Zoetis, the animal-health company, has reported a 14% increase in net income for the fourth quarter, driven by the growing demand in the pet care sector and a strong U.S. farming economy.
The New Jersey-based veterinary drug maker announced earnings of $525 million, or $1.14 per share, compared to $461 million, or 99 cents per share, in the same period last year.
After adjustments, Zoetis recorded earnings of $569 million, or $1.24 per share. This exceeded the average analyst estimate of $1.23 per share.
Furthermore, fourth-quarter revenue rose 8.5% to $2.2 billion, slightly surpassing the mean analyst estimate of $2.19 billion. Sales in the U.S. were particularly strong, increasing by 9% to $1.2 billion, driven by higher demand for both pet and livestock medicines.
Internationally, sales rose by 9% to $982 million, despite weak demand for pig medicine in China and sheep products in Australia and New Zealand.
Zoetis, which was spun off from Pfizer in 2013, has projected its earnings for 2024 to be between $2.47 billion and $2.51 billion, or between $5.34 and $5.44 per share. Adjusted earnings are expected to be between $2.65 billion and $2.7 billion, or between $5.74 and $5.84 per share.
The company aims to achieve a revenue range of $9.075 billion to $9.225 billion in 2024, up from $8.54 billion in 2023.
