07/04/2015 AT 01:35 PM EDT
Disick, 32, was photographed getting cozy with stylist Bartoli, 25, in Monte Carlo earlier this week, and again on Friday. In the first snaps, Disick was seen touching Bartoli's back, and lounging near her by a pool. On Friday, the reality star was photographed holding a beer as he spent time aboard a luxury yacht with Bartoli and a group of friends.
"He's in a classic shame spiral right now. He knows he's screwing up, and he knows what he needs to do," a source close to Disick tells PEOPLE. "He has people telling him to go home and work things out, to stop this behavior, to repent and to move forward. But he's not doing it."
The source says Disick is "ashamed" and knows he'll have to own up to his actions when he returns home.
"He's operating out of fear and shame right now. He's not seeing things clearly," the source says.
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The Keeping Up with the Kardashians star spent time in Costa Rican rehab center earlier this year, as his struggles with substance abuse continued to be in the forefront of the E! reality show.
Disick also disappeared on a bender in Aspen, Colorado, shortly after his third child, Reign's birth in December.
"I definitely go in and out of happy and dark places in my life, and I wish that I could be a little more consistent, and I wish it was a little bit easier for me to be under control, but it's not," Disick said during a May episode of Keeping Up with the Kardashians.
The source says that Disick does understand the gravity of his actions, however.
"He's just making things worse and worse, and what's worse is that he knows that he's making it worse and worse," the source says. "His head knows that he needs to leave, and that every minute that he's there, he's doing more damage to himself and his family, but until he really takes that to heart, he's not going to make a change."
Disick and Kardashian, who stepped out on her own in Van Nuys, California, on Friday, are not communicating right now, according to the source.
The source says Disick didn't respond to several of her messages over the past few days, and she hasn't yet responded to a message he left for her on Thursday night.
 With additional reporting by AILI NAHAS
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