Zoetis

Zoetis (ZTS) Q2 2026 Earnings

Reported Aug 6, 2026 at 7:06 AM ET · SEC Source

Q2 26 EPS Adjusted

$1.87

BEAT +1.63%

Est. $1.84

Q2 26 Revenue

$2.47B

vs S&P Since Q2 26

+0.3%

BEATING MARKET

ZTS +0.8% vs S&P +0.5%

Market Reaction

Did ZTS Beat Earnings? Q2 2026 Results

Zoetis posted a narrow beat in Q2 2026, but the headline numbers masked a more troubling story underneath. The animal health giant reported adjusted diluted EPS of $1.87, edging past the $1.84 consensus by 1.63%, while revenue of $2.47 billion crept … Read more Zoetis posted a narrow beat in Q2 2026, but the headline numbers masked a more troubling story underneath. The animal health giant reported adjusted diluted EPS of $1.87, edging past the $1.84 consensus by 1.63%, while revenue of $2.47 billion crept just 0.3% higher year-over-year, a result that reflected deep strain in the U.S. Companion Animal segment rather than any broad-based momentum. That segment slid 11% to $1.04 billion, as softer veterinary clinic visits, pet owner price sensitivity, and intensifying competition in dermatology and parasiticide franchises weighed heavily on Simparica Trio and the dermatology portfolio. A 23% surge in U.S. Livestock and 8% international revenue growth cushioned the blow but could not fully offset the domestic weakness. With those headwinds expected to persist, Zoetis sharply lowered its full-year 2026 revenue guidance to $9.12 billion to $9.32 billion and cut adjusted diluted EPS guidance to $6.15 to $6.25, signaling that the recovery in companion animal spending remains elusive.

Key Takeaways

  • U.S. Companion Animal declined 11% due to softer end-market demand, price sensitivity, and generic competition on Cerenia and Convenia
  • U.S. Livestock grew 23% driven by favorable beef cattle producer economics and poultry vaccine demand from disease outbreaks
  • International Companion Animal grew 8% led by parasiticides portfolio including Simparica Trio, Revolution, and Stronghold
  • International Livestock grew 8% driven by cattle and poultry
  • Key dermatology franchise and Simparica Trio faced persistent macro-driven price sensitivity and heightened competitive pressure

ZTS Forward Guidance & Outlook

Zoetis significantly lowered its full year 2026 guidance. Revenue is now expected at $9.120–$9.320 billion (organic operational decline of 3% to 1%), down from prior guidance of $9.680–$9.960 billion. Adjusted diluted EPS is now expected at $6.15–$6.25 (down from $6.85–$7.00), with adjusted net income of $2.570–$2.620 billion (organic operational decline of 9% to 5%). Reported diluted EPS guidance is $5.55–$5.65. The guidance reflects continued pressure in the Companion Animal market from lower clinic visits, pet owner price sensitivity, and heightened competitive dynamics.

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ZTS YoY Financials

Q2 2026 vs Q2 2025, source: SEC Filings

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ZTS Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 25 Q2 26
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ZTS Revenue by Geography

With YoY comparisons, source: SEC Filings

Q1 25 Q2 26

“Second quarter results reflected a more pressured Companion Animal market, as lower clinic visits and pet owner price sensitivity reduced demand across parts of our portfolio and heightened competition in key categories.”

— Kristin Peck, Q2 2026 Earnings Press Release