For well over a century, utilities have depended on Badger Meter to measure water consumption. Today the Milwaukee-based company remains an industry leader, harnessing digital technology to support clients in monitoring water flow, pressure and quality.
Early in 2025, Badger Meter acquired sewer monitoring market leader SmartCover Systems for $185m. The acquisition strengthens the suite of hardware-enabled software solutions and services now offered through the company’s BlueEdge portfolio, launched in 2024.
Repeated innovation maintains pole position
For CFO Bob Wrocklage, the company’s market-leading position can be attributed to its willingness to innovate.
Wrocklage appreciates some investors might question the need for such a commitment in a traditionally slow-moving and risk-averse industry. He points out that utilities can plan their advanced metering infrastructure (AMI) upgrades 10-15 years ahead; Badger Meter must deploy the same foresight.
“The reason Badger Meter sits where it does in the competitive landscape today is because for the longest time, we’ve been an innovator,” he says.
“We were the first to put a radio on a meter, in the late 1980s. We were the first to launch a static meter in the North American market about 15 years ago, and the first to launch a cellular AMI endpoint over 10 years ago.”
While it has no formula for R&D capital allocation, Badger Meter uses the close client relationships fostered by its direct sales model to determine future needs. “We know where to place our chips in terms of where we allocate resources,” Wrocklage adds.
“The reason Badger Meter sits where it does in the competitive landscape today is because for the longest time, we’ve been an innovator.”
Bob Wrocklage, CFO, Badger Meter
Supporting utilities through their digital journeys
From tiny providers to industry giants, the 50,000 U.S. water utilities are each at different stages of digital adoption.
The process is driven by severe labor shortages and the need to improve customer experiences. “Utilities also want to be more proactive in avoiding boil-water notices and main breaks on Main Street,” says Wrocklage.
The pressures are especially acute for utilities serving drought-prone areas. But even in traditionally water-abundant regions, he notes, providers are acutely aware of the need to prepare for scarcity.
Badger Meter’s BlueEdge suite was designed to meet the needs of this diverse client group. The broad portfolio set offers bespoke solutions on measurement, communications and analytics.
“BlueEdge allows us to meet each of those customers, wherever they are on their journey, and put in front of them eight to nine core use cases that we know are the most problematic challenges, and help them navigate that journey,” Wrocklage says.
This also makes for much more frequent customer interaction, where previously there might have been little customer contact between 15-year AMI system purchases: “The sales process is no longer as episodic.”
“Utilities want to be more proactive in avoiding boil-water notices and main breaks on Main Street.”
Bob Wrocklage, CFO, Badger Meter
Growth ambitions across the whole water cycle
The outlook for Badger Meter is promising, Wrocklage believes. He points to the fact that only 40% of the 100m connections in North America are currently served by AMI technology. “I view that as a 60% market opportunity for Badger to continue to differentiate itself,” he says.
Meanwhile, the software-as-a-service element of the business is growing: Wrocklage expects it to hit $100m within a short time.
While Badger Meter’s original focus on point-of-consumption meters remains lucrative, the company’s services now extend into upstream monitoring, including water treatment plants and the sewer network.
“We have many products that help utilities eliminate those blind spots, prioritize their investments from a capital standpoint and run more efficiently,” Wrocklage says.
“We can now participate in that whole ecosystem. That is the total market that’s going to influence our growth and performance, not only for the next three to five years, but, quite frankly, beyond that.”
This content was recorded at RBC's Global Industrials Conference in New York on September 15, 2025.
