v3.26.1
Revenue
 6 Months Ended
Jun. 30, 2026
Revenue Recognition and Deferred Revenue [Abstract]  
Revenue
4. Revenue
A. Revenue from Product Sales
We offer a diversified portfolio of products which allows us to capitalize on local and regional customer needs. Generally, our products are promoted to veterinarians and livestock producers by our sales organization which includes sales representatives and technical and veterinary operations specialists, and then sold directly by us or through distributors, retailers or e-commerce outlets. The depth of our product portfolio enables us to address the varying needs of customers in different species and geographies. A majority of our top-selling product lines are distributed across both of our operating segments, leveraging our research and development (R&D) operations and manufacturing and supply chain network.
Over the course of our history, we have focused on developing a diverse portfolio of animal health products that deliver solutions across the continuum of care, including medicines, vaccines and diagnostics, complemented by biodevices, genetic tests and a range of services. We typically refer to all products with the same primary active pharmaceutical or biological ingredient(s) as a single product line even if such products include different brands, dosages, formulations or indicated species. For vaccines, we typically consider a group of vaccines as a single product line if they share the same brand. We have approximately 300 comprehensive product lines, including products for both companion animals and livestock, within each of our major product categories.
Our major product categories are:
•parasiticides: products that prevent or eliminate external and internal parasites such as fleas, ticks, lice and worms;
•vaccines: biological preparations that help prevent diseases of the respiratory, gastrointestinal and reproductive tracts or induce a specific immune response;
•dermatology: products that relieve itch associated with allergic conditions and atopic dermatitis;
•anti-infectives: products that prevent, kill or slow the growth of bacteria, fungi or protozoa;
•pain and sedation: products that alleviate pain, primarily associated with osteoarthritis and postoperative pain;
•other pharmaceutical: hormones, cardiopulmonary, topical and oral hygiene therapeutics, central nervous system drugs, diuretics, antiemetic, euthanasia, hepato-digestive products and other categories; and
•animal health diagnostics: testing and analysis of blood, urine and other animal samples and related products and services, including point-of-care diagnostic products, instruments and reagents, rapid immunoassay tests, reference laboratory kits and services and blood glucose monitors.
Our remaining revenue is derived from other non-pharmaceutical product categories, such as nutritionals, as well as products and services in biodevices, genetic testing and precision animal health.
Our companion animal products help extend and improve the quality of life for pets; increase convenience and compliance for pet owners; and help veterinarians improve the quality of their care and the efficiency of their businesses. Growth in the companion animal medicines, vaccines and diagnostics sector is driven by economic development, related increases in disposable income and increases in pet ownership and spending on pet care. Companion animals are also living longer, deepening the human-animal bond, receiving increased medical treatment and benefiting from advances in animal health medicine, vaccines and diagnostics.
Our livestock products primarily help prevent or treat diseases and conditions to allow veterinarians and producers to care for their animals and to enable the cost-effective production of safe, high-quality animal protein. Human population growth and increasing standards of living are important long-term growth drivers for our livestock products in three major ways. First, population growth and increasing standards of living drive demand for improved nutrition, particularly through increased consumption of animal protein. Second, population growth leads to greater natural resource constraints driving a need for enhanced productivity. Finally, as standards of living improve and the global food chain faces increased scrutiny, there is more focus on food quality, safety and reliability of supply.
The following tables present our revenue disaggregated by geographic area, species and major product category:
Revenue by geographic area
Three Months EndedSix Months Ended
June 30,June 30,
(MILLIONS OF DOLLARS)2026202520262025
United States$1,266 $1,356 $2,356 $2,539 
Australia94 83 183 162 
Brazil103 93 193 174 
Canada72 71 145 141 
Chile34 34 72 69 
China62 67 125 122 
France40 42 77 81 
Germany69 57 128 112 
Italy40 37 79 67 
Japan41 43 76 75 
Mexico47 39 95 74 
Spain43 40 83 69 
United Kingdom72 81 150 155 
Other developed markets187 175 356 308 
Other emerging markets269 223 560 461 
2,439 2,441 4,678 4,609 
Contract manufacturing & human health29 33 52 63 
Total Revenue$2,468 $2,474 $4,730 $4,672 
Revenue by major species
Three Months EndedSix Months Ended
June 30,June 30,
(MILLIONS OF DOLLARS)2026202520262025
U.S.
Companion animal$1,044 $1,176 $1,909 $2,149 
Livestock222 180 447 390 
1,266 1,356 2,356 2,539 
International
Companion animal664 614 1,318 1,182 
Livestock509 471 1,004 888 
1,173 1,085 2,322 2,070 
Total
Companion animal1,708 1,790 3,227 3,331 
Livestock731 651 1,451 1,278 
Contract manufacturing & human health29 33 52 63 
Total Revenue$2,468 $2,474 $4,730 $4,672 
Revenue by species
Three Months EndedSix Months Ended
June 30,June 30,
(MILLIONS OF DOLLARS)2026202520262025
Companion Animal:
Dogs and Cats$1,634 $1,719 $3,077 $3,196 
Horses74 71 150 135 
1,708 1,790 3,227 3,331 
Livestock:
Cattle390 323 782 664 
Swine117 118 240 223 
Poultry115 104 233 210 
Fish83 81 149 136 
Sheep and other26 25 47 45 
731 651 1,451 1,278 
Contract manufacturing & human health29 33 52 63 
Total Revenue$2,468 $2,474 $4,730 $4,672 
Revenue by major product category
Three Months EndedSix Months Ended
June 30,June 30,
(MILLIONS OF DOLLARS)2026202520262025
Parasiticides$698 $660 $1,284 $1,232 
Vaccines521 510 1,040 949 
Dermatology398 473 747 852 
Anti-infectives244 222 485 460 
Pain and sedation217 223 420 430 
Other pharmaceutical168 175 326 333 
Animal health diagnostics123 110 240 214 
Other non-pharmaceutical70 68 136 139 
2,439 2,441 4,678 4,609 
Contract manufacturing & human health29 33 52 63 
Total Revenue$2,468 $2,474 $4,730 $4,672 
B. Revenue from Contracts with Customers
Contract liabilities reflected within Other current liabilities as of December 31, 2025 and 2024, and subsequently recognized as revenue during each of the first six months of 2026 and 2025 were $11 million and $5 million, respectively. Contract liabilities as of June 30, 2026 and December 31, 2025 were $21 million and $16 million, respectively.
Estimated future revenue expected to be generated from long-term contracts with unsatisfied performance obligations as of June 30, 2026 is not material.