Table of Content 4 Represents the insurance recovery received during the year for hurricane damage incurred in 2021. 5 Represents loss on payoff of remaining APSC Term Loan in June 2023 and loss on payoff of $225.0 million of the APSC Term Loan in November 2022. The 2022 loss consists of $12.4 million of cash fees and premium, and $17.7 million of noncash expense related to the write off of the related unamortized balance of deferred issuance cost and warrant and debt discounts. 6 Includes $0.7 million for the loss on settlement of a note receivable and, for the full year 2023, an additional $0.6 million for the write-off of software related costs. 7 Represents the tax effect of the adjustments. 8 Represents pension credit for the U.K. pension plan based on the difference between the expected return on plan assets and the amount of the discounted pension liability. The pension plan was frozen in 1994 and no new participants have been added since that date. TEAM, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (Continued) (unaudited, in thousands) Three Months Ended Twelve Months Ended December 31, December 31, 2023 2022 2023 2022 IHT Operating income $ 6,537$ 4,055$ 24,220$ 17,093 Professional fees and other 113 — 941 — 1 Severance charges, net 92 94 492 286 Adjusted EBIT 6,742 4,149 25,653 17,379 Depreciation and amortization 3,012 3,019 12,402 12,391 $ 9,754$ 7,168$ 38,055$ 29,770 Adjusted EBITDA MS Operating income (loss) $ 5,364$ 5,778$ 27,759$ 20,930 Professional fees and other 80 — 147 — 1 Severance charges, net 197 596 792 685 Adjusted EBIT 5,641 6,374 28,698 21,615 Depreciation and amortization 4,642 4,799 18,755 19,021 $ 10,283$ 11,173$ 47,453$ 40,636 Adjusted EBITDA Corporate and shared support services Net loss $ (35,025$) (66,765$) (127,701$) (188,110) Provision (benefit) for income taxes 558 (876) 4,578 3,306 Loss (gain) on equipment sale (5) 69 (291) (4,200) Interest expense, net 11,682 21,344 55,181 85,052 2 Loss on debt extinguishment — 30,083 1,585 30,083 Foreign currency loss (gain) 1,510 1,263 734 (2,692) 3 Pension credit (159) (178) (640) (749) 4 Write-off of other assets 666 — 1,295 — 5 Professional fees and other 3,108 3,339 8,033 13,915 6 Legal costs (credit) and other 4,785 (700) 5,635 2,571 1 Severance charges, net 98 243 280 2,990 7 Natural disaster insurance recovery — (324) — (1,196) Adjusted EBIT (12,782) (12,502) (51,311) (59,030) Depreciation and amortization 1,737 1,185 6,715 5,041 Non-cash share-based compensation costs 731 (323) 1,590 247 $ (10,314$) (11,640$) (43,006$) (53,742) Adjusted EBITDA _________________ 1 For 2023, represents customary severance costs associated with staff reductions across multiple departments. For 2022, severance charges represent costs associated with executive departures and our ongoing cost reduction efforts across multiple segments. 2 Represents loss on payoff of remaining APSC Term Loan in June 2023 and loss on payoff of $225.0 million of the APSC Term Loan in November 2022. The 2022 loss consists of $12.4 million of cash fees and premium, and $17.7 million of noncash expense related to the write off of the related unamortized balance of deferred issuance cost and warrant and debt discounts. 3 Represents pension credit for the U.K. pension plan based on the difference between the expected return on plan assets and the amount of the discounted pension liability. The pension plan was frozen in 1994 and no new participants have been added since that date. 4 Includes $0.7 million for the loss on settlement of a note receivable and, for the full year 2023, an additional $0.6 million for the write-off of software related costs. 18