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Badger Meter raises quarterly dividend to $0.44 per share
The increase is the company’s 34th consecutive year of annual dividend growth, taking the annualized payout to $1.76.
Badger Meter, Inc. (NYSE: BMI) announced a 10% increase in its quarterly dividend to $0.44 per share from $0.40, lifting the annualized dividend to $1.76. The company said the move marks 34 consecutive years of annual dividend growth, positioning the payout as part of a longer record rather than a one-off high-yield push, according to Yahoo Finance.
The dividend is supported by cash generation, with Badger Meter reporting $183.7 million in operating cash flow and $169.7 million in free cash flow in 2025, alongside $43.5 million paid in dividends. The company ended 2025 with $226 million of net cash and no borrowings, then used cash for its UDlive acquisition, leaving $95.7 million in cash at the end of June 2026, while retaining access to an undrawn $150 million credit facility.
Badger Meter’s payout ratio remains conservative, the outlet noted, with the $1.76 annual dividend equal to about 37% of 2025 diluted EPS of $4.79. Even using first-half 2026 diluted EPS of $1.95, the dividend coverage still appears manageable, Yahoo Finance reported.
The company pointed to its exposure to water infrastructure modernization, including its BlueEdge platform of smart meters, communications, data analytics, and software. Management expects high-single-digit growth over the next five years tied to utilities’ digital transformation of the water sector, the outlet added, though it also cited a 7% year-over-year sales decline in Q2 2026 and a 13% year-over-year drop in diluted EPS to $1.02.