Zoetis Inc. reported third‑quarter 2025 results with revenue of $2.4 billion, a 1% year‑over‑year increase and 4% organic growth. Net income attributable to the company was $721 million, up 6% from the same quarter last year, while adjusted net income reached $754 million, a 5% organic gain.
The company’s diluted earnings per share were $1.63, surpassing the consensus estimate of $1.62. Adjusted diluted EPS rose to $1.70, beating the adjusted estimate of $1.62. Operating margin for the quarter was 37%, down from 38.3% in Q3 2024, reflecting higher input costs and investment in product development.
Management reiterated its full‑year 2025 revenue guidance at $9.44 billion, a 0.8% reduction from the prior midpoint estimate, and maintained an earnings‑per‑share outlook of $6.30 to $6.40 for the year.
Segment results showed U.S. revenue falling 2% year‑over‑year to $1.7 billion, while International revenue rose 3% to $725 million. Companion‑animal sales were $1.7 billion, up 2% organically, and livestock sales were $725 million, up 10% organically.
The quarter included regulatory milestones: Health Canada approved Lenivia, the first long‑acting monoclonal antibody for canine osteoarthritis, on October 15 2025, and the European Commission granted marketing authorization for Portela, a three‑month dosing feline osteoarthritis therapy, on October 29 2025. These approvals reinforce Zoetis’ focus on expanding its portfolio of disease‑modifying treatments for companion animals.
Revenue missed the consensus estimate of $2.41 billion due to muted demand in the U.S. segment, where sales of Librela and Solensia declined, offsetting gains in other areas. The company cited a broader slowdown in animal‑health product demand and the impact of recent divestitures, including a medicated feed‑additive portfolio sold in October 2024, as contributing factors to the guidance adjustment.
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