Badger Meter reports Q3 2026 earnings growth

Badger Meter announced its third-quarter 2026 financial results, reporting that base sales grew 5% sequentially compared to the second quarter. These base results exclude the impact of its May 2026 acquisition of water monitoring company UDlive.

The utility water technology company maintained profitability near the top of its long-term target range. Management noted that the company is leveraging a structural mix of high-margin software-as-a-service (SaaS) subscriptions and ultrasonic meters to protect earnings and elevate profit limits. Base gross margin reached 42.1% for the quarter.

Despite rising costs for electronic components driven by rapid artificial intelligence data center construction, the company reported it has been able to utilize pricing power to offset these increases without sacrificing sales volume. Additionally, the company highlighted the launch of OneNetwork, a real-time software platform designed to unify operational data for municipal water utilities.