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TISINeutralEarningsShort Term

High materiality7/10

Team, Inc. Reports Second Quarter 2026 Results

StockNews.AIAug 10, 5:26 PM EDT1 source

Trading thesisImportance 7/10

Neutral-to-bullish for TISI if 2H 2026 rebound confirms deferred-work recovery and cost saves; watch execution over the next several quarters.

AI summary

What happened and why it matters

Team, Inc. reported Q2 2026 revenue of $228.7M, down from $248.0M a year earlier, with gross margin of $54.4M and a net loss. Adjusted EBITDA fell to $12.8M (5.6% of revenue). The company reaffirmed full-year guidance for mid-single-digit revenue growth and a double-digit EBITDA uplift, financed by $8–$15M of structural cost reductions and an anticipated H2 rebound in deferred turnaround activity.

Guidance implies 2H 2026 revenue and margin improvement; potential earnings re-rating if execution confirms.
Liquidity remains constrained: total liquidity $51.2M; net debt $300.3M; total debt $326.3M.
Deferral of core-market activity (oil/gas, petrochem) weighs on near-term results.

Sentiment rationale

The stock may react modestly as near-term metrics deteriorate (loss, lower EBITDA) but the guidance points to meaningful 2H improvement via cost cuts and deferred-work rebound. Historically, teams with mixed quarterly results but clear 2026 cost-out plans can see tempered downside followed by a mid-to-longer-term re-rating if 2H execution meets expectations; immediate share-price reaction is likely muted until the August 11 call clarifies visibility on the timing of the deferred activity recovery.

Key facts

01
Q2 2026 revenue $228.7M, down 6.7% year over year. Margin pressure noted.
02
Net loss $6.8M; Adjusted EBITDA $12.8M (5.6% of revenue). SG&A fell $2.1M.
03
2026 guidance reaffirmed: about 4% revenue growth, ~16% Adjusted EBITDA uplift.
04
Structural cost improvements targeted at $8–$15M in 2026; run-rate $20–$35M.
05
Deferral of turnaround work in oil/gas and Middle East weakness weigh near term.

Earnings

Category: Earnings. The piece centers on quarterly results, guidance, and transformation-cost actions, which are core earnings-stage dynamics affecting valuation and cash flow trajectory.