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Investor Presentaiton

FOURTH QUARTER FINANCIAL SNAPSHOT (US$ in millions, except per share data) Q4 2020 Q4 2019 Change Sales $112.3 $107.6 4.4% Gross Margin 44.1 41.1 7.1% 39.2% 38.2% SEA 27.1 24.8 24.1% 23.0% 100 bps 9.3% 110 bps Op Income 17.0 16.3 3.8% 15.1% 15.2% (10) bps Income Tax Rate 22.6% 24.3% EBITDA 23.2 22.3 4.0% 20.7% 20.7% -bps EPS 0.45 0.42 7.1% Free Cash Flow $12.7 $17.7 See appendix for reconciliation of GAAP to Non-GAAP measures O2021 Badger Meter, Inc. . • Utility water sales increased 8%, with 5% organic growth reflecting higher meter, radio and software sales. 3% contribution from two months of s::can. Flow instrumentation sales declined 10%; weakness continued across majority of end markets. Gross margin expansion on higher volumes, pricing and favorable sales mix which more than offset network sunset provision and cost inflation. SEA includes s::can operations and related intangible amortization. Continued strong free cash flow generation. 4
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