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Jun 30, 2023

Zoetis Q2 2023 Earnings Report

Reported revenue growth of 6% and net income increase of 27% for Q2 2023.

Key Takeaways

Zoetis reported a revenue of $2.2 billion for the second quarter of 2023, representing a 6% increase compared to the previous year. Net income reached $671 million, or $1.45 per diluted share, a 27% increase. The company is maintaining its full-year guidance for operational revenue growth of 6% to 8% and adjusted net income growth of 7% to 9%.

Revenue grew by 6% to $2.2 billion, with operational growth of 9%.

Net income increased by 27% to $671 million, or $1.45 per diluted share.

Adjusted net income was $652 million, or $1.41 per diluted share, up 15%.

Maintains full year guidance for operational revenue growth of 6% to 8% and adjusted net income of 7% to 9%.

Total Revenue
$2.18B
Previous year: $2.05B
+6.2%
EPS
$1.41
Previous year: $1.2
+17.5%
Companion Animal Growth
11%
Previous year: 14%
-21.4%
Livestock Growth
4%
Previous year: -1%
-500.0%
US Revenue Growth
7%
Previous year: 9%
-22.2%
Gross Profit
$1.57B
Previous year: $1.43B
+10.2%
Cash and Equivalents
$1.72B
Previous year: $2.65B
-35.3%
Free Cash Flow
$17M
Previous year: $190M
-91.1%
Total Assets
$13.7B
Previous year: $13.8B
-0.2%

Zoetis

Zoetis

Zoetis Revenue by Segment

Zoetis Revenue by Geographic Location

Forward Guidance

Zoetis is updating its full year reported 2023 guidance due to foreign exchange rates and a one-time gain from a business development deal.

Positive Outlook

  • Maintains operational growth of 6% to 8% in revenue
  • Updates reported net income to between $2.400 billion to $2.460 billion
  • Updates adjusted net income to between $2.500 billion to $2.550 billion (maintains operational growth of 7% to 9%)
  • Updates reported diluted EPS of $5.15 to $5.27 due to the impact of foreign exchange rates and a one-time gain from a business development deal
  • Updates adjusted diluted EPS between $5.37 to $5.47 due to the impact of foreign exchange rates

Revenue & Expenses

Visualization of income flow from segment revenue to net income