Shares of Badger Meter (BMI) are soaring 5.49% in pre-market trading on Thursday following the release of the company's impressive first-quarter 2025 financial results. The water control and measurement equipment manufacturer reported earnings and revenue that surpassed analyst expectations, demonstrating strong growth and operational efficiency.

Badger Meter announced quarterly earnings of $1.30 per share, significantly beating the analyst consensus estimate of $1.06 by 22.64%. This represents a substantial 31.31% increase from the $0.99 per share reported in the same period last year. The company's revenue also exceeded expectations, coming in at $222.211 million, slightly above the analyst consensus estimate of $220.857 million. This marks a 13.21% increase compared to the $196.280 million reported in the first quarter of 2024.

Kenneth C. Bockhorst, Chairman, President and Chief Executive Officer of Badger Meter, commented on the results, saying, "Steady customer demand and disciplined operating execution drove solid revenue growth and record margins in a strong start to 2025. Our ability to build upon record results reflects the underlying stability of our business model as favorable industry fundamentals drive the need for our innovative smart water solutions." The company's performance was bolstered by ongoing customer adoption of its suite of digital smart water solutions, including increased sales of mechanical and E-Series Ultrasonic meters, ORION Cellular radio endpoints, and BEACON SaaS offerings. Additionally, Badger Meter reported record gross margins, benefiting from a favorable product and customer sales mix, as well as operational excellence initiatives.