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Zoetis ZTS Gross margin

Gross margin at other companies

Merck & Co. logo
Merck & Co.MRK
73.9%-2.5pp
Idexx Laboratories logo
Idexx LaboratoriesIDXX
62.1%+0.8pp
Elanco Animal Health Inc. logo
Elanco Animal Health Inc.ELAN
55.1%+0.2pp
Tractor Supply Company logo
Tractor Supply CompanyTSCO
36.4%+0.1pp
Agilent Technologies logo
Agilent TechnologiesA
52.7%-0.6pp
Colgate-Palmolive logo
Colgate-PalmoliveCL
60.1%-0.6pp

Other financials

Income statement

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Revenue$2.3B+2.9%
Gross profit$1.6B+2.6%
Net income$601.0M-0.2%
EPS (diluted)$1.42+6.0%

Balance sheet

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Cash & equivalents$1.9B+8.9%
Total debt$10.0B+48.0%
Total equity$3.2B-30.5%
Total assets$15.2B+7.5%

Cash flow

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Operating cash flow$401.0M-22.1%
CapEx$110.0M-38.2%
Free cash flow$291.0M-13.6%

Valuation

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Market cap$33B-32.3%
Enterprise value$41.04B-26.4%
P/E12.5×-7.1×
P/S3.5×-1.8×

Profitability

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Net margin27.8%+0.9pp
FCF margin23.5%0.0pp

Returns & leverage

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Return on equity67%+15.8pp
Debt / equity3.1×+1.6×
Current ratio3.2×+1.4×

Where this comes from

Calculated from Zoetis’s reported figures.

Based on trailing twelve months.

The official record: Zoetis’s 10-Q, filed May 7, 2026, on SEC EDGAR. View the filing →

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Questions, answered.

What is Zoetis's gross margin?
Zoetis (ZTS) reported gross margin of 71.8% in Q1 2026.
How has Zoetis's gross margin changed year-over-year?
Zoetis's gross margin increased by 1.2% year-over-year, from 70.9% to 71.8%.
What is the long-term trend for Zoetis's gross margin?
Over 5 years (2020 to 2025), Zoetis's gross margin has grown at a 0.7% compound annual growth rate (CAGR), from 69.2% to 71.8%.
What does gross margin mean?
How much of every sales dollar is left after the direct cost of what was sold.
How do you interpret gross margin?
Higher and stable gross margins indicate pricing power and a durable cost structure. A declining trend signals input-cost pressure, pricing competition, or a shift toward lower-margin products.
How does gross margin compare across companies?
Highly comparable within an industry, less so across industries — software runs 70%+ while distributors run in single digits. Track the trend more than the absolute level across sectors.