Revenue up 3% but ops down 1% as U.S. companion animal falls 11% on competitive pressure

Filed May 7, 2026 · Period ending March 31, 2026 · Compared to 10-Q May 6, 2025 · ~2 min read

Key Changes

• high

  U.S. companion animal revenue fell 11% (vs. +8% prior year) on heightened competition in dermatology and Simparica Trio, generic pressure on Convenia/Cerenia, and macroeconomic price sensitivity—reversing prior growth across the same franchises.

  MD&A: U.S. Companion Animal verify on EDGAR →
• high

  Operational revenue declined 1% despite 3% reported growth; FX swung from 4% headwind to 4% tailwind, masking underlying weakness. Foreign currency exposure rose from 42% to 47% of revenue.

  MD&A: Revenue Growth verify on EDGAR →
• high

  Fiscal-year alignment eliminated one-month international reporting lag, accelerating Q4 2025 sales 2.5-3.5% and shifting annual price increases to same calendar year as customer pre-buying—creating timing distortions.

  MD&A: Fiscal Year Alignment verify on EDGAR →