ZTS · 10-Q · 2026Q3

Zoetis Inc.

Filed 2026-11-05 · Healthcare · View original filing on EDGAR

Everything ZTS's SEC filings said, ranked

Ranked Events

• Convertible Senior NotesImportance 71 · Surprise 60
  On December 18, 2025, Zoetis completed a $2.0 billion offering of 0.250% convertible senior notes due June 15, 2029, receiving net proceeds of $1,970 million after $30 million of discounts and expenses. The notes have…
• Capital Return ProgramImportance 50 · Surprise 24
  Zoetis repurchased 17.7 million shares for $1,659 million during the first nine months of 2026, excluding a $16 million accrual for excise tax on net share repurchases. The August 2024 multi-year authorization permits…
• Macroeconomic Consumer PressureImportance 43 · Surprise 32
  For the nine months ended September 30, 2026, U.S. companion animal revenue declined $329 million, with softer end-market demand and persistent macroeconomic-driven price sensitivity contributing to the decline. The…
• Competition and Pricing PressureImportance 43 · Surprise 32
  U.S. companion animal revenue fell $329 million over the first nine months of 2026, as softer end-market demand coincided with heightened competition and persistent macroeconomic-driven price sensitivity. The key…
• Headcount / RestructuringImportance 40 · Surprise 42
  Restructuring charges and certain acquisition- and divestiture-related costs in the first nine months of 2026 primarily reflected employee termination costs under a comprehensive cost and productivity program and…
• Net Income and ProfitabilityImportance 37 · Surprise 32
  Nine-month net income attributable to Zoetis declined 8%, from $2.049 billion in 2025 to $1.883 billion in 2026, while adjusted net income decreased 1%, from $2.178 billion to $2.147 billion. Diluted GAAP EPS declined…
• Segment Revenue PerformanceImportance 37 · Surprise 32
  U.S. segment revenue decreased $259 million, or 7%, to $3.602 billion in the nine months ended September 30, 2026, including a $329 million decline in companion animal products, partly offset by $70 million growth in…
• Product Launch and TransitionImportance 35 · Surprise 42
  Zoetis launched Lenivia and Portela, its long-acting monoclonal antibody pain products, in International markets. Their sales contributed to companion animal performance alongside increased parasiticide sales and…
• Liquidity and Debt PositionImportance 34 · Surprise 14
  At September 30, 2026, Zoetis had $1,333 million of cash and cash equivalents and $8,299 million of long-term debt, compared with $2,450 million and $9,042 million, respectively, at December 31, 2025. Working capital…
• International Market GrowthImportance 32 · Surprise 32
  International segment revenue increased 9% to $3.438 billion in the first nine months of 2026, with operational growth of 5% and contributions from both companion animal and livestock products. Companion animal growth…
• Operating Cash Flow TrendsImportance 30 · Surprise 14
  Net cash provided by operating activities was $1,880 million for the nine months ended September 30, 2026, down $176 million, or 8.6%, from $2,056 million in the comparable 2025 period. The decrease primarily reflected…
• FX / Currency ImpactImportance 24 · Surprise 14
  Approximately 45% of Zoetis’s revenue for the nine months ended September 30, 2026 was denominated in foreign currencies, and foreign exchange favorably affected year-over-year revenue growth by approximately 1%.…
• Revenue Performance and MixImportance 24 · Surprise 14
  For the nine months ended September 30, 2026, Zoetis revenue increased $27 million to $7.121 billion, while operational revenue decreased $97 million, or 1%. Foreign exchange added $124 million, or 1%, to nine-month…
• ERP Transformation and ComplianceImportance 23 · Surprise 42
  Effective January 1, 2026, Zoetis eliminated the one-month financial reporting lag for International Subsidiaries and changed their year-end to December 31 as part of a multi-year ERP transition. Consequently,…
• Research and Development ExpenseImportance 18 · Surprise 14
  Nine-month R&D expense increased $24 million, or 5%, in 2026 compared with 2025, primarily because of increased project investment and compensation-related costs. Third-quarter R&D expense decreased $1 million, or 1%,…
• Gross Margin DriversImportance 18 · Surprise 14
  Consolidated cost of sales rose to 29.2% of revenue in the third quarter of 2026 from 28.8% a year earlier, and to 28.3% for the first nine months from 27.9%. Third-quarter margin pressure reflected higher inventory…

Revenue by Product (in millions)

Revenue by Geography (in millions)