ZTS · 10-Q · 2026Q2 · Full report

Disease Outbreak Impact

Zoetis Inc. · 2026-08-06 · Importance 40 · Surprise 42

Zoetis stated that animal disease outbreaks can reduce demand for livestock products by lowering regional or global sales of animal-derived food products and restricting exports. In the six months ended June 30, 2026, U.S. cattle-product sales benefited from elevated demand in response to the New World screwworm outbreak. U.S. livestock revenue increased $57 million for the period, although the filing did not quantify the portion attributable specifically to the outbreak.

Key facts

• Livestock revenue growth in the U.S. was primarily due to increased demand for cattle products driven by improved supply availability and elevated demand in response to the New World screwworm outbreak. source
• Sales of products that treat specific disease outbreaks may increase, while outbreaks may reduce regional or global sales of particular animal-derived food products or result in reduced exports, which may reduce demand for our products, and an outbreak near main production sites could require immediate halt of production or substantial expenses to procure raw materials elsewhere. source