Badger Meter Inc. (NYSE: BMI) has announced its financial results for the second quarter ended June 30, 2025. The company reported total sales of $238.1 million, reflecting a 10% increase from the previous year's $216.7 million. Operating earnings saw an 8% rise year-over-year to $44.9 million, although operating profit margins decreased slightly to 18.8% from 19.2% in the same quarter last year. Diluted earnings per share $(EPS)$ improved by 4%, reaching $1.17 compared to $1.12 in the prior year quarter. Utility water sales experienced an 11% growth year-over-year, bolstered by the first full quarter of contributions from the SmartCover acquisition. Excluding SmartCover, utility water sales increased by 6%, following the substantial 26% growth in the second quarter of 2024. This growth was primarily driven by continued customer adoption of digital smart water solutions, including metering, BEACON® SaaS, and water quality and remote monitoring solutions. Sales of flow instrumentation products remained essentially flat year-over-year, as modest growth in water-related markets compensated for reduced demand in de-emphasized non-water related applications. The company's gross margin improved to 41.1%, up 170 basis points from the prior year's 39.4%, benefiting from structural sales mix improvements and operational excellence initiatives.
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