Revenue: As of FY2026 Q1, the actual value is USD 2.262 B, missing the estimate of USD 2.301 B.EPS: As of FY2026 Q1, the actual value is USD 1.42, missing the estimate of USD 1.5367.EBIT: As of FY2026 Q1, the actual value is USD 820 M.<h4>Overall Performance (Q1 2026)</h4><ul><li>Revenue: 硕腾 (Zoetis Inc.) reported revenue of $2.3 billion for the first quarter of 2026, an increase of 3% compared to the first quarter of 2025, and flat on an organic operational basis. Total revenue was $2,262 million in Q1 2026, up from $2,198 million in Q1 2025, a 3% increase .</li><li>Net Income: Reported net income was $601 million, which was flat compared to the previous year .</li><li>Adjusted Net Income: Adjusted net income was $646 million, an increase of 2% on a reported basis and 1% on an organic operational basis .</li></ul><h4>Costs and Expenses (Q1 2026)</h4><ul><li>Cost of Sales: Cost of sales increased by 4% to $641 million in Q1 2026 from $618 million in Q1 2025. Adjusted cost of sales was $638 million in Q1 2026, up 3% from $617 million in Q1 2025, with an operational increase of 8% and an organic operational decrease of -5%. As a percentage of revenue, adjusted cost of sales was 28.2% in Q1 2026, compared to 28.1% in Q1 2025 .</li><li>Selling, General and Administrative Expenses (SG&amp;A): SG&amp;A expenses increased by 2% to $588 million in Q1 2026 from $574 million in Q1 2025. Adjusted SG&amp;A expenses were $585 million in Q1 2026, up 4% from $565 million in Q1 2025, with an operational increase of 3% and an organic operational increase of 1% .</li><li>Research and Development Expenses (R&amp;D): R&amp;D expenses increased by 11% to $180 million in Q1 2026 from $162 million in Q1 2025. Adjusted R&amp;D expenses were $179 million in Q1 2026, up 10% from $162 million in Q1 2025, with an operational increase of 1% and an organic operational increase of 9% .</li><li>Amortization of Intangible Assets: Amortization of intangible assets was $31 million in Q1 2026, a decrease of -3% from $32 million in Q1 2025 .</li><li>Restructuring Charges and Certain Acquisition and Divestiture-Related Costs: These costs were $22 million in Q1 2026, compared to $0 million in Q1 2025. Acquisition-related costs were $2 million pre-tax in Q1 2026. Other restructuring charges and cost-reduction/productivity initiatives were $20 million pre-tax, and business process transformation program costs were $5 million pre-tax in Q1 2026 .</li><li>Interest Expense, Net of Capitalized Interest: Interest expense increased by 15% to $62 million in Q1 2026 from $54 million in Q1 2025 .</li><li>Other (Income)/Deductions–Net: Other (income)/deductions–net was -$20 million in Q1 2026, compared to -$15 million in Q1 2025 .</li><li>Income before Provision for Taxes on Income: This decreased by -2% to $758 million in Q1 2026 from $773 million in Q1 2025 .</li><li>Provision for Taxes on Income: Provision for taxes on income decreased by -8% to $157 million in Q1 2026 from $171 million in Q1 2025 .</li></ul><h4>Segment Revenue (Q1 2026)</h4><ul><li>U.S. Segment: Total revenue in the U.S. segment was $1.1 billion, a decrease of -8% on both a reported and organic operational basis compared to Q1 2025. Companion animal product sales decreased -11%, while livestock product sales increased 7% on both reported and organic operational bases. U.S. revenue was $1,090 million in Q1 2026, down from $1,183 million in Q1 2025 .</li><li>International Segment: Total revenue in the International segment was $1.1 billion, a 17% increase on a reported basis and a 10% increase on an organic operational basis compared to Q1 2025. Companion animal product sales grew 15% reported and 7% organic operational, while livestock product sales grew 19% reported and 14% organic operational. International revenue was $1,149 million in Q1 2026, up from $985 million in Q1 2025 .</li></ul><h4>Global Revenue by Species (Q1 2026)</h4><ul><li>Companion Animal: Revenue was $1,519 million, a -1% decrease, and -4% organic operational decrease. Dogs and Cats revenue was $1,443 million, a -2% decrease. Horses revenue was $76 million, a 19% increase .</li><li>Livestock: Revenue was $720 million, a 15% increase, and 12% organic operational increase. Cattle revenue was $392 million (15% increase), Swine revenue was $123 million (17% increase), Poultry revenue was $118 million (11% increase), and Fish revenue was $66 million (20% increase). Sheep and other revenue was $21 million (5% increase) .</li><li>Contract Manufacturing &amp; Human Health: Revenue was $23 million, a -23% decrease .</li></ul><h4>Segment Earnings (Q1 2026)</h4><ul><li>U.S. Earnings: U.S. earnings were $697 million in Q1 2026, a -11% decrease from $779 million in Q1 2025. U.S. Gross Profit was $896 million (down -9%) and Gross Margin was 82.2% .</li><li>International Earnings: International earnings were $639 million in Q1 2026, a 21% increase from $527 million in Q1 2025. International Gross Profit was $815 million (up 18%) and Gross Margin was 70.9% .</li><li>Total Reportable Segments Earnings: Total reportable segments earnings were $1,336 million, a 2% increase from $1,306 million in Q1 2025 .</li></ul><h4>Unique Metrics</h4><ul><li>硕腾 (Zoetis Inc.) has a pipeline of more than 12 potential blockbuster candidates across chronic kidney disease, oncology, cardiology, anxiety, and obesity. The company expects a significant approval in a major market every year for the next several years .</li><li>Recent product approvals include Convenia RTU in Canada, Apoquel Chewable in Thailand, ALPHA JECT micro 4 (fish vaccine) in Japan, and Ketofen for cattle pain management in Japan .</li><li>硕腾 (Zoetis Inc.) plans to acquire Neogen’s animal genomics business, expected to close in the second half of 2026, to expand its livestock innovation capabilities .</li></ul><h4>Outlook / Guidance (Full Year 2026)</h4>硕腾 (Zoetis Inc.) revised its full year 2026 revenue guidance to $9.680 billion to $9.960 billion, expecting organic operational revenue growth of 2% to 5%. The company also revised its full year 2026 guidance for adjusted net income to $2.870 billion to $2.950 billion, representing organic operational growth of 2% to 6%. Adjusted diluted EPS guidance was revised to $6.85 to $7.00 .

Zoetis | 8-K: FY2026 Q1 Revenue Misses Estimate at USD 2.262 B