Zoetis 2Q net income skids on job-cut charges

Zoetis 2nd-quarter net income falls 26 percent on job cutting costs and other charges

Associated Press

FLORHAM PARK, N.J. (AP) -- Zoetis Inc., Pfizer's former animal health business, said Tuesday its net income fell 26 percent in the second quarter, as it booked costs related to job cuts and other items.

Zoetis said its revenue increased, but its net income was hurt by accounting charges, acquisition costs, and expenses related to job cuts. Zoetis is the world's biggest maker of medicines for pets and farm animals. It was spun off from Pfizer Inc. in February, and Pfizer sold its remaining stake in Zoetis in June.

The company said its net income slipped to $128 million, or 26 cents per share, from $173 million, or 35 cents per share, last year.

Zoetis said it earned 36 cents per share in the latest quarter if one-time costs and gains are excluded.

Revenue rose 2 percent, to $1.11 billion from $1.09 billion.

Analysts were expecting net income of 36 cents per share and $1.13 billion in revenue, according to FactSet.

Shares of Zoetis rose 15 cents, to $31.40 in midday trading.

Zoetis maintained its guidance for the full year, calling for adjusted net income of $1.36 to $1.42 per share, on $4.43 billion to $4.53 billion in revenue.

Analysts are forecasting net income of $1.40 per share, and $4.5 billion in revenue, on average.

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