Zoetis cuts annual forecasts as pet healthcare demand slows

Zoetis

06/08/2026 13:05

Aug 6 (Reuters) - Animal health company Zoetis ZTS.N cut its annual forecasts on Thursday after missing Wall Street estimates for second-quarter revenue, as softer demand for pet healthcare products and increased competition weighed.
Shares of the company were down about 3% in premarket trading.
CEO Kristin Peck said lower clinic visits, pet owners' price sensitivity and heightened competition in key categories pressured the companion-animal market.
Zoetis cut its 2026 forecast for adjusted earnings per share to $6.15 to $6.25, compared with its prior view of $6.85 to $7.00.
The midpoint of the new forecast is below analysts' average estimate of $6.88, according to data compiled by LSEG.
The company also lowered its annual revenue forecast to between $9.12 billion and $9.32 billion, from $9.68 billion to $9.96 billion previously.
Peer IDEXX Laboratories IDXX.O on Tuesday raised its annual profit forecast after reporting better-than-expected quarterly results, helped by steady demand for pet health care diagnostics and higher testing volumes at veterinary clinics.
Quarterly revenue in Zoetis' companion-animal segment — its largest business — fell 5% to $1.71 billion, below analysts' estimate of $1.81 billion.
Second-quarter revenue was $2.47 billion, below analysts' estimates of $2.50 billion, while adjusted earnings of $1.87 per share slightly topped estimates of $1.86 per share, according to LSEG data.
Separately, Zoetis on Thursday also named former GE HealthCare CFO Jay Saccaro as chief financial officer and chief operating officer, effective August 17. Current CFO Wetteny Joseph will become a special adviser to the CEO until early 2027 to support the transition.

(Reporting by Sahil Pandey in Bengaluru; Editing by Jonathan Ananda)
((Sahil.Pandey@thomsonreuters.com;))