Zoetis(ZTS) ZACKS·2024-08-06 15:45Core Insights - Zoetis, Inc. reported second-quarter 2024 adjusted earnings of $1.56 per share, exceeding the Zacks Consensus Estimate of $1.49 and up from $1.41 in the same quarter last year [1] - Total revenues increased by 8% year over year to $2.36 billion, surpassing the Zacks Consensus Estimate of $2.30 billion, compared to $2.18 billion in the prior year [1] Revenue Breakdown - U.S. segment revenues rose 12% year over year to $1.31 billion, exceeding both the Zacks Consensus Estimate and the model estimate of $1.26 billion [3] - Sales of companion animal products in the U.S. increased by 13% to $1.08 billion, driven by monoclonal antibody products for osteoarthritis pain and key dermatology products [3] - Livestock product sales in the U.S. grew 11% to $228 million, primarily due to higher sales of cattle and swine products [4] - International segment revenues improved by 4% year over year to $1.04 billion, beating both the Zacks Consensus Estimate and the model estimate of $1.02 billion [4] Operational Performance - Companion animal product sales in the international segment rose 7% on a reported basis and 12% operationally, driven by growth in key products [4] - Livestock product sales were flat on a reported basis but grew 8% operationally, with price increases contributing to growth in the international segment [5] Future Guidance - Zoetis raised its 2024 adjusted earnings guidance to a range of $5.78-$5.88 per share, up from the previous guidance of $5.71-$5.81 [6] - Projected revenues for 2024 are now between $9.10 billion and $9.25 billion, indicating an operational growth of 9-11% [6] Overall Assessment - The company reported better-than-expected second-quarter results, with strong sales driven by the companion animal portfolio and key dermatology products [7] - Continued revenue growth is anticipated, supported by the strength of the pet care portfolio and expansion in international markets [7]