From The Motley Fool · The Motley Fool Team · · 50s
Badger Meter Q3 2026 Earnings Highlights
Badger Meter's Q3 2026 earnings show strong software growth and pricing power despite supply chain challenges.
In brief
Badger Meter's Q3 2026 earnings show strong software growth and pricing power despite supply chain challenges. Badger Meter reported 5% sequential base sales growth and 42.1% gross margin in Q3 2026, with software expansion driving long-term profitability. Originally reported by The Motley Fool.
Q3 2026 Earnings Report
Badger Meter reported 5% sequential base sales growth in Q3 2026, excluding May 2026 acquisition of UDlive.
High-Margin Software Boosts Profitability
Base gross margin reached 42.1% in Q3 2026, the top end of their normalized range.
“Base gross margin was 42.1% at the top end of our normalized range, indicative of the resiliency of our overall structural mix and pricing discipline.”
Pricing Power Offsets Component Costs
Badger Meter passes electronic component cost increases to customers without sacrificing sales volume.
“Fortunately for us, our portfolio is highly valued by our customers. They understand what we do for them, and we are able to extract the value that we deserve.”
OneNetwork Software Platform Launch
OneNetwork combines advanced metering infrastructure with water quality analytics for municipal utilities.
“OneNetwork brings AMI, network monitoring, and water quality data together in one platform, enabling customers to identify issues sooner, coordinate responses faster, and make more informed operational decisions.”
Q4 2026 Growth Outlook
Badger Meter expects continued base sales growth in Q4 2026 despite holiday-related operating days.
The big picture
Badger Meter reported 5% sequential base sales growth and 42.1% gross margin in Q3 2026, with software expansion driving long-term profitability.
