Dec 31, 2022

Badger Meter Q4 2022 Earnings Report

Badger Meter reported an increase in sales and EPS despite facing inflationary pressures and supply chain disruptions.

Key Takeaways

Badger Meter reported an 8.5% increase in sales for Q4 2022, reaching $147.3 million compared to $135.7 million in the prior year. Diluted earnings per share (EPS) increased to $0.60, up from $0.59 in the previous year. The company also highlighted strong cash flow, with $29.7 million in net cash provided by operations.

Total sales increased by 8.5% year-over-year to $147.3 million.

Diluted earnings per share (EPS) increased to $0.60, up from $0.59 last year.

Net cash provided by operations was $29.7 million.

Utility water sales increased 9% year-over-year.

Total Revenue
$147M
Previous year: $136M
+8.5%
EPS
$0.6
Previous year: $0.59
+1.7%
Gross Profit
$57M
Previous year: $54.8M
+3.9%
Cash and Equivalents
$138M
Previous year: $87.2M
+58.4%
Free Cash Flow
$28.5M
Previous year: $26.2M
+8.9%
Total Assets
$603M
Previous year: $531M
+13.6%

Badger Meter

Badger Meter

Forward Guidance

The demand environment remains robust, aided by favorable secular growth trends for digital smart water solutions. Macro challenges have not dissipated, but the company expects pockets of inflationary leveling along with continual supply chain improvements as the year progresses.

Positive Outlook

  • Robust demand environment.
  • Favorable secular growth trends for digital smart water solutions.
  • Ability to drive price realization.
  • Expect pockets of inflationary leveling.
  • Continual supply chain improvements.

Challenges Ahead

  • Macro challenges have not dissipated.
  • Persistent volatility in the operating environment.
  • Inflationary pressures.
  • Intermittent supply chain disruptions.
  • Foreign currency risk.