Slides
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November 4, 2025 Third Quarter 2025 Financial Results
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2 Forward-Looking Statements This presentation contains forward-looking statements, which reflect the current views of Zoetis with respect to: business plans or prospects, future operating or financial performance; future guidance, future operating models, R&D costs; timing and likelihood of success; expectations regarding products, product approvals or products under development and expected timing of product launches; expectations regarding competing products; expectations regarding the timing and financial impact of divestitures; disruptions in our global supply chain; customers and employees; expectations regarding the performance of acquired companies and our ability to integrate new businesses; expectations regarding the financial impact of acquisitions; future use of cash, dividend payments and share repurchases; foreign exchange rates, tax rate, tariffs and tax regimes and any changes thereto; and other future events. These statements are not guarantees of future performance or actions. Forward-looking statements are subject to risks and uncertainties. If one or more of these risks or uncertainties materialize, or if management's underlying assumptions prove to be incorrect, actual results may differ materially from those contemplated by a forward-looking statement. Forward-looking statements speak only as of the date on which they are made. Zoetis expressly disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. A further list and description of risks, uncertainties and other matters can be found in our most recent Annual Report on Form 10-K, including in the sections thereof captioned “Forward-Looking Statements and Factors That May Affect Future Results” and “Item 1A. Risk Factors,” in our Quarterly Reports on Form 10-Q and in our Current Reports on Form 8-K. These filings and subsequent filings are available online at www.sec.gov, www.zoetis.com, or on request from Zoetis. Non-GAAP Financial Information We use non-GAAP financial measures, such as adjusted net income, adjusted net income margin, adjusted EBITDA margin, adjusted diluted EPS, operational results (which excludes the impact of foreign exchange) and organic operational results (which exclude the impact of foreign exchange and certain acquisitions and divestitures), to assess and analyze our results and trends and to make financial and operational decisions. We believe these non-GAAP financial measures are also useful to investors because they provide greater transparency regarding our operating performance. The non- GAAP financial measures included in this presentation and our other disclosures should not be considered alternatives to measurements required by GAAP, such as net income, operating income, and revenue growth, and should not be considered measures of liquidity. These non-GAAP financial measures are unlikely to be comparable with non-GAAP information provided by other companies. Reconciliations of non-GAAP financial measures and the most directly comparable GAAP financial measures are available on the applicable slide or in the appendix to this presentation.
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3 Presenters THIRD QUARTER FINANCIAL RESULTS Strategy & Business Update Financial Performance Kristin Peck Chief Executive Officer Wetteny Joseph Executive Vice President and Chief Financial Officer
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4 THIRD QUARTER FINANCIAL RESULTS Zoetis Q3 Performance REVENUE ADJ. NET INCOME2 ADJ. DILUTED EPS2 $2.4B $754M $1.70 4% 9% 12% organic operational1 YoY organic operational1 YoY organic operational1 YoY 4% Price | 0% Volume Diversity of our portfolio drives broad based growth across species and geographies Our International segmentrevenue grew 6%,and our U.S. business grew 3%, both on an organic operational1 basis Lenivia® and Portela® become the world’s first three-month injectable anti-NGF monoclonal antibodies Livestock grew 10% on an organic operational1 basis on stable long-term fundamentals and global demand for our market leading solutions Revising guidance on revenue to 5.5% - 6.5% organic operational1 growth, while maintaining adjusted diluted EPS of $6.30 - $6.40 KEY HIGHLIGHTS 1 Organic operational results (a non-GAAP financial measure) is defined as results excluding the impact of foreign exchange and certain acquisitions and divestitures. 2 Adjusted net income and its components and adjusted diluted earnings per share (non-GAAP financial measures) are defined as reported net income and reported diluted earnings per share, excluding purchase accounting adjustments, acquisition and divestiture-related costs and certain significant items.
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5 THIRD QUARTER FINANCIAL RESULTS Advancements in Innovation Lenivia and Portela Achieve Regulatory Milestones, Expanding Company’s OA Pain Franchise Received approval in Canada for Lenivia® , first long-acting monoclonal antibody to alleviate OA pain in dogs for up to three months with one injection. Additionally, received approval in the EU for Portela®, a new monoclonal antibody intended for the alleviate of pain associated with osteoarthritis in cats, and received a positive opinion from the CVMP of the European Medicines Agency for Lenivia. Supporting Livestock CustomersContinued Expansion of Key Dermatology and Simparica Franchises Innovating at the Point-Of-Care with Diagnostics Simparica Trio® received approval in Brazil and gained new label indications in several markets, including Australia, Canada, and the U.K. Apoquel® Chewable received approval in Chile, and Cytopoint® is now labeled for the treatment of allergic dermatitis in Brazil. Expanded the premium point-of-care hematology analyzer, Vetscan® Opticell , into the EU. The innovative AI- powered classification technology offers a more advanced option for Complete Blood Count (CBC) analysis, providing lab-quality results in the clinic. Received conditional approval from the Food and Drug Administration (FDA) for Dectomax®-CA1 Injectable to prevent and treat New World screwworm myiasis in cattle. Synovex® Primer was approved in Canada for an additional claim to increase rate of weight gain in growing beef steers and heifers on pasture, and in Mexico for use on pasture, confinement and in the backgrounder phase. Received approval in the U.K. for a needle-free microdose of Suvaxyn® PRRS, a vaccine that helps prevent porcine respiratory and reproductive syndrome.
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6 THIRD QUARTER FINANCIAL RESULTS Our Multi-Year Disruptive Innovation Roadmap Expected approvals in the U.S. or a top 10 international market 36 – 60 months Derm expansion to feline and equine Aqua DNA vaccines Innovative delivery methods across key franchises and core New Companion Animal &Livestock antimicrobial formulations and indications Poultry parasite vaccines Cardiology canine solution Long-acting parasiticides 1 Canada 2 EU 3 U.S. | Note: Content reflects projected approvals based on internal estimates | *Conditional FDA approval **Conditional USDA approval 0 – 12 months Long-acting canine OA mAb Long-acting feline OA mAb HPAI poultry vaccine** Approved1 Approved1,3 12 – 36 months Long-acting canine Cytopoint** Renal canine mAb therapy* Oncology canine mAb therapies** New canineparasiticides HPAI cattle vaccine** Approved3 Approved2
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7 THIRD QUARTER FINANCIAL RESULTS Third Quarter Segment Highlights U.S. SEGMENT REVENUE $1.3B 3% organic operational growth1 YoY U.S. COMPANION ANIMAL REVENUE $1.1B flat YoY U.S. LIVESTOCK REVENUE $0.3B 14% organic operational growth1 YoY UnitedStates INT’L. SEGMENT REVENUE $1.1B 6% organic operational growth1 YoY INT’L. COMPANION ANIMAL REVENUE $0.6B 4% operational growth2 YoY INT’L. LIVESTOCK REVENUE $0.5B 8% organic operational growth1 YoY International 1 Organic operational results ( a non-GAAP financial measure) is defined as results excluding the impact of foreign exchange and certain acquisitions and divestitures. 2 Operational results (a non-GAAP financial measure) is defined as results excluding the impact of foreign exchange. 7
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8 1 Operational results (a non-GAAP financial measure) excludes the impact of foreign exchange. 2 Organic operational results (a non-GAAP financial measure) excludes the impact of foreign exchange and divestitures. Understanding Third Quarter 2025 Underlying Results Reported to Organic Operational Results THIRD QUARTER FINANCIAL RESULTS (millions of dollars) Third Quarter 2025 2024 Reported Change Foreign Exchange Operational1 Divestitures Organic Operational2 U.S. Companion animal $1,069 $1,068 —% —% —% —% —% Livestock 253 278 (9)% —% (9)% (23)% 14% 1,322 1,346 (2)% —% (2)% (5)% 3% International Companion animal 583 541 8% 4% 4% —% 4% Livestock 472 480 (2)% 1% (3)% (11)% 8% 1,055 1,021 3% 2% 1% (5)% 6% Total Companion animal 1,652 1,609 3% 1% 2% —% 2% Livestock 725 758 (4)% 1% (5)% (15)% 10% Contract manufacturing & human health 23 21 10% —% 10% —% 10% $2,400 $2,388 1% 1% —% (4)% 4%
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9 THIRD QUARTER FINANCIAL RESULTS Updating Our 2025 Outlook $9,400M - $9,475M Prior guidance: $9,450M - $9,600M Adj. Net Income1 $2,800M - $2,840M Prior guidance: $2,825M - $2,875M Revenue $6.30 - $6.40 Prior guidance: $6.30 - $6.40 Adj. Diluted EPS1 5.5% - 6.5% Revenue Prior guidance: 6.5% - 8% Organic Operational Growth2 5.5% - 7.0% Adj. Net Income1 Prior guidance: 5.5% - 7.5% Revises full year 2025 organic operational1 revenue growth of 5.5% - 6.5%, based on broader macro trends and the operational environment. Maintains guidance for adjusted diluted EPS on to $6.30 - $6.40 to reflect continued disciplined execution. Our underlying growth engine remains strong, fueled by our market-leading innovation, diversified portfolio, global reach and trusted brands. KEY HIGHLIGHTS The guidance reflects foreign exchange rates as of late October and includes the assumed impacts as a result of fluctuations in foreign exchange rates relative to the U.S. dollar compared to weighted average foreign exchange rates from 2024, as noted above. 1 Adjusted net income (ANI) and its components and adjusted diluted earnings per share (non-GAAP financial measures) are defined as reported net income and reported diluted earnings per share, excluding purchase accounting adjustments, acquisition and divestiture-related costs and certain significant items. 2 Organic operational results (a non-GAAP financial measure) excludes the impact of foreign exchange and certain acquisitions and divestitures.
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10 Simparica Franchise THIRD QUARTER FINANCIAL RESULTS • Simparica franchise grew 7% operationally1, despite a strong comparative period versus the prior year • Global franchise sales topped $1 billion on a year-to- date basis • Simparica Trio remains the market-leading canine parasiticide in the U.S., and the trusted choice for vets and pet owners • Simparica and Simparica Trio remain the fastest growing parasiticides in international markets • Simparica and Simparica Trio brands continues to drive orals as the new standard of care across international markets (Millions of dollars) Simparica Franchise Revenue $333 $356 $0 $100 $200 $300 $400 $500 3Q24 3Q25 3Q Revenue YoY 7%1 1 Operational results (a non-GAAP financial measure) is defined as results excluding the impact of foreign exchange.
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11 Key Dermatology Franchise THIRD QUARTER FINANCIAL RESULTS • Key dermatology franchise grew revenue 3% operationally1 • Comprehensive and differentiated portfolio offers unmatched flexibility for pet owners • Growth in international markets the result of an expanding patient base and better compliance • Retail strategy continues to drive growth and compliance across Apoquel brands, where Apoquel remains the top-selling derm product in retail in the U.S. • Continued execution on our conversion strategy in preparation for competitive launches • 20M medicalized dogs worldwide remain untreated or under treated, signaling potential for continued market expansion, driven by new patient growth (Millions of dollars) Key Derm Franchise Revenue $449 $469 $0 $100 $200 $300 $400 $500 3Q24 3Q25 3Q Revenue YoY 3%1 1 Operational results (a non-GAAP financial measure) is defined as results excluding the impact of foreign exchange.
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12 Osteoarthritis (OA) Pain mAb Franchise THIRD QUARTER FINANCIAL RESULTS • OA pain franchise revenue declined 11% operationally1 • Recent trends point to signs of stabilization • We are executing a focused, multi-pronged strategy to return Librela to growth • Increasing awareness that OA is a serious, progressive disease requiring early and proactive care to control associated pain • Deepening education and engagement with specialists and continuing to share clear, science- based information • Anticipated Phase 4 research,conducted through independent, third-party studies, to provide vets and specialists greater confidence in how to use Librela, beginning in Q4 (Millions of dollars) OA Pain mAb Franchise Revenue $151 $138 $0 $40 $80 $120 $160 3Q24 3Q25 3Q Revenue YoY (11)%1 1 Operational results (a non-GAAP financial measure) is defined as results excluding the impact of foreign exchange.
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13 Livestock THIRD QUARTER FINANCIAL RESULTS • Global livestock revenue increased 10% on an organic operational1 basis in the third quarter • Robust growth across both our U.S. and International segments in the quarter continuing to drive category outperformance • Broad based growth experienced acrossour core species in both U.S. and International segments • Expecting our third consecutive year of above market livestock growth in 2025 • Broader industry dynamics, including rising protein consumption, continue to reinforce the long-term fundamentals (Millions of dollars) Livestock Revenue ex MFA $646 2 $714 2 $0 $200 $400 $600 $800 3Q24 3Q25 3Q Revenue YoY 10%1 1 Organic operational results (a non-GAAP financial measure) excludes the impact of foreign exchange and divestitures. 2 Livestock revenue shown excludes MFA revenue of $112 million in 3Q24 and $11 million in 3Q25.
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14 Financial Results and Guidance THIRD QUARTER FINANCIAL RESULTS
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15 THIRD QUARTER FINANCIAL RESULTS Income Statement Highlights 1 Adjusted net income and adjusted diluted earnings per share (non-GAAP financial measures) are defined as reported net income and reported diluted earnings per share, excluding purchase accounting adjustments, acquisition and divestiture-related costs and certain significant items. (millions of dollars, except per share data) Third Quarter 2025 2024 Change Revenue $2,400 $2,388 1% Reported Net Income 721 682 6% Reported Diluted Earnings Per Share $1.63 $1.50 9% Adjusted Net Income1 754 716 5% Adjusted Diluted Earnings Per Share1 $1.70 $1.58 8%
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16 THIRD QUARTER FINANCIAL RESULTS Adjusted Income Statement Highlights (millions of dollars) Third Quarter 2025 2024 Change Foreign Exchange Operational1 Revenue $2,400 $2,388 1% 1% —% Adjusted Cost of Sales2 682 699 (2)% 1% (3)% as a percent of revenue3 28.4% 29.3% NA NA NA Adjusted SG&A Expenses2 570 560 2% 1% 1% Adjusted R&D Expenses2 169 166 2% 1% 1% Adjusted Operating Expenses4 743 731 2% 1% 1% Effective Tax Rate on Adjusted Income2 18.6% 20.8% NA NA NA Adjusted Net Income2 $754 $716 5% —% 5% NA – Not applicable 1 Operational results (a non-GAAP financial measure) excludes the impact of foreign exchange. 2 Adjusted net income and its components (non-GAAP financial measures) are defined as reported GAAP net income and its components, excluding purchase accountingadjustments, acquisition and divestiture- related costs and certain significant items. Adjusted cost of sales, adjusted selling,general and administrative (SG&A) expenses and adjusted research and development(R&D) expenses are income statement line items prepared on the same basis, and, therefore, components of the overall adjusted income measure. Effective tax rate on adjusted income (a non-GAAP financial measure) equals the adjusted provision for taxes on income (a non-GAAP financial measure) divided by adjusted income before provision for taxes on income (a non-GAAP financial measure). 3 Adjusted gross margin (a non-GAAP financial measure) was 71.6% in the third quarter of 2025 and 70.7% in the third quarter of 20 24. 4 Adjusted operating expenses (a non-GAAP financial measure) of $743 million in the third quarter of 2025 and $731 million in the third quarter of 2024 includes adjusted amortization of intangible assets of $4 million and $5 million in the third quarter of 2025 and 2024, respectively.
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17 THIRD QUARTER FINANCIAL RESULTS U.S. Segment Performance (millions of dollars) Third Quarter 2025 2024 Change Revenue $1,322 $1,346 (2)% Companion Animal 1,069 1,068 —% Livestock 253 278 (9)% Cost of Sales 222 258 (14)% Gross Profit 1,100 1,088 1% Gross Margin 83.2% 80.8% NA Operating Expenses 201 199 1% Other (Income)/Deductions-net — — ** Earnings1 $899 $889 1% NA – Not applicable, **Calculation not meaningful 1 Defined as income before provision for taxes on income.
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18 THIRD QUARTER FINANCIAL RESULTS International Segment Performance (millions of dollars) Third Quarter 2025 2024 Change Foreign Exchange Operational1 Revenue $1,055 $1,021 3% 2% 1% Companion Animal 583 541 8% 4% 4% Livestock 472 480 (2)% 1% (3)% Cost of Sales 331 321 3% 1% 2% Gross Profit 724 700 3% 2% 1% Gross Margin 68.6% 68.6% NA NA NA Operating Expenses 167 157 6% 3% 3% Other (Income)/Deductions-net 1 1 ** ** ** Earnings2 $556 $542 3% 3% —% NA – Not applicable, **Calculation not meaningful 1 Operational results (a non-GAAP financial measure) excludes the impact of foreign exchange. 2 Defined as income before provision for taxes on income.
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19 THIRD QUARTER FINANCIAL RESULTS International Segment Performance (millions of dollars) Third Quarter 2025 2024 Change Foreign Exchange Operational1 Total International $1,055 $1,021 3% 2% 1% Australia 87 83 5% (1)% 6% Brazil 100 101 (1)% —% (1)% Canada 70 66 6% —% 6% Chile 29 31 (6)% (2)% (4)% China 45 61 (26)% —% (26)% France 40 36 11% 6% 5% Germany 62 57 9% 8% 1% Italy 35 31 13% 7% 6% Japan 34 33 3% 5% (2)% Mexico 41 39 5% —% 5% Spain 38 35 9% 6% 3% United Kingdom 82 80 3% 5% (2)% Other Developed Markets 164 148 11% 6% 5% Other Emerging Markets 228 220 4% —% 4% 1 Operational results (a non-GAAP financial measure) excludes the impact of foreign exchange. Note: operational revenue results is not reflective of organic operational results.
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20 THIRD QUARTER FINANCIAL RESULTS Financial Guidance Selected Line Items (millions of dollars, except per share amounts) Full Year 2025 as of November 4, 2025 Full Year 2025 as of August 5, 2025 (Prior Guidance) Revenue Organic operational growth1 $9,400 to $9,475 5.5% to 6.5% $9,450 to $9,600 6.5% to 8% Adjusted cost of sales as a percentage of revenue2 Approximately 28.3% Approximately 28.0% Adjusted SG&A expenses2 $2,320 to $2,360 $2,355 to $2,405 Adjusted R&D expenses2 $690 to $700 $690 to $700 Adjusted interest expense and other (income)/deductions-net2 Approximately $175 Approximately $170 Effective tax rate on adjusted income2 Approximately 20.5% Approximately 21% Adjusted diluted EPS2 $6.30 to $6.40 $6.30 to $6.40 Adjusted net income2 Organic operational growth1,3 $2,800 to $2,840 5.5% to 7.0% $2,825 to $2,875 5.5% to 7.5% Certain significant items and acquisition and divestiture-related costs4 Approximately $75 Approximately $75 Reported diluted EPS $5.90 to $6.00 $5.90 to $6.00 The guidance reflects foreign exchange rates as of late October and includes the assumed impacts as a result of fluctuations in foreign exchange rates relative to the U.S. dollar compared to weighted average foreign exchange rates from 2024, as noted above. 1 Organic operationalresults (a non-GAAP financial measure)excludes the impact of foreign exchange and certain acquisitions and divestitures. 2 Adjusted net income and its componentsand adjusted diluted EPS are defined as reported GAAP net income and its componentsand reported diluted EPS excluding purchase accounting adjustments,acquisition and divestiture- related costs and certain significant items. Adjusted cost of sales, adjusted selling, general and administrative (SG&A) expenses,adjusted research and development(R&D) expenses, and adjusted interest expense and other (income)/deductions-net are income statement line items prepared on the same basis, and, therefore, componentsof the overall adjusted income measure. Effective tax rate on adjusted income (a non-GAAP financial measure) equals the adjusted provision for taxes on income (a non-GAAP financial measure)divided by adjusted income before provision for taxes on income (a non-GAAP financial measure). Adjusted net income and its components,adjusted diluted EPS, and the effective tax rate on adjusted net income, are presented solely to permit investors to more fully understandhow management assesses performance.Adjusted net income and its componentsand adjusted diluted EPS are not, and should not be viewed as, substitutes for U.S. GAAP net income and its componentsand diluted EPS. 3 We do not provide a reconciliationof forward-looking non-GAAP adjusted net income operational growth to the most directly comparable GAAP reported financial measure because we are unable to calculate with reasonablecertainty the foreign exchange impact of unusual gains and losses, acquisition-related expenses, potential future asset impairments and other certain significant items, without unreasonableeffort. The foreign exchange impacts of these items are uncertain, depend on various factors, and could have a material impact on GAAP reported results for the guidance period. 4 Primarily includes certain nonrecurring(income)/costs,net related to divestitures, acquisitionsand other charges.
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21 THIRD QUARTER FINANCIAL RESULTS Q&A 21
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22 THIRD QUARTER FINANCIAL RESULTS Appendix 22
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23 THIRD QUARTER FINANCIAL RESULTS Reconciliation Of Reported Growth To Non- GAAP Financial Measures (millions of dollars) Third Quarter 2025 2024 Change Foreign Exchange Operational1 Revenue by Product Category Key Dermatology $469 $449 4% 1% 3% Key Dermatology (international) 162 146 11% 4% 7% OA Pain mAbs 138 151 (9)% 2% (11)% OA Pain mAbs (international) 80 78 3% 6% (3)% Revenue by Product Simparica franchise 356 333 7% —% 7% Simparica franchise (international) 93 75 24% 2% 22% Simparica (international) 52 44 18% 3% 15% Simparica Trio 283 268 6% —% 6% Simparica Trio (international) 41 31 32% —% 32% Librela 102 117 (13)% 2% (15)% Librela (international) 62 62 —% 6% (6)% Solensia (international) 18 16 13% 4% 9% 1 Operational results (a non-GAAP financial measure) excludes the impact of foreign exchange.
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24 Reported Results to Organic Operational Results Reconciliation Of GAAP To Non-GAAP Financial Measures THIRD QUARTER FINANCIAL RESULTS (millions of dollars, except per share data) Third Quarter 2025 2024 Change Foreign Exchange Operational1 Divestitures Organic Operational2 Adjusted net income $754 $716 5% —% 5% (4)% 9% Adjusted diluted EPS 1.70 1.58 8% 1% 7% (5)% 12% 1 Operational results (a non-GAAP financial measure) excludes the impact of foreign exchange. 2 Organic operationalresults (a non-GAAP financial measure) excludes the impact of foreign exchange and divestitures.