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Zoetis Inc. (ZTS) Operating Margin: 37.57%

Is Zoetis Inc.’s operating margin high or low?

Zoetis Inc.'s operating margin of 37.57% is in line with its 5-year average of 36.14%, near the high end of its 5-year range (33.99%–38.00%).

As of Tuesday, June 16, 2026. 0.66% above its 12-month average of 37.33%.

ZTS Operating Margin Chart

ZTS Operating Margin
38.00%+3.68% 1Y
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ZTS Average Operating Margin Chart

ZTS Current vs Average Operating Margin Chart

ZTS Operating Margin Metrics

OPERATING MARGIN

37.57%

OPERATING MARGIN AVG TTM

37.33%

OPERATING MARGIN AVG 3Y

36.70%

OPERATING MARGIN AVG 5Y

36.14%

OPERATING MARGIN AVG 10Y

33.21%

OPERATING MARGIN AVG 15Y

28.01%

OPERATING MARGIN AVG 20Y

N/A

CURRENT VS TTM AVG

+0.66%

CURRENT VS 3Y AVG

+2.36%

CURRENT VS 5Y AVG

+3.95%

CURRENT VS 10Y AVG

+13.12%

CURRENT VS 15Y AVG

+34.15%

CURRENT VS 20Y AVG

N/A

ZTS Competitors' Operating Margin

NAMEMARKET CAPOPERATING MARGINTTM3Y5Y
Zoetis Inc. (ZTS)$32.87B37.57%37.33%36.70%36.14%
Medline Inc. (MDLN)vs ›$31.36B7.04%8.25%6.70%6.70%
Centene Corporation (CNC)vs ›$30.48B-3.68%-0.98%0.21%0.84%
IQVIA Holdings Inc. (IQV)vs ›$29.70B13.86%14.15%13.50%11.74%
Agilent Technologies, Inc. (A)vs ›$36.58B21.50%22.07%21.88%20.79%
Biogen Inc. (BIIB)vs ›$28.83B15.65%22.44%23.65%25.70%
DexCom, Inc. (DXCM)vs ›$28.54B21.45%17.22%16.09%15.13%
Veeva Systems Inc. (VEEV)vs ›$26.16B28.79%26.93%23.33%24.40%
Waters Corporation (WAT)vs ›$23.70B17.08%28.07%28.30%28.33%
Mettler-Toledo International Inc. (MTD)vs ›$23.34B28.00%28.45%28.53%27.71%

Operating Efficiency

Gross Margin

70.8%

Operating Margin

37.6%

Zoetis Inc. Operating Margin Formula & Definition

Operating Margin = Operating Income / Revenue

Operating margin is the percentage of revenue remaining after operating expenses, reflecting operating efficiency.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Zoetis Inc. Operating Margin FAQ

What is the operating margin for Zoetis Inc. (ZTS)?
The operating margin for ZTS stock is 37.57%.
Is Zoetis Inc.'s operating margin high or low?
Zoetis Inc.'s operating margin of 37.57% is in line with its 5-year average of 36.14%, near the high end of its 5-year range (33.99%–38.00%).
What is the TTM average operating margin for Zoetis Inc. (ZTS)?
The TTM average operating margin for ZTS stock is 37.33%.
What is the 3Y average operating margin for Zoetis Inc. (ZTS)?
The 3Y average operating margin for ZTS stock is 36.70%.
What is the 5Y average operating margin for Zoetis Inc. (ZTS)?
The 5Y average operating margin for ZTS stock is 36.14%.
What is the 10Y average operating margin for Zoetis Inc. (ZTS)?
The 10Y average operating margin for ZTS stock is 33.21%.
What is the 15Y average operating margin for Zoetis Inc. (ZTS)?
The 15Y average operating margin for ZTS stock is 28.01%.

Zoetis Inc. Operating Margin History

DATEOPERATING MARGIN
2025-12-3138.00%
2024-12-3136.65%
2023-12-3135.92%
2022-12-3136.24%
2021-12-3136.05%
2020-12-3133.99%
2019-12-3132.24%
2018-12-3132.29%
2017-12-3132.54%
2016-12-3128.72%
2015-12-3122.71%
2014-12-3120.27%
2013-12-3118.00%
2012-12-3119.70%
2011-12-3116.16%
2010-12-318.63%
2009-12-3110.18%

About Zoetis Inc.

Zoetis Inc. stands as a global leader in animal health, focusing on the research, development, manufacturing, and commercialization of veterinary pharmaceuticals, vaccines, and diagnostic tools. Its comprehensive portfolio serves a broad spectrum of species, encompassing both livestock, including cattle, swine, poultry, fish, and sheep, and beloved companion animals such as dogs, cats, and horses. Among its pharmaceutical offerings are various therapeutic agents. This includes vaccines, vital for preventing respiratory, gastrointestinal, and reproductive diseases by stimulating a targeted immune response; anti-infectives that combat or inhibit the proliferation of bacterial, fungal, or protozoal pathogens; and parasiticides aimed at eradicating both internal and external pests such as fleas, ticks, and various worms. Additional pharmaceuticals address areas such as pain management and sedation, anti-emesis, reproductive health, and oncology. The portfolio also features dermatological solutions for allergic skin conditions and atopic dermatitis, alongside medicated feed additives specifically designed for livestock. Beyond therapeutics, Zoetis offers an extensive array of diagnostic solutions. These include portable analysis systems for blood and urine, point-of-care testing devices, specialized instruments and reagents, rapid immunoassay kits, comprehensive reference laboratory services, and blood glucose monitoring equipment. Further extending its reach, the company provides supplementary offerings such as nutritional products, agribusiness support services, biodevices, genetic testing, and innovations in precision animal health. Zoetis distributes its diverse product portfolio to a broad customer base, including veterinary professionals, livestock producers, and retail channels. This distribution occurs directly via its sales representatives and technical specialists, as well as through partnerships with third-party veterinary distributors. Established in 1952, the company maintains its corporate headquarters in Parsippany, New Jersey.

Parsippany, NJ
13,800 employees
Healthcare / Drug Manufacturers - General
Sector
Healthcare
Industry
Drug Manufacturers - General
CEO
Kristin C. Peck