Water Intelligence (WATR) Q1 2026 TU earnings summary

Executive summary

• Q1 2026 saw strong growth momentum in both financial and operational performance, with revenue growth more than doubling year-over-year to 9% despite adverse weather in January.

• Growth was driven by US B2B channels (+16%) and international segment (+38%), with paid pilots for StreamLabs and Bluebot products initiated.

• April results reinforced Q1 momentum, especially in the B2B channel.

• Preventive maintenance strategy accelerated, integrating wireless monitoring devices into core services.

Financial highlights

• Revenue increased by 9% to $23.2 million compared to Q1 2025's $21.3 million.

• Adjusted EBITDA rose 8% to $4.4 million, maintaining a 19% margin.

• Franchise royalty declined 2% to $1.58 million due to franchise reacquisitions.

• Franchise-related activities grew 14% to $2.6 million, with B2B segment up 16%.

• US corporate locations revenue up 3% to $14.7 million; international corporate locations up 38% to $4.3 million.

Outlook and guidance

• Full-year 2026 guidance reaffirmed, with expectations of continued growth momentum for technology-enabled solutions.