Badger Meter Profit Falls 15.4% On Lower Margins

(RTTNews) - Badger Meter Inc. (BMI) Thursday posted second-quarter net income of $6 million or $0.44 a share, down from $7 million or $0.52 a share last year.

Analysts polled by Thomson Reuters estimated earnings of $0.53 a share for the quarter.

Results for the recent quarter included a $750,000 non-cash pension charge and a $350,000 legal settlement charge, which together impacted earnings by about $0.05 per share. The prior-year quarter had a tax benefit of $0.03 per share.

Revenues for the quarter grew about 8% to $88 million from $82 million last year, topping analysts' estimate of $86 million.

Gross margin for the quarter was lower at 33.8%, compared with 36.8% a year ago.

Chief Executive Richard Meeusen said that higher volumes in the municipal water and industrial product businesses did not translate into higher margins due to product mix.

Badger Meter, based in Milwaukee, Wisconsin, manufactures flow measurement and control products, serving water and gas utilities, municipalities and industrial customers.