TISI - Team Inc. gives going-concern warning as losses mount

Team Inc. (NYSE:TISI) -22.3% pre-market after reporting a Q3 loss and issuing a going concern warning amid "recurring losses and reductions in activities which has put pressure on the company's near-term liquidity needs." Team says its borrowing capacity and cash "are not expected to be sufficient to fund its planned operations for at least 12 months beyond the date of its financial statements for the third quarter of 2021, which raises doubt about the company's ability to continue as a going concern." The company entered into a new $50M subordinated term loan that closed Tuesday to boost its working capital. Existing term-loan financial covenants have been waived until September 2022. Team says Q3 results "failed to meet expectations due to a combination of factors that impacted our third quarter performance, including weather-related disruptions, challenging market dynamics, and an uneven market recovery." Team recently was awarded an upstream mechanical inspection contract from Chevron.

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Team Inc. gives going-concern warning as losses mount