Zoetis

ZTS Q2 2025 Earnings

Reported Aug 5, 2025 at 7:05 AM ET · SEC Source

Q2 25 EPS

$1.76

BEAT +9.15%

Est. $1.61

Q2 25 Revenue

$2.46B

BEAT +2.18%

Est. $2.41B

vs S&P Since Q2 25

-36.4%

TRAILING MARKET

ZTS -21.6% vs S&P +14.8%

Market Reaction

Did ZTS Beat Earnings? Q2 2025 Results

Zoetis posted a notably strong second quarter of 2025, with adjusted earnings of $1.76 per diluted share beating the $1.61 consensus estimate by 9.15%, while revenue of $2.46 billion edged ahead of the $2.41 billion forecast and grew 4.2% from a year… Read more Zoetis posted a notably strong second quarter of 2025, with adjusted earnings of $1.76 per diluted share beating the $1.61 consensus estimate by 9.15%, while revenue of $2.46 billion edged ahead of the $2.41 billion forecast and grew 4.2% from a year earlier. The primary engine behind the beat was companion animal, where revenue climbed 8% to $1.79 billion, propelled by the Simparica Trio parasiticide franchise and the dermatology portfolio anchored by Apoquel and Cytopoint. Gross margins expanded meaningfully as well, with adjusted cost of sales falling to 26.3% of revenue from 28.3% a year prior, reflecting improving operational efficiency. Management responded by raising full-year 2025 guidance, now calling for revenue of $9.45 billion to $9.60 billion and adjusted diluted EPS of $6.30 to $6.40, up from prior ranges on both measures. The bullish update arrives as notable institutional interest in Zoetis has grown, with at least one prominent global fund sharply increasing its position, citing the company's market leadership in a large and resilient animal health industry.

Key Takeaways

  • Strong companion animal growth driven by Simparica Trio and key dermatology portfolio (Apoquel, Cytopoint)
  • 8% organic operational revenue growth across segments
  • Gross margin expansion with adjusted cost of sales declining to 26.3% of revenue from 28.3%
  • U.S. companion animal innovative products grew 9%
  • International livestock organic operational growth of 10% driven by swine, fish, poultry and cattle
  • Disciplined execution and cost management
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ZTS YoY Financials

Q2 2025 vs Q2 2024, source: SEC Filings

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ZTS Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25
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ZTS Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q4 25

“Zoetis delivered a strong broad-based performance in the second quarter of 2025, with 8% organic operational revenue growth. Our consistent results across economic and competitive cycles reflect the strength of our innovation engine, the breadth of our diversified portfolio and the discipline of our execution in what remains one of the most compelling long-term growth sectors. As we look to the second half of the year, our focus remains clear: execute with discipline, advance meaningful innovation and stay deeply connected to our customers.”

— Kristin Peck, Q2 2025 Earnings Press Release