Slide 1: Badger Meter First Quarter 2021 Earnings
BADGER METER FIRST QUARTER 2021 EARNINGS April 20, 2021 © 2021 Badger Meter, Inc. 1
Slide 2: Forward Looking Statements
FORWARD LOOKING STATEMENTS Certain statements contained in this presentation as well as other information provided from time to time by Badger Meter, Inc. (the “company”) or its employees, may contain forward-looking statements that involve risks and uncertainties that could cause actual results to
Slide 3: Highlights
HIGHLIGHTS Q1 EBITDA Margin % 20.5% 20.9% • Completed acquisition of Analytical Technology, Inc. (ATi) in early January 2021 adding to online water quality monitoring solutions • Record core order pace with strong momentum in adoption of smart water offerings. Exiting quarter with record backlog. •
Slide 4: First Quarter Financial Snapshot
FIRST QUARTER FINANCIAL SNAPSHOT (US$ in millions, except per share data) Q1 2021 Q1 2020 Change • Utility water sales increased 12%, acquisitions contributed $10M with flat core Sales $117.8 $108.5 8.6% growth as record orders exceeded sales due to electronics and logistics challenges. Gross Margin
Slide 5: Anticipate Uneven Quarterly Sales Growth Trends
ANTICIPATE UNEVEN QUARTERLY SALES GROWTH TRENDS Year-over-Year sales rate of change, excluding acquisitions 10% Q3 2020: COVID manufacturing disruption recovery and stabilizing Q1 2020: Pre-COVID utility water orders 5% growth environment Q4 2020: Stabilized utility 2020 water sales, sequentially 0%
Slide 6: Outlook / Macro-Trends
OUTLOOK / MACRO-TRENDS Benefits of Cellular AMI evident during extreme Texas/MS/LA weather • Macro trends continue to drive acceleration in interest/adoption of digital smart water solutions – COVID-19, water security and climate events spotlight additional demand trends • Potential for stimulus add
Slide 7: Q&A
Q&A Note: For your planning purposes, our Q2 2021 earnings release/call is tentatively scheduled for July 20, 2021 © 2021 Badger Meter, Inc. 7
Slide 8: GAAP to Non-GAAP Reconciliations
GAAP TO NON-GAAP RECONCILIATIONS EBITDA Free Cash Flow (US$ in millions) (US$ in millions) Q1 2021 Q1 2020 Q1 2021 Q1 2020 Net Earnings (GAAP) $13.8 $11.9 Cash from Ops (GAAP) $30.6 $30.5 Interest expense 0.0 0.0 Capital Expenditures (1.8) (1.9) Income tax provision 3.9 4.1 Free Cash Flow $28.8 $28.