Zoetis Inc . (NYSE:ZTS) reported a solid start to the year with first-quarter earnings and revenue that surpassed Wall Street's expectations, prompting a 4% surge in its stock price.
The company, a global leader in animal health, announced an adjusted diluted EPS of $1.38 for the first quarter of 2024, exceeding the analyst consensus by $0.03. Revenue also beat expectations, coming in at $2.2 billion against a forecasted $2.15 billion.
The company's revenue represented a 10% increase from the same quarter last year, with operational growth reaching 12%. Adjusted net income saw a 15% operational increase, reflecting robust financial health. Zoetis credited its performance to a 16% revenue growth in the U.S. and an 8% operational increase internationally.
The companion animal portfolio, which grew by an impressive 20% operationally, was particularly highlighted for its contribution, driven by strong sales in pet parasiticides, osteoarthritis pain, and dermatology products.
CEO Kristin Peck expressed pride in the company's first-quarter achievements, attributing the success to Zoetis' diverse portfolio and innovation in the animal health market. "We achieved 16% revenue growth in the U.S. and 8% operational revenue growth internationally," Peck stated, emphasizing the company's commitment to investing in future growth.
Looking forward, Zoetis has updated its full-year 2024 guidance, now expecting revenue to be between $9.050 billion and $9.200 billion, with an adjusted EPS forecast of $5.71 to $5.81. This guidance places the midpoint of the EPS range slightly below the consensus estimate of $5.78, while the revenue guidance brackets the consensus of $9.157 billion.