Zoetis

Pricing power is solid, rooted in brand preference and the relatively small share of total pet-owner or producer spend that medicines represent. Gross margins in the low to mid 70s reflect mix and innovation.

Dermatology and parasiticides exhibit strong pricing resilience; the OA pain mAbs could also support premium pricing as real-world evidence and label clarity improve. Offsetting factors include competitive discounting in parasiticides and new oral JAK options that may cap price increases in dermatology.

We expect mid-single digit net pricing contribution over time, with mix continuing to help.