Zoetis (ZTS) official guidance

Adjusted diluted EPS(b) | $6.15 to $6.25 | $6.85 to $7.00

We are updating our reported diluted and adjusted diluted EPS guidance ranges to $6.35-$6.50, and $6.85-$7.00 respectively.

•Adjusted diluted EPS of $6.85 to $7.00

Lastly, we expect the adjusted diluted EPS to be in the range of $7-$7.10, and reported diluted EPS to be in the range of $6.65-$6.75.

| Adjusted diluted EPS(b) | $7.00 to $7.10 |

Adjusted net income(b) | $2,570 to $2,620 | $2,870 to $2,950

We now expect adjusted net income to be in the range of $2.87 billion-$2.95 billion with growth of 2%-6%, reflective of the comprehensive cost and productivity programs Kristin mentioned earlier.

•Adjusted net income of $2.870 billion to $2.950 billion (organic operational growth of 2% to 6%)

Adjusted net income is expected to be in the range of $2.975 billion-$3.025 billion, representing growth of 3%-6% on an organic operational basis.

•Adjusted net income between $2.975 billion to $3.025 billion (organic operational growth of 3% to 6%)

For the company, that's in the 1%-2% range when we started the year at 2%-3%, and we've been higher than that over the last couple of years.

On price, we've said we would return to our normal rate range, which is 2%-3%, which is what you can assume in this guidance, with the balance, of course, being volume.

Revenue | $9,120 to $9,320 | $9,680 to $9,960

We are revising our full-year revenue guidance to a range of $9.68 billion-$9.96 billion with growth of 2%-5% based on the current operating environment.

•Revenue of $9.680 billion to $9.960 billion (organic operational growth of 2% to 5%)

On a reported basis, this translates to expected revenue of $9.825 billion-$10.025 billion, with contributions from both price and volume.

•Revenue between $9.825 billion to $10.025 billion (organic operational growth of 3% to 5%)

I would put livestock in the mid to high single-digit growth range for the year, but the balance would be growth across companion animal without getting into specifics on guidance.

We expect continued field force focus and disciplined execution to fuel mid-single-digit organic operational growth in 2026.

And we are anticipating that continuing in terms of growth in next year.

Adjusted cost of sales as a percentage of revenue is expected to be approximately 28%.

| Adjusted cost of sales as a percentage of revenue(b) | Approximately 28.0% |

| Certain significant items and acquisition and divestiture-related costs(d) | Approximately $100 |

| Certain significant items and acquisition and divestiture-related costs(d) | Approximately $65 |

| Cost of sales as a percentage of revenue | ~ 28.7% | ~ (0.2%) | | ~ 28.5% |

| Cost of sales as a percentage of revenue | ~ 28.2% | ~ (0.2%) | | ~ 28.0% |

| Effective tax rate | ~ 20.7% | ~ (0.2%) | | ~ 20.5% |

| Effective tax rate | ~ 20.7% | ~ (0.2%) | | ~ 20.5% |

| Effective tax rate on adjusted income(b) | Approximately 20.5% |

Our adjusted effective tax rate for 2026 is expected to be approximately 20.5%.

| Effective tax rate on adjusted income(b) | Approximately 20.5% |

We are updating our reported diluted and adjusted diluted EPS guidance ranges to $6.35-$6.50, and $6.85-$7.00 respectively.

•Reported diluted EPS of $6.35 to $6.50

Lastly, we expect the adjusted diluted EPS to be in the range of $7-$7.10, and reported diluted EPS to be in the range of $6.65-$6.75.

| Interest expense and other (income)/deductions-net | ~ $215 | | | ~ $215 |

| Interest expense and other (income)/deductions | ~ $200 | | | ~ $200 |

| Adjusted interest expense and other (income)/deductions-net(b) | Approximately $215 |

Adjusted interest expense and other income deductions is expected to be approximately $200 million.

| Adjusted interest expense and other (income)/deductions-net(b) | Approximately $200 |

•Reported net income of $2.680 billion to $2.760 billion

•Reported net income between $2.825 billion to $2.875 billion

•Adjusted net income of $2.870 billion to $2.950 billion (organic operational growth of 2% to 6%)

Looking ahead to 2026, we are guiding to a range of 3%-5% organic operational revenue growth and expect 3%-6% organic operational growth in adjusted net income.

•Adjusted net income between $2.975 billion to $3.025 billion (organic operational growth of 3% to 6%)

| SG&A expenses | $2,373 to $2,423 | ~ $(12) | ~ $(11) | $2,350 to $2,400 |

| SG&A expenses | $2,453 to $2,513 | ~ $(12) | ~ $(11) | $2,430 to $2,490 |

| Adjusted SG&A expenses(b) | $2,350 to $2,400 |

Adjusted SG&A expenses for the year are expected to be between $2.43 billion and $2.49 billion.

| Adjusted SG&A expenses(b) | $2,430 to $2,490 |

•Revenue of $9.680 billion to $9.960 billion (organic operational growth of 2% to 5%)

•Revenue between $9.825 billion to $10.025 billion (organic operational growth of 3% to 5%)