EarningsQ2 2026 Earnings Report

Badger Meter (BMI) Q2 2026 Earnings Report

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Previous Report: Q1 2026

MX:BMI Q2 2026 EPS Results

Actual EPS$17.50

Consensus EPS$17.26

Beat/MissBeat by +$0.24

One Year Ago EPS$20.07

MX:BMI Q2 2026 Revenue Results

Actual Revenue$3.81B

Expected Revenue$3.78B

Beat/MissBeat by +$29.65M

YoY Revenue Growth-6.63%

Earnings Announcement Details

QuarterQ2 2026

Date07/22/2026

TimeBefore Open

Conference CallWednesday, July 22, 2026

MX:BMI Upcoming Earnings

Badger Meter's next earnings date is estimated for October 15, 2026, based on past reporting schedules.

Q2 2026 Earnings Call Audio

MX:BMI Q2 2026 Earnings Call

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Q2 2026 Earnings Slide Deck

Q2 2026 Earnings Call Summary

Q2 2026

Earnings Call Date:Jul 22, 2026|

% Change Since:

Earnings Call Sentiment|Neutral

The call conveyed a mixed but broadly cautious message: management highlighted clear sequential improvements, product-line wins (flow instrumentation), continued commercial momentum on AMI and NAS, disciplined cost controls, share repurchases and a strengthened liquidity position. However, meaningful year-over-year declines in revenue (-7% total; -7.5% base), operating earnings (-12%), EPS (-13%), and free cash flow (~46% decrease), together with higher working capital and ongoing electronic component pressures, temper near-term optimism. Management reaffirmed a flattish organic revenue outlook for FY26 with growth skewed to Q4 and emphasized long-term secular drivers and confidence in execution, but execution risk remains from uneven project ramping and supply dynamics.

Company Guidance

The company reiterated guidance for sequential top‑line improvement through the second half and said full‑year 2026 organic revenue (excluding UDLive) is expected to be roughly flattish with 2025 but “flattish” with variability and a year‑over‑year growth rate heavily weighted to Q4; management expects Q3 sales to be sequentially higher than Q2. Key Q2 metrics: total sales $222.3M (‑7% YoY), base sales down 7.5% YoY but +9% vs Q1, utility water sales ‑8% YoY (‑9% excluding UDLive) but +8% sequential on an organic basis, and flow instrumentation +6% YoY. Profitability: operating earnings ‑12% YoY, operating margin 17.7% (‑110 bps; base op margin excl. UDLive 18.4%, ‑40 bps), gross margin 40.8% (‑30 bps). Other items: Q2 SG&A $51.4M (‑$1.6M YoY), UDLive added ~$1.8M of run‑rate expense for two months and remaining transaction costs were $1.2M, UDLive intangible amortization preliminarily ~ $5M annually, effective tax rate 25.2% (vs 24.5%), diluted EPS $1.02 (‑13% YoY), primary working capital 22.9% of sales (up from 20.0%), free cash flow $21.9M (vs $40.6M prior year), repurchased 204k shares for $25.3M in Q2 with ~$90M authorization remaining (≈$80M deployed over past three quarters), and a renewed undrawn $150M credit facility; management continues to target full‑year cash‑flow conversion in excess of 100% of net earnings.

Sequential Sales Improvement

Base sales increased 9% sequentially from Q1 to Q2, reflecting initial ramping of several awarded AMI projects and modest improvement in short-term order rates.

Flow Instrumentation Growth

Flow instrumentation product line sales were up 6% year-over-year, driven by broad water application demand and specific orders from data center and cooling applications.

Cost Controls and Margin Resilience

Selling, engineering and administrative expenses declined $1.6 million year-over-year due to spending controls and lower incentive compensation; gross margin remained solid at 40.8% (down 30 bps) and overall margins stayed in the upper half of the company’s normalized range.

AMI and NAS Commercial Momentum

Multiple AMI projects (including PRASA) began initial shipments and management reported constructive customer and consultant engagement at ACE 26, reinforcing leadership in cellular/NAS solutions and software offerings (iON Water Premium, BEACON Field App, Cobalt AI).

Share Repurchases and Liquidity

Repurchased 204 thousand shares for $25.3 million in the quarter, deploying roughly $80 million in repurchases over the past three quarters with approximately $90 million remaining on the authorization; also renewed an undrawn 5-year $150 million credit facility providing financial flexibility.

UDLive Strategic Acquisition (initial integration)

Completed UDLive acquisition (closed 05/01/2026) to expand beyond-the-meter and stormwater/sewer line solutions; management provided transparency on incremental run-rate SG&A contribution (~$1.8M in quarter) and preliminary intangible amortization of approximately $5M annually.

MX:BMI Earnings History

Report Date	Fiscal Quarter	Forecast / EPS	Last Year's EPS	EPS YoY Change
Oct 15, 2026	2026 (Q3)	21.12 / -	20.416	―
Jul 22, 2026	2026 (Q2)	17.26 / 17.50	20.073	-12.82% (-2.57)
Apr 17, 2026	2026 (Q1)	20.98 / 15.96	22.303	-28.46% (-6.35)
Jan 28, 2026	2025 (Q4)	19.85 / 19.56	17.842	9.62% (+1.72)
Oct 21, 2025	2025 (Q3)	19.52 / 20.42	18.529	10.19% (+1.89)
Jul 22, 2025	2025 (Q2)	21.51 / 20.07	19.215	4.46% (+0.86)
Apr 17, 2025	2025 (Q1)	18.31 / 22.30	16.985	31.31% (+5.32)
Jan 31, 2025	2024 (Q4)	18.80 / 17.84	14.411	23.81% (+3.43)
Oct 17, 2024	2024 (Q3)	19.04 / 18.53	15.097	22.73% (+3.43)
Jul 19, 2024	2024 (Q2)	17.64 / 19.21	13.039	47.37% (+6.18)

The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.

Beat

Missed