Business UpdateMay 21, 2026, 07:37 AM
Badger Meter Hosts Investor Day, Highlights Digital Transformation
AI Summary
Badger Meter, Inc. hosted its 2026 Investor Day, highlighting its position as a pure-play smart water solutions provider and its multi-decade digital transformation strategy. The company emphasized its strong financial performance, including a 17% sales CAGR and 28% SaaS revenue CAGR from 2015-2025, driven by mission-critical water meter replacement demand and the adoption of AMI and 'Beyond the Meter' technologies. Badger Meter outlined its financial framework, targeting high single-digit organic revenue growth and double-digit EPS growth, supported by disciplined capital allocation and a robust M&A strategy.
Key Highlights
- Reported 2025 sales of $917M, with a 17% CAGR from 2020-2025, and 2025 EBITDA of $218M (24% margin).
- SaaS revenue grew at a 28% CAGR from 2015-2025, projected to grow ~15% CAGR from 2025-2030+.
- Targets 6-8% organic revenue CAGR and 10-15% EPS growth, with 25-30% EBITDA incrementals.
- Maintains normalized gross margins of 39-42% and aims for over 100% free cash flow conversion.
- Cellular AMI adoption drives a 21% CAGR for Cellular AMI endpoints compared to meters.
- Beyond the Meter applications are expected to expand the global Total Addressable Market by an incremental $10B.
- Committed to 33 consecutive years of annual dividend increases and opportunistic share repurchases.
- Holds approximately $500M in M&A 'dry powder' for strategic acquisitions.
Price Impact
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