Badger Meter, Inc. (BMI) Earnings
Badger Meter, Inc. is expected to report next earnings on October 20, 2026 (in NaN days), with a consensus EPS estimate of $1.21. BMI has beaten EPS estimates in 7 of its last 12 reported quarters (average surprise -4.7% over the last four).
| Report date | EPS est | EPS actual | Surprise | Revenue | Rev. surprise |
|---|---|---|---|---|---|
| Jul 22, 2026 | $1.01 | $1.02 | +0.9% | $222M | +0.1% |
| Apr 17, 2026 | $1.21 | $0.93 | -22.8% | $202M | -12.2% |
| Jan 28, 2026 | $1.15 | $1.14 | -1.0% | $221M | -8.4% |
| Oct 21, 2025 | $1.14 | $1.19 | +4.1% | $236M | +1.6% |
| Jul 22, 2025 | $1.20 | $1.12 | -6.4% | $238M | +2.0% |
| Apr 17, 2025 | $1.07 | $1.30 | +20.9% | $222M | +0.4% |
| Jan 31, 2025 | $1.01 | $1.04 | +2.7% | $205M | -3.7% |
| Oct 17, 2024 | $1.11 | $1.08 | -3.0% | $208M | -2.1% |
| Jul 19, 2024 | $1.03 | $1.12 | +8.6% | $217M | +6.1% |
| Apr 18, 2024 | $0.82 | $0.99 | +20.4% | $196M | +7.2% |
| Jan 26, 2024 | $0.82 | $0.84 | +2.6% | $182M | +0.2% |
| Oct 19, 2023 | $0.81 | $0.88 | +8.9% | $186M | +2.4% |
Source: company filings + earnings calendar. For informational purposes only — not investment advice.
Earnings call summary
Q2 FY2026 · July 22, 2026
AI summary of management’s prepared remarks and analyst Q&A. For informational purposes only — not investment advice.
Management highlights
- Capital Allocation Strategy - The firm maintains a balanced approach to capital allocation: continuing to invest in R&D and innovation for long-term growth, returning cash to shareholders via dividends and share repurchases, and maintaining active pursuit of M&A opportunities. No changes to this strategy were announced. - The company renewed its expiring credit facility to preserve ongoing financial flexibility. - There is $90 million remaining on the current share repurchase authorization after three consecutive quarters of buyback activity. - Business Development and Product Positioning - The nine recently disclosed awarded AMI projects are a representative sample illustrating different project types (utility, investor-owned, supply-only, turnkey) and are not the company's only active projects. Ongoing short-cycle order activity, which has limited visibility into future ordering, continued to improve in Q2 compared to Q1 levels. - Badger Meter's cellular-based advanced metering infrastructure (AMI) with Network as a Service (NAS) capabilities is now widely recognized as the industry standard by engineering consulting firms and utility stakeholders. - The company offers both mechanical and ultrasonic meters under its Blue Edge portfolio, matching the varied preferences of utility customers. Incumbency and existing customer relationships create high barriers to new market entrants even for basic me-too ultrasonic products. - Flow instrumentation, a small revenue segment, has seen recent strong growth driven by rising demand from data centers for clamp-on meters (for water monitoring) and mag meters (for cooling tower flow monitoring). - Operational Dynamics - The company is currently managing two concurrent challenges: cost pressure for electronic components and component availability constraints. These are industry-wide challenges, not unique to Badger Meter, and the company's product platform positioning helps mitigate these issues better than peers.
Guidance
- The firm reaffirms its full-year outlook of achieving flattish organic revenue growth for 2026. - Sequential quarterly revenue growth is expected in Q3 2026 compared to Q2 2026, but full-year revenue growth will be heavily skewed to Q4 2026 due to more difficult year-over-year comparables in Q3. - Working capital increases seen in Q2 are expected to normalize in the second half of 2026, as excess and acquired inventory is worked down and growing sequential sales pull the working capital as a percentage of sales metric back to typical levels.
Segment performance
No aggregate or segment-level financial performance data (absolute values or revenue contribution percentages) was disclosed in the provided Q&A section of the transcript. The only partial segment-related note is that flow instrumentation represents a small percentage of Badger Meter's total revenue, with recent strong growth driven by data center demand for clamp-on and mag flow meters.
Risks & headwinds
- Broad-based cost and availability pressures exist across electronic components, including capacitors, printed circuit boards, and memory chips, driven by overall electronics industry and AI-related demand trends. These are industry-wide challenges that impact all Badger Meter enabled products with electronic components. - Project ramp timing varies across awarded AMI projects, creating uneven revenue visibility quarter over quarter, though the large size of the current awarded project cohort reduces the impact of this unevenness relative to past quarters. - While most contracts include negotiated terms allowing cost escalation pass-through to customers over multi-year project timelines, not 100% of contracts include this provision, leaving some residual cost exposure for the firm. - Public political and legal scrutiny of the PROSA project creates some uncertainty, though management confirmed its view of the project has not changed, and declines to comment on ongoing legal matters publicly.
Analyst Q&A
Q: Do the nine recently awarded AMI projects follow the historical ramp timeline, where deployment peaks 1-2 years after initiation, and what additional opportunities exist beyond these nine projects? /
A: Management confirms a general ramp dynamic applies—starting from zero, scaling over deployment, and declining as projects finish—but project durations vary widely from 3 to 5 years, so no precise average timeline can be given. The nine projects are just a representative sample to illustrate different project types; there is ongoing unpublicized activity including regular short-cycle orders, which saw improved rates in Q2 versus Q1 in line with the full-year flattish organic growth outlook. (262 characters)
Q: How is Badger Meter managing rising electronics and other input costs, and can you pass these increases through to customers, especially on long-term awarded projects? /
A: Management runs active pricing excellence programs to recapture market cost increases in new RFPs and project pricing, and feels confident in its ability to offset these increases. While 100% of contracts do not include cost pass-through provisions, the vast majority of multi-year project contracts do negotiate in terms to pass along escalations to customers. (298 characters)
Q: Has the recent public letter about the PROSA project changed management's expectations for the project's contribution to 2026 results? /
A: Management cites its standard policy of not commenting on ongoing legal matters publicly, but confirms that its overall view and expectations for the PROSA project have not changed since prior disclosures. (144 characters)
Q: What is driving the sudden strong growth in flow instrumentation, and is this growth sustainable? /
A: Flow instrumentation is a small percentage of total revenue, and recent growth has been driven by rising adoption of Badger Meter's clamp-on and mag meters for water flow and cooling tower monitoring in fast-growing data center construction projects. The transcript cuts off before additional detail on long-term growth sustainability. (217 characters)
Q: What specific electronic components are facing pressure, and which of Badger Meter's products are impacted? /
A: Pressures are broad-based across the entire electronics industry, affecting components from capacitors and bare circuit boards to memory chips (which also face added demand from AI hyperscaling). All enabled products with electronics, including Orion Cellular, ultrasonic meters, and beyond-the-meter technologies, are impacted, but this is an industry-wide challenge not unique to Badger Meter, and the company's innovation and platform positioning helps mitigate the issue better than peers. (353 characters)