SUGAR LAND, Texas, Oct. 1, 2013 (GLOBE NEWSWIRE) -- Team, Inc. (NYSE:TISI) today announced financial results for the fiscal year 2014 first quarter ended August 31, 2013. Team reported net income available to shareholders, adjusted for non-routine severance costs, of $5.0 million ($0.23 per diluted share), versus net income available to shareholders of $7.6 million ($0.36 per diluted share) for the prior year first quarter. Revenues for the current year quarter were $174 million, an 8% increase compared to revenues of $161 million for the prior year quarter.
Team has also revised its full fiscal year 2014 earnings guidance to a lower range of $1.55 to $1.85 per share. The revised revenue guidance for the year is now $765 million to $790 million.
- Quest Integrity Group's ("Quest") seasonally weak first quarter performance was the primary driver of Team's lower earnings in the quarter: -- Quest's operating profit was $3.7 million less than the prior year quarter, impacting earnings by approximately $0.11 per share. -- Quest's performance reflects some material project delays into the upcoming quarters plus expanded spending rates to support future business growth
- Quest's full fiscal year 2014 prospects remain very attractive with expected growth in revenue and profit to be in line with its historical performance.
- Inspection & Heat Treating and Mechanical Services combined business segment revenues grew approximately 10% in the quarter, while combined operating profits in these business segments declined slightly due to lower gross margins.
- Near-term pressures on margins are the primary reason for our lowered earnings guidance for the year.
- We are announcing a stock repurchase program effective immediately with an initial authorization of $25 million.