July 2023
Investor
Overview
Zoetis at a glance
70+
Years of Experience
We provide:
Medicines
Vaccines
Diagnostics
Genetic tests
Biodevices
Precision animal health
Note: Facts and figures shown are as of Dec. 31, 2022
1
Excludes revenue associated with Client Supply Services and Human Health, which represented 1% of total 2022 revenue.
$8.1B
Annual
revenue
7
Major product
categories
8
Core animal
species
100+
Countries with
market presence
29
Manufacturing
sites
64%
Revenue from
companion animal
products
1
Revenue from
livestock products
1
35%
1,430
Approximate
R&D
colleagues
4,200
Approximate
field force
members
13,800
Approximate
colleagues
worldwide
3
Our Executive Team
Nick Ashton
Executive Vice President and
President, Global Manufacturing
and Supply
Ester Banque
Executive Vice President and
President, U.S. Operations
Jamie Brannan
Executive Vice President and
President, International
Operations and Aquaculture
Heidi Chen
Executive Vice President,
General Counsel & Corporate
Secretary; Business Lead of
Human Health Diagnostics
Rimma Driscoll
Executive Vice President, Head
of Global Strategy, Commercial
and Business Development, and
Global BioDevices
Jeannette Ferran
Astorga
Executive Vice President,
Corporate Affairs,
Communications and Chief
Sustainability Officer
Wetteny Joseph
Executive Vice President and
Chief Financial Officer
Roxanne Lagano
Executive Vice President, Chief
Human Resources Officer and
Global Operations
Wafaa Mamilli
Executive Vice President,
Chief Digital and Technology
Officer and Group President,
China, Brazil and Precision
Animal Health
Rob Polzer
Executive Vice President and
President, Research and
Development
Kristin
Peck
Chief Executive Officer
Our
Core
Beliefs
4
Our core beliefs
form the foundation
of our culture
5
Our Purpose
To nurture our world and humankind by advancing care
for animals
Our Strategic Priorities
1 2 3
Lead Through
Innovation Across
Our Diverse Portfolio
Deliver an Exceptional
Experience to Delight
Our Customers
Power Our Business
Through Digital Solutions
and Data Insights
4 5 6
Support a Workplace
Where Our Colleagues
Can Thrive
Advance Sustainability
in Animal Health for a
Better Future
Perform with
Excellence and
Agility
Our Vision
To be the most trusted and valued animal health company,
shaping the future of animal care through our innovation,
customer obsession and purpose-driven colleagues
CONTINUUM OF CARE
Innovating Across
the Continuum of Care
6
Genetics
Vaccines, robotics
and automation
Data analytics
and sensors
Medicines
Diagnostics
PREDICT
PREVENT
DETECT
TREAT
~30
2
year average market life
of key brands in portfolio
15
1
blockbusters
7
Diverse,
Durable and
Innovative
Portfolio
Diversity across
geographies, species
and therapeutic areas
drives steady
performance
~300
product lines
>2,000
new products and lifecycle
innovations introduced
in last 10 years
8
core species
7
therapeutic
areas
1
Number of blockbuster products with revenues of $100M or more as of year-end 2022
2
Market life refers to the number of years a product has been commercially available.
8
World Leader in Animal Health
1
By Species
Market Leader in Species
Representing ~90% of
Our Portfolio by Revenue
3
Companion Animal
#
1
Cattle
#
1
Fish
3
#
1
Swine
#
2
Poultry
#
5
By Product Category
Other
Pharma
2
#
1
Anti
-Infectives
#
1
Medicated
Feed
Additives
(MFA)
#
2
Vaccines
(Biologicals)
#
3
Diagnostics
3
#
3
Parasiticides
#
2
By Geography
#
1
#
1
#
1
#
2
#
2
High Growth Franchise
Areas
3
Dermatology
#
1
Pet Pain
#
1
Pet Parasiticides
#
2
1
Vetnosis Executive’s Guide April 2023. Rankings are based on revenues.
2
Includes pain, sedation, internal medicine, dermatology, etc.
3
Zoetis internal estimates
9
Five Key
Growth
Drivers
in 2023
Companion animal parasiticides Key dermatology portfolio
Osteoarthritis (OA) pain Global diagnostics
Growth in emerging markets
KEY TRENDS IN PETCARE
The Human-Animal
Bond
10
• Gen-Z and Millennials are fueling the
humanization of pets
• High income households often have
more than one pet and are more
willing to spend during a down
economy
• When faced with a 20% decrease in
budget, pet owners will not spend
less on their pets.
2
Pet owners are prioritizing health
and wellness of their animals
1
International Survey of Pet Owners and Veterinarians from HABRI/Zoetis.
Published January 2022.
2
Zoetis Market Research, Dec. 2022
86% of pet owners would pay
whatever it takes if their pet needed
extensive veterinary care.
1
11
Healthy Animals
Meeting Protein
Demand
KEY TRENDS IN LIVESTOCK
The global population is growing,
leading to increased demand for
animal protein sources
• Diverse portfolio across markets and
therapeutic areas to serve wide range of
species
• Nearly 2 billion more mouths to feed by
2050 (Global pop. of 9.7 billion in 2050
1
)
• Limited resources and climate concerns
are increasing need for sustainable
production of meat, milk, fish and eggs
Our ultimate goal is
to enable animals to be
healthy and productive
1
Based on estimates from the United Nations
High-Quality Products, Delivered by Our
World-Class Manufacturing Operations
White Hall, IL
Charles City, IA
Kalamazoo, MI
Eagle Grove, IA
Chicago Heights, IL
Salisbury, MD
Willow Island, WV
Durham, NC
Tallaght, Tullamore
and Rathdrum, Ireland
Campinas, Brazil
Suzhou, China
Olot, Spain
LLN, Belgium
Medolla, Italy
Overhalla, Norway
Wellington, NZ
Melbourne, Australia
Lincoln, NE
San Diego, CA
Farum, Denmark
Klofta, Norway
Catania, Italy
Union City, CA
Buellton, CA
Weibern, Austria
12
NOTE: Sites shown are as of May 10, 2023
Rutherford, Australia
Excellence in quality
Breadth of expertise
Reliable supply
Speed to market
Cost/efficiency
improvements
Carbon neutrality and
renewable energy by 2030
Atlanta, GA
Revenue by market
1
13
Global
Leadership,
Scale and
Scope
Zoetis combines the local
presence and knowledge
necessary to serve the unique
needs of individual customers
with the global reach and
resources essential to help
advance animal health globally.
Note: Based on 2022 revenue
1
Excludes revenue associated with Client Supply Services and Human Health, which represented 1% of
total 2022 revenue
14
Delivering Above-Market Operational
Revenue Growth
Operational revenue growth
1
vs. market
2
1
Operational revenue growth (a non-GAAP financial measure) excludes the impact of foreign exchange. Reconciliations of non-GAAP financial measures are available in the appendix
to this presentation.
2
Vetnosis “Review 2022” dated May 2023. Market estimate for 2022 based on Zoetis internal estimates.
3
Organic operational growth (a non-GAAP financial measure) excludes the impact of the acquisition of Abaxis in 2018 and 2019 and other acquisitions in 2020,
as well as foreign exchange; if included, operational revenue growth was 10%, 10% and 9% in 2018, 2019 and 2020, respectively.
4%
5%
2%
6%
10%
3%
2
8% 8%
3
8%
3
8%
3
15%
8%
2017 2018 2019 2020 2021 2022
Market Revenue Growth Zoetis Revenue Growth
$1,185
$1,525
$1,755
$1,844
$2,240
$2,297
34%
35%
37%
37%
38%
38%
-1%
4%
9%
14%
19%
24%
29%
34%
39%
44%
-100
400
900
1,400
1,900
2,400
2017 2018 2019 2020 2021 2022
Adjusted Net Income ($USD M)
2022
Adjusted EBIT Margin
Margin Expansion and Adjusted Net Income
Growth Faster than Revenue
1
Adjusted net income (a non-GAAP financial measure) is defined as reported U.S. generally accepted accounting principle (GAAP) net income
excluding purchase accounting adjustments, acquisition-related costs and certain significant items. Adjusted Earnings Before Interest and Taxes (EBIT) margin, a non-GAAP
financial measure, excludes interest expense net of capitalized interest, interest income and adjusted income taxes (a non-GAAP measure). Reconciliations of non-GAAP
financial measures are available in the appendix to this presentation.
15
Adjusted net income and adjusted EBIT margin
1
We remain committed to the four
tenets of our Value Proposition
Return excess capital
to shareholders
Grow revenue
faster than the market
Invest in innovation
and growth capabilities
Increase adjusted
net income faster
than revenue
16
17
Award-
Winning
Culture and
Workplace
Sustainability Strategy and Progress
Supporting our colleagues,
communities and people
who care for animals
Care and Collaboration
Advanced diversity, equity and inclusion
$7.4 million invested in communities
$5.7 million in grants, including $2.5 million
for veterinary scholarships,
by Foundation supporting 25 initiatives
impacting 20 countries
COMMUNITIES
Stewarding resources
responsibly and minimizing
our impact
PLANET
Providing solutions for
our customers to raise
healthier animals
ANIMALS
Innovation in Animal Health
Launched new poultry vaccines in Brazil, India and
Mexico to help prevent disease
Completed study showing positive impact of
genomic testing on sustainability outcomes
Expanded A.L.P.H.A. initiative to 7 additional
countries in Africa plus aquaculture
The Drive to Protect Our Planet
14.5% renewable electricity sourced to date
aligned with our RE100 commitment
Installed four photovoltaic solar arrays at three
manufacturing sites and one R&D site
Advanced packaging reduction initiatives
and take-back programs
18
www.zoetis.com