51 | 14.03 | 15.32 | 15.93 | 13.24 | 8.01 | 11.62 | 12.01 | 4.11 | 2.89 | 2.67 | 1.71 | 2.63 | 2.38 | 1.69 | 0.90 | 0.19 | 1.15 | 0.77 | -9.01 |
| EPS Growth % | 27.7% | -35.42% | 50.12% | 51.69% | 33.71% | 30.15% | -623.55% | 50.42% | 38.17% | -673.84% | -124.37% | 31.93% | -8.42% | -3.83% | 20.32% | 65.29% | -31.07% | -3.25% | 192.21% | 42.21% | 8.24% | 56.14% | -34.98% | 10.5% | 40.83% | 87.78% | 373.68% | -83.48% | 49.35% | 108.55% | -57.52% |
| EPS (Basic) | - | -11.70 | -8.64 | -17.32 | -35.85 | -54.08 | -77.42 | -10.70 | -21.58 | -34.90 | -4.54 | 19.55 | 14.61 | 16.06 | 16.73 | 13.84 | 8.25 | 12.19 | 12.96 | 4.42 | 3.16 | 2.94 | 1.87 | 2.86 | 2.55 | 1.71 | 0.90 | 0.20 | 1.18 | 0.77 | -9.01 |
| Diluted Shares Outstanding | 4.56M | 4.5M | 4.43M | 4.37M | 4.19M | 3.44M | 3.06M | 3.03M | 3M | 2.98M | 2.81M | 2.17M | 2.13M | 2.12M | 2.07M | 2.01M | 1.95M | 1.97M | 1.97M | 3.77M | 3.68M | 1.8M | 3.37M | 1.67M | 1.65M | 1.62M | 1.66M | 1.55M | 1.22M | 1.03M | 1.03M |
| Basic Shares Outstanding | 4.56M | 4.5M | 4.43M | 4.37M | 4.19M | 3.44M | 3.06M | 3.03M | 3M | 2.98M | 2.79M | 2.05M | 2.04M | 2.02M | 1.97M | 1.92M | 1.89M | 1.88M | 1.82M | 3.51M | 3.37M | 1.63M | 3.08M | 1.54M | 1.53M | 1.6M | 1.65M | 1.51M | 1.19M | 1.03M | 1.03M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Excessive debt leverage
As reported in recent financial filings, TISI's revenue growth has remained highly volatile, fluctuating between a 0.5% contraction and an 8.5% expansion over the last ten quarters, suggesting that the firm's top-line performance is heavily tethered to unpredictable refinery turnaround schedules rather than consistent organic demand.
The lack of a clear growth trajectory indicates that the company struggles to maintain a stable baseline of activity across its IHT and Mechanical Services segments. Investors should monitor whether the recent 8.3% growth in 2026Q1 represents a sustainable shift or merely a temporary spike in emergency repair demand.
Based on the provided income statement data, TISI's gross margins have struggled to maintain stability, peaking at 27.8% in 2024Q2 before compressing to 20.8% in 2026Q1, which highlights the firm's limited ability to pass through rising labor costs in a highly competitive industrial services environment.
The inability to sustain gross margins above 25% suggests that the company's core service offerings may be increasingly commoditized. This margin volatility complicates the path to profitability, as the firm lacks the pricing power necessary to offset the high variable costs associated with its mobile technical workforce.
According to historical income statements, TISI's operating income frequently swings into negative territory, with a 2026Q1 operating margin of -0.8%, demonstrating that the company has failed to achieve the necessary scale to cover its fixed corporate overhead and SG&A expenses during periods of revenue growth.
The data suggests that the company's cost structure is not sufficiently flexible to align with revenue fluctuations, leading to significant operating losses when volume dips. This lack of operating leverage implies that the firm remains highly sensitive to even minor changes in project execution efficiency.
As evidenced by the reported figures, TISI has consistently posted negative net income over the last ten quarters, with losses reaching as high as $29.7 million in 2025Q1, indicating that the company's bottom-line performance is fundamentally impaired by interest obligations and structural operational inefficiencies.
The recurring net losses suggest that the company's current business model is not generating sufficient returns to cover its capital structure costs. Investors should be wary of the impact that these persistent losses have on the equity base, especially given the company's high debt-to-equity ratio.
Based on the provided financial snapshot, TISI's debt-to-equity ratio of 12.73 creates a precarious financial position where interest expenses likely consume any potential operational gains, leaving the company with minimal liquidity to navigate industry downturns or invest in high-margin technological advancements like those in Quest Integrity.
The combination of thin operating margins and a massive debt load suggests that the company may be trapped in a cycle of servicing debt rather than investing in growth. This warrants further investigation into whether the firm can maintain its operational footprint without further dilutive financing or asset divestitures.
Quick answers to the most common questions about buying TISI stock.
For fiscal year 2025, Team, Inc. (TISI) reported total revenue of $896.5M. This represents a 1607.6% increase compared to $52.5M in 1996.
Team, Inc. (TISI) reported a net loss of $49.2M for the fiscal year ending 2025.
Team, Inc. (TISI) reported an operating income of $15.5M, resulting in an operating profit margin of 1.7%. This margin reflects the operational efficiency of the business before interest and taxes.
Team, Inc. (TISI) generated $210.1M in gross profit for the year, representing a gross profit margin of 23.4%. This demonstrates the company's core pricing power and production efficiency.