Badger Meter (BMI) Investor presentation summary

Business overview and market position

• Premier provider of smart water solutions with $804M in Q3 '24 TTM sales and operations in over 50 countries.

• Offers a comprehensive suite of digital water management products, including flow measurement, water quality, pressure, and network monitoring with integrated software and analytics.

• Holds a leading position in North American smart water solutions and is expanding internationally.

• Recognized for innovation, sustainability, and a strong operational track record, including a AAA MSCI ESG rating.

• 119 years of operations and a culture focused on continuous improvement.

Product and solution portfolio

• BlueEdge framework integrates water technology, software, and services for end-to-end water management, customizable for various applications.

• Portfolio addresses customer challenges such as population growth, aging infrastructure, and water scarcity through measurement, connectivity, actionable insights, and support.

• Solutions include AMI/Network as a Service, cellular endpoints, SaaS, and consumer engagement platforms.

• Emphasis on collaboration, training, and technical support to ensure customer success.

Financial performance and trends

• Q3 2024 sales reached $208.4M, up 11.9% year-over-year, with utility water sales up 14%.

• Gross margin improved by 110 bps, and EPS grew 23% year-over-year.

• Record quarterly free cash flow of $42M, reflecting improved earnings and working capital management.

• Five-year sales CAGR of 13%, SaaS revenue CAGR of 28%, and 39% EPS growth since 2019.

• No outstanding debt and $259M in cash as of September 30, 2024.