Core Insights - Elanco Animal Health Incorporated reported financial results for Q1 2025, exceeding guidance for revenue, adjusted EBITDA, and adjusted EPS, with a 4% organic constant currency revenue growth and a revenue of $1,193 million, a decline of 1% year-over-year [2][4][7] - The company raised its 2025 revenue guidance to a range of $4,510 to $4,580 million, attributing the increase to favorable foreign exchange rates and strong performance in its diverse portfolio [2][19] - Elanco's adjusted net income for Q1 2025 was $184 million, or $0.37 per diluted share, reflecting a 9% increase compared to the same period in 2024 [15][19] Financial Performance - Q1 2025 revenue was $1,193 million, down 1% year-over-year, but showed a 4% organic constant currency growth [4][7] - Reported net income for Q1 2025 was $67 million, compared to $32 million in Q1 2024, with adjusted EBITDA at $276 million, a 6% decrease from the previous year [15][17] - The net leverage ratio as of March 31, 2025, was 4.4x adjusted EBITDA, with an improved year-end target of 3.9x to 4.3x [17][19] Business Segments - Pet Health revenue was $635 million, a decrease of 1% year-over-year, with a 1% increase when excluding foreign exchange impacts [8][9] - Farm Animal revenue was $546 million, down 2% year-over-year, but showed a 7% increase when excluding unfavorable impacts from the aqua divestiture and foreign exchange rates [9][10] - The company achieved approximately 10% dollar share of broad-spectrum sales in U.S. vet clinics for Credelio Quattro™ and over 35% penetration for Zenrelia™ in U.S. clinics [5][6] Guidance and Outlook - For the full year 2025, Elanco expects adjusted EBITDA of $830 to $870 million and adjusted EPS of $0.80 to $0.86, maintaining previous guidance despite macroeconomic uncertainties [19][21] - The company anticipates a revenue headwind of approximately $5 million in Q2 2025 due to unfavorable foreign exchange rates, but expects 4% to 6% organic constant currency revenue growth excluding these impacts [23][24] - Operating expenses are projected to increase by approximately 11% year-over-year in constant currency, driven by strategic investments in the innovation portfolio [23][24]

In 2019, Elanco exclusively licensed lotilaner to Tarsus Pharmaceuticals, Inc. (NASDAQ: TARS) for exploration as a solution to several unmet human health needs. In 2023, XDEMVY became the first lotilaner- based product approved for human use and the only FDA-approved medicine for treatment of Demodex blepharitis (DB), a common eyelid disease in humans caused by Demodex mites. "Elanco's team of scientific experts is focused on identifying and developing molecules to generate high-impact innovation, not just ...

Core Viewpoint - Bragar Eagel & Squire, P.C. is investigating potential claims against Elanco Animal Health Incorporated due to a class action complaint alleging breaches of fiduciary duties by the board of directors [1] Group 1: Allegations and Complaints - The class action complaint filed against Elanco alleges that during the Class Period, the company made materially false and misleading statements regarding its business and operations [2] - Specific allegations include that Zenrelia was less safe than represented, and that Elanco was unlikely to meet its timeline for U.S. approval and commercial launch of Zenrelia and Credelio Quattro [2] - The complaint asserts that these misrepresentations led to an overstatement of the company's business and financial prospects [2] Group 2: Contact Information - Long-term stockholders of Elanco are encouraged to contact Bragar Eagel & Squire, P.C. for more information regarding the claims and their rights [3] - The law firm provides contact details for inquiries, emphasizing that there is no cost or obligation for stockholders [3][6] Group 3: About the Law Firm - Bragar Eagel & Squire, P.C. is a nationally recognized law firm that represents individual and institutional investors in various complex litigations [4] - The firm operates in both New York and California, focusing on commercial and securities litigation [4]

Elanco Animal Health Incorporated (ELAN) shares rallied 12.6% in the last trading session to close at $9.38. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 17% loss over the past four weeks.The upside can be attributed to relief-rally across global markets following the announcement of a 90-day pause on tariff hike by the United States.This company is expected to post quarterly earnings of $0.31 per share in ...

Core Viewpoint - Elanco Animal Health Incorporated will announce its first quarter 2025 financial results on May 7, 2025, and will hold a conference call to discuss the performance with the investment community and media [1][2]. Company Overview - Elanco Animal Health is a global leader in animal health, focusing on innovating and delivering products and services for the prevention and treatment of diseases in farm animals and pets [3]. - The company has a 70-year heritage in animal health and aims to create value for farmers, pet owners, veterinarians, stakeholders, and society [3]. - Elanco is committed to improving animal health while making a meaningful impact on local and global communities, driven by its vision of "Food and Companionship Enriching Life" and sustainability pillars [3].

GREENFIELD, Ind., March 17, 2025 /PRNewswire/ -- Elanco Animal Health Incorporated (NYSE: ELAN) today announced changes to its Board of Directors that will reduce the Board size to 11 directors by the 2025 Annual Meeting of Shareholders: John P. (JP) Bilbrey, Kathy Turner and Craig Wallace have each informed the Board they will not stand for re-election at the conclusion of their terms at the 2025 Annual Meeting of Shareholders. William F. (Bill) Doyle has resigned from the Board, effective immediately, in ...

Core Insights - Elanco Animal Health reported fourth-quarter revenue of $1.02 billion, a decrease of 1% on a reported basis but a 4% organic constant currency growth, surpassing the consensus estimate of $1.01 billion [1] - The company reported adjusted EPS of 14 cents, an increase from 8 cents year-over-year, but fell short of the consensus estimate of 15 cents [1] Pet Health Segment - Pet Health revenue reached $439 million, reflecting a 6% year-over-year increase, with a 3% price increase contributing to this growth, driven by strong performance in the global over-the-counter retail parasiticide business and new products like Zenrelia and Credelio Plus, although competitive pressures in the U.S. veterinary channel partially offset these gains [2] Farm Animal Segment - Farm Animal revenue was $570 million, showing a 7% decrease on a reported basis but a 2% increase on an organic constant currency basis, with a 3% contribution from price in the fourth quarter; strong demand for Experior and Rumensin in the U.S. and swine across multiple geographies supported the organic growth [3] Financial Metrics - Adjusted EBITDA was $177 million, marking a 7% increase, with an adjusted EBITDA margin of 17.4%, up 150 basis points [3] Future Guidance - For 2025, Elanco expects revenues between $4.45 billion and $4.51 billion, slightly below the consensus of $4.53 billion, and adjusted EPS in the range of 80-86 cents, compared to the consensus of 90 cents; the company anticipates a revenue headwind of approximately $110 million due to unfavorable foreign exchange rates [4] Management Commentary - The company is focused on accelerating organic constant currency revenue growth for 2025 and improving earnings potential while navigating a dynamic macroeconomic environment; adjustments made were primarily for incremental currency headwinds [5] Q1 2025 Expectations - For the first quarter of 2025, Elanco projects revenues of $1.16 billion to $1.18 billion, below the consensus of $1.21 billion, and adjusted EPS of 29-34 cents, compared to the consensus of 30 cents [6] Stock Performance - Elanco's stock is down 4.68% at $10.59 as of the last check on Tuesday [7]

D 2024 Earnings – Fourth Quarter February 25, 2025 2024 | Q4 Earnings Notices and Disclaimers Forward-Looking Statements. This presentation contains forward-looking statements within the meaning of the federal securities laws, including, without limitation, statements concerning product launches and revenue from such products, our 2025 full year and first quarter guidance, long-term expectations, our expectations regarding debt levels, and expectations regarding our industry and our operations, performance ...

Financial Data and Key Metrics Changes - Fourth quarter revenue was $1.02 billion, representing a 1% reported decline, but organic constant currency growth was 4% [46] - Adjusted EBITDA for the fourth quarter was $177 million, an increase of $12 million on a reported basis [54] - Full year adjusted EPS came in at $0.91 compared to $0.89 in 2023, reflecting a slight growth [58] Business Line Data and Key Metrics Changes - Total Pet Health revenue increased by 6% in constant currency in the fourth quarter, with U.S. Pet Health growing by 2% and international Pet Health growing by 11% [47][48] - U.S. Farm Animal business achieved $223 million in sales, a 6% increase, driven by market expansion and increased share within the cattle business [49] - International Farm Animal revenue was flat, impacted by the Kexxtone recall and strategic changes in certain geographies [50] Market Data and Key Metrics Changes - The U.S. dermatology market is projected to surpass $2 billion, with Zenrelia capturing significant market share [80] - The global poultry demand showed sequential improvement, contributing to the overall growth despite challenges in swine economics in Asia [17][50] - The carbon market for Bovaer is estimated to be $2 billion, with strong demand from farmers and consumer product goods companies [38] Company Strategy and Development Direction - The company is focused on growth, innovation, and cash generation, with expectations of 4% to 6% organic constant currency revenue growth in 2025 [12][73] - Strategic divestiture of the aqua business has allowed for debt reduction and increased investments in product launches [10][20] - The company aims to leverage its comprehensive portfolio to enhance market share in both Pet Health and Farm Animal segments [22][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to achieve sustained growth despite macroeconomic challenges, including foreign exchange impacts [14][13] - The management highlighted the importance of innovation and commercial execution in driving future revenue growth [72] - The company anticipates a positive revenue trajectory for Bovaer and other innovative products in the second half of 2025 [39][97] Other Important Information - The company achieved a net leverage ratio of 4.3 times at the end of the year, down from 5.6 times at the start of 2024 [20] - Operating cash flow for the full year was $541 million, representing 120% of adjusted net income [60] - The company plans to increase capital expenditures to support the expansion of its monoclonal antibody manufacturing facility [66] Q&A Session Summary Question: What is the expected penetration of Zenrelia by year-end 2025? - Management is optimistic about Zenrelia's growth trajectory, with significant adoption in U.S. vet clinics and plans for aggressive sampling programs to drive further penetration [80][84] Question: What factors contribute to the accelerating revenue growth in Q1 2025? - The growth is attributed to the ramp-up of Zenrelia and Credelio Quattro, alongside the absence of headwinds faced in the previous year [88][89] Question: What gives confidence in the innovation contribution for 2025? - The momentum from successful product launches like Experior and AdTab, along with the growth potential in the dermatology market, supports this confidence [96][97] Question: How is the commercialization strategy for Credelio Quattro different? - The strategy includes a strong DTC approach and leveraging the existing Credelio franchise's growth to enhance market penetration [116] Question: What is the expected impact of competition in the dermatology market? - Competition is acknowledged as a headwind, but the company remains confident in its growth potential due to unmet needs in the market [125][126]

Financial Data and Key Metrics Changes - Fourth quarter revenue was $1.02 billion, representing a 1% reported decline, but organic constant currency growth was 4% [46] - Adjusted EBITDA for the fourth quarter was $177 million, an increase of $12 million on a reported basis [54] - Full year adjusted EPS came in at $0.91 compared to $0.89 in 2023, reflecting a year-over-year growth [58] Business Line Data and Key Metrics Changes - Total Pet Health revenue increased 6% in constant currency in the fourth quarter, with U.S. Pet Health growing 2% and international Pet Health growing 11% [47][48] - U.S. Farm Animal business achieved $223 million in sales, a 6% increase, driven by cattle market expansion [49] - International Farm Animal revenue was flat, impacted by the Kexxtone recall and strategic changes in certain geographies [50] Market Data and Key Metrics Changes - The U.S. dermatology market is projected to surpass $2 billion, with Zenrelia capturing significant market share [80] - The global carbon market for Bovaer is estimated to be $2 billion, with strong demand from farmers [38] - The U.S. dairy farmers earned approximately $10 million in credits from using Rumensin in the fourth quarter [39] Company Strategy and Development Direction - The company is focused on growth, innovation, and cash generation, with expectations for 2025 organic constant currency revenue growth of 4% to 6% [12][73] - Strategic divestiture of the aqua business has allowed for debt reduction and increased investments in product launches [10][20] - The company aims to leverage its comprehensive portfolio to enhance market share in both Pet Health and Farm Animal sectors [22][24] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in accelerating fundamentals for 2025, despite challenges from foreign exchange impacts [14][72] - The company anticipates continued growth from innovation and a stabilization of its base business [13][42] - Management highlighted the importance of effective commercial execution and the positive reception of new product launches [72] Other Important Information - The company achieved a net leverage ratio of 4.3 times at the end of the year, down from 5.6 times at the start of 2024 [20] - The company launched five new U.S. product approvals in 2024, contributing to a robust innovation pipeline [28] - The company expects adjusted EBITDA for 2025 to be between $830 million and $870 million, factoring in foreign exchange headwinds [64] Q&A Session Summary Question: What is the expected penetration of Zenrelia by year-end 2025? - Management indicated that Zenrelia is experiencing strong adoption, with a focus on increasing clinic penetration through aggressive sampling and direct-to-consumer efforts [81][84] Question: What factors contribute to the accelerating revenue growth in Q1 2025? - Management noted that the growth is driven by the ramp-up of Zenrelia and Credelio Quattro, alongside the absence of headwinds faced in the previous year [88][89] Question: What gives confidence in the innovation contribution for 2025? - Management highlighted strong momentum from products like Experior and AdTab, as well as the growth potential in the dermatology market with Zenrelia and Quattro [96][97] Question: How is the early launch of Credelio Quattro performing? - Management reported positive initial momentum, with strong veterinarian interest and a comprehensive commercialization strategy in place [115][116] Question: What are the dynamics behind the surge in Galliprant sales? - Management attributed the surge to its strong safety profile and effective marketing strategies, expecting continued performance into 2025 [120] Question: How does the company view the competitive environment in dermatology? - Management acknowledged competition as a headwind but emphasized the growing market and unmet needs that present opportunities for growth [125][126]