Zoetis (ZTS) 10-K 13 Feb 24 2023 FY Annual report Financial data

Cover

Cover - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Feb. 09, 2024	Jun. 30, 2023
Cover [Abstract]
Document Type	10-K
Document Annual Report	true
Document Period End Date	Dec. 31, 2023
Current Fiscal Year End Date	--12-31
Document Transition Report	false
Entity File Number	001-35797
Entity Registrant Name	Zoetis Inc.
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	46-0696167
Entity Address, Address Line One	10 Sylvan Way,
Entity Address, City or Town	Parsippany,
Entity Address, State or Province	NJ
Entity Address, Postal Zip Code	07054
City Area Code	973
Local Phone Number	822-7000
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	ZTS
Security Exchange Name	NYSE
Entity Well-known Seasoned Issuer	Yes
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
ICFR Auditor Attestation Flag	true
Entity Shell Company	false
Entity Public Float			$ 79,346
Entity Common Stock, Shares Outstanding		457,867,115
Document Fiscal Year Focus	2023
Document Fiscal Period Focus	FY
Entity Central Index Key	0001555280
Amendment Flag	false
Document Financial Statement Error Correction [Flag]	false

Audit Information

Audit Information	12 Months Ended
	Dec. 31, 2023
Auditor Information [Abstract]
Auditor Location	Short Hills, NJ
Auditor Name	KPMG LLP
Auditor Firm ID	185

CONSOLIDATED STATEMENTS OF INCO

CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Income Statement [Abstract]
Revenues		$ 8,544	$ 8,080	$ 7,776
Costs and expenses:
Cost of Sales	[1]	2,561	2,454	2,303
Selling, general and administrative expenses	[1]	2,151	2,009	2,001
Research and development expenses	[1]	614	539	508
Amortization of intangible assets		149	150	161
Total Restructuring charges and certain acquisition-related costs		53	11	43
Interest expense, net of capitalized interest		239	221	224
Other (income)/deductions––net		(159)	40	48
Income before provision for taxes on income	[2]	2,936	2,656	2,488
Provision for taxes on income		596	545	454
Net income before allocation to noncontrolling interests		2,340	2,111	2,034
Less: Net loss attributable to noncontrolling interests		(4)	(3)	(3)
Net income attributable to Zoetis Inc.		$ 2,344	$ 2,114	$ 2,037
Earnings per share attributable to Zoetis Inc. stockholders:
Basic (in dollars per share)		$ 5.08	$ 4.51	$ 4.29
Diluted (in dollars per share)		$ 5.07	$ 4.49	$ 4.27
Weighted-average common shares outstanding:
Basic (in shares)		461,172	468,891	474,348
Diluted (in shares)		462,269	470,385	476,717
Dividends declared per common share		$ 1.557	$ 1.350	$ 1.075
[1] Exclusive of amortization of intangible assets, except as disclosed in Note 3. Significant Accounting Policies—Amortization of Intangible Assets, Depreciation and Certain Long-Lived Assets.

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Statement of Comprehensive Income [Abstract]
Net income before allocation to noncontrolling interests		$ 2,340	$ 2,111	$ 2,034
Other comprehensive loss, net of tax(a):
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), before Reclassification, after Tax	[1]	(5)	86	19
Unrecognized net gains/(losses) on derivative instruments	[1]	(23)	36	42
Foreign currency translation adjustments, net		0	(188)	(101)
Benefit plans: Actuarial gain/(loss), net	[1]	6	13	6
Total other comprehensive loss, net of tax		(22)	(53)	(34)
Comprehensive income before allocation to noncontrolling interests		2,318	2,058	2,000
Less: Comprehensive loss attributable to noncontrolling interests		(4)	(3)	(3)
Comprehensive income attributable to Zoetis Inc.		$ 2,322	$ 2,061	$ 2,003
[1]Presented net of reclassification adjustments, which are not material in any period presented. Reclassification adjustments related to benefit plans are generally reclassified, as part of net periodic pension cost, into Cost of sales, Selling, general and administrative expenses, and/or Research and development expenses, as appropriate, in the Consolidated Statements of Income.

CONSOLIDATED STATEMENTS OF CO_2

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Other Comprehensive Income (Loss), Defined Benefit Plan, Gain (Loss), Reclassification Adjustment from AOCI, Tax	$ 2	$ 6	$ 3
Cash Flow Hedging
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, Tax	(2)	26	5
Net Investment Hedging
Other Comprehensive Income (Loss), Cash Flow Hedge, Gain (Loss), Reclassification, Tax	$ (7)	$ 11	$ 13

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Millions		Dec. 31, 2023	Dec. 31, 2022
Assets
Cash and cash equivalents	[1]	$ 2,041	$ 3,581
Accounts receivable, less allowance for doubtful accounts of $18 in 2023 and $19 in 2022		1,304	1,215
Inventories		2,564	2,345
Other current assets		434	365
Total current assets		6,343	7,506
Property, plant and equipment, less accumulated depreciation of $2,594 in 2023 and $2,297 in 2022		3,204	2,753
Operating lease right of use assets		230	220
Goodwill		2,759	2,746
Identifiable intangible assets, less accumulated amortization		1,338	1,380
Noncurrent deferred tax assets		206	173
Other noncurrent assets		206	147
Total assets		14,286	14,925
Liabilities and Equity
Short-term borrowings		3	2
Current portion of long-term debt		0	1,350
Accounts payable		411	405
Dividends payable		198	174
Accrued expenses		683	682
Accrued compensation and related items		382	300
Income taxes payable		110	157
Other current liabilities		102	97
Total current liabilities		1,889	3,167
Long-term debt, net of discount and issuance costs		6,564	6,552
Noncurrent deferred tax liabilities		146	142
Operating lease liabilities		188	186
Other taxes payable		271	258
Other noncurrent liabilities		237	217
Total liabilities		9,295	10,522
Common stock, $0.01 par value: 6,000,000,000 authorized, 501,891,243 and 501,891,243 shares issued; 458,367,358 and 463,808,059 shares outstanding at December 31, 2023 and 2022, respectively		5	5
Treasury stock, at cost, 43,523,885 and 38,083,184 shares of common stock at December 31, 2023 and 2022, respectively		(5,597)	(4,539)
Additional paid-in capital		1,133	1,088
Retained earnings		10,295	8,668
Accumulated other comprehensive loss		(839)	(817)
Stockholders' Equity Attributable to Parent		4,997	4,405
Stockholders' Equity Attributable to Noncontrolling Interest		(6)	(2)
Total equity		4,991	4,403
Total liabilities and equity		$ 14,286	$ 14,925
[1]As of December 31, 2023 and 2022, includes $2 million and $4 million, respectively, of restricted cash.

CONSOLIDATED BALANCE SHEETS (PA

CONSOLIDATED BALANCE SHEETS (PARENTHETICAL) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022
Statement of Financial Position [Abstract]
Accounts Receivable, Allowance for Credit Loss, Current	$ 18	$ 19
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment	$ 2,594	$ 2,297
Preferred stock, authorized (in shares)	1,000,000,000
Common stock, par value (in dollars per share)	$ 0.01
Common stock, shares authorized	6,000,000,000
Common stock, shares issued	501,891,243	501,900,000
Common stock, shares outstanding	458,367,358	463,808,059
Treasury Stock, Common, Shares	43,523,885	38,083,184
Restricted cash	$ 2	$ 4

CONSOLIDATED STATEMENTS OF EQUI

CONSOLIDATED STATEMENTS OF EQUITY - USD ($) $ in Millions		Total	Common Stock	[1]	Treasury Stock	[1]	Additional Paid-in Capital	Retained Earnings	Accumulated Other Comprehensive Loss	Equity Attributable to Noncontrolling Interests	Share Repurchase Program
Treasury Stock, Common, Shares		26,600,000
Common stock, shares outstanding		501,900,000
Beginning balance at Dec. 31, 2020		$ 3,773	$ 5		$ (2,230)		$ 1,065	$ 5,659	$ (730)	$ 4
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income/(loss)		2,034						2,037		(3)
Other comprehensive loss		$ (34)							(34)	0
Stock-based compensation		0
Treasury Stock, Shares, Acquired		1,300,000									4,000,000
Share-based compensation awards	[2]	$ 20			21		0	(1)
Share repurchase program		0
Treasury stock acquired	[3]	$ (743)			(743)
Employee benefit plan contribution from Pfizer Inc.	[4]	3					3
Dividends declared		(509)						(509)
Ending balance at Dec. 31, 2021		$ 4,544	5		(2,952)		1,068	7,186	(764)	1
Treasury Stock, Common, Shares		29,300,000
Common stock, shares outstanding		501,900,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income/(loss)		$ 2,111						2,114		(3)
Other comprehensive loss		$ (53)							(53)	0
Stock-based compensation		0
Treasury Stock, Shares, Acquired		700,000									9,500,000
Share-based compensation awards	[2]	$ 23			7		17	(1)
Share repurchase program		0
Treasury stock acquired	[3]	$ (1,594)			(1,594)
Employee benefit plan contribution from Pfizer Inc.	[4]	3					3
Dividends declared		(631)						(631)
Ending balance at Dec. 31, 2022		$ 4,403	5		(4,539)		1,088	8,668	(817)	(2)
Treasury Stock, Common, Shares		38,083,184
Common stock, shares outstanding		501,900,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income/(loss)		$ 2,340								(4)
Other comprehensive loss		$ (22)							(22)	0
Treasury Stock, Shares, Acquired		900,000									6,300,000
Share-based compensation awards	[2]	$ 88			44		45	(1)
Treasury stock acquired	[3]	(1,102)			(1,102)
Dividends declared		(716)						(716)
Ending balance at Dec. 31, 2023		$ 4,991	$ 5		$ (5,597)		$ 1,133	$ 10,295	$ (839)	$ (6)
Treasury Stock, Common, Shares		43,523,885
Common stock, shares outstanding		501,891,243
[1] $ 4,050 Includes the issuance of shares of Zoetis Inc. common stock and the reacquisition of shares of treasury stock associated with exercises of employee share-based awards. Also includes the reacquisition of shares of treasury stock associated with the vesting of employee share-based awards to satisfy tax withholding requirements. For additional information, see Note 15. Share-based Payments and Note 16. Stockholders' Equity . Reflects the acquisition of treasury shares in connection with the share repurchase program. For 2023, includes excise tax accrued on net share repurchases. For additional information, see Note 16. Stockholders' Equity . Represents contributed capital from Pfizer Inc. associated with service credit continuation for certain Zoetis Inc. employees in Pfizer Inc.'s U.S. qualified defined benefit and U.S. retiree medical plans. See

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023		Dec. 31, 2022		Dec. 31, 2021
Operating Activities
Net income before allocation to noncontrolling interests		$ 2,340		$ 2,111		$ 2,034
Adjustments to reconcile net income before noncontrolling interests to net cash provided by/(used in) operating activities
Depreciation and amortization expense	[1],[2]	491		465		448
Share-based compensation expense		60		62		58
Asset write-offs and asset impairments		46		53		47
Net loss/(gain) on sales of assets		(118)		0		0
Provision for losses on inventory		115		76		46
Deferred taxes		(61)		(286)		(80)
Settlement of derivative contracts		0		114		0
Employee benefit plan contribution from Pfizer Inc.		0		3		3
Other non-cash adjustments		(8)		13		0
Other changes in assets and liabilities, net of acquisitions and divestitures:
Accounts receivable		(102)		(137)		(155)
Inventories		(361)		(486)		(366)
Other assets		(95)		35		(7)
Accounts payable		13		(29)		(17)
Other liabilities		67		(180)		227
Other tax accounts, net		(34)		98		(25)
Net cash provided by operating activities		2,353		1,912		2,213
Investing Activities
Capital expenditures		(732)		(586)		(477)
Acquisitions, net of cash acquired		(155)		(312)		(14)
Purchase of investments		(4)		(9)		(12)
Net proceeds from sale of assets		4		1		2
Proceeds from derivative instrument activity, net		12		23		44
Proceeds from sale of businesses, net of cash sold		96		0		0
Other investing activities		2		0		(1)
Net cash used in investing activities		(777)		(883)		(458)
Financing Activities
Increase/(decrease) in short-term borrowings, net		1		2		(4)
Principal payments on long-term debt		(1,350)		0		(600)
Proceeds from issuance of long-term debt—senior notes, net of discount		0		1,348		0
Payment of debt issuance costs		0		(10)		0
Payment of consideration related to previous acquisitions		(3)		(1)		(6)
Share-based compensation-related proceeds, net of taxes paid on withholding shares		27		(38)		(35)
Purchases of treasury stock		(1,092)		(1,594)		(743)
Cash dividends paid		(692)		(611)		(474)
Net cash used in financing activities		(3,109)		(904)		(1,862)
Effect of exchange-rate changes on cash and cash equivalents		(7)		(29)		(12)
Net (decrease)/increase in cash and cash equivalents		(1,540)		96		(119)
Cash and cash equivalents at beginning of period		2,041	[3]	3,581	[3]	3,485
Cash paid during the period for:
Income taxes		754		638		548
Interest, net of capitalized interest		295		242		253
Non-cash transactions:
Capital expenditures		2		3		6
Dividends payable		198		174		154
Excise tax accrued on net share repurchases, not paid		$ 10		$ 0		$ 0
[1]Certain production facilities are shared. Depreciation and amortization is allocated to the reportable operating segments based on estimates of where the benefits of the related assets are realized.[2]Defined as income before provision for taxes on income.[3]As of December 31, 2023 and 2022, includes $2 million and $4 million, respectively, of restricted cash.

Business Description

Business Description	12 Months Ended
	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Business Description	etis Inc. (including its subsidiaries, collectively, Zoetis, the company, we, us or our) is a global leader in the animal health industry, focused on the discovery, development, manufacture and commercialization of medicines, vaccines, diagnostic products and services, biodevices, genetic tests and precision animal health. We organize and operate our business in two geographic regions: the United States (U.S.) and International. We directly market our products in approximately 45 countries across North America, Europe, Africa, Asia, Australia and South America. Our products are sold in more than 100 countries, including developed markets and emerging markets. We have a diversified business, marketing products across eight core species: dogs, cats and horses (collectively, companion animals) and cattle, swine, poultry, fish and sheep (collectively, livestock); and within seven major product categories: parasiticides, vaccines, dermatology, other pharmaceutical, anti-infectives, animal health diagnostics and medicated feed additives. We were incorporated in Delaware in July 2012 and prior to that the company was a business unit of Pfizer Inc. (Pfizer).

Basis of Presentation

Basis of Presentation	12 Months Ended
	Dec. 31, 2023
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Basis of Presentation	2. Basis of Presentation The consolidated financial statements were prepared in accordance with accounting principles generally accepted in the United States of America (U.S. GAAP). For subsidiaries operating outside the United States, the consolidated financial information is included as of and for the fiscal year ended November 30 for each year presented. All significant intercompany balances and transactions between the legal entities that comprise Zoetis have been eliminated. For those subsidiaries included in these consolidated financial statements where our ownership is less than 100%, including a variable interest entity consolidated by Zoetis as the primary beneficiary, the noncontrolling interests have been shown in equity as Equity attributable to noncontrolling interests

Significant Accounting Policies

Significant Accounting Policies	12 Months Ended
	Dec. 31, 2023
Accounting Policies [Abstract]
Significant Accounting Policies	Recently Adopted Accounting Standards In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. In January 2021 and December 2022, it issued subsequent amendments to the initial guidance: ASU No. 2021-01 and ASU No. 2022-06, Reference Rate Reform (Topic 848). The new guidance provides temporary optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. Adoption of the guidance is optional and effective as of March 12, 2020, but only available through December 31, 2024. During the first quarter of 2023, we adopted the guidance by executing amendments to our affected contracts that referenced LIBOR. The adoption did not have a material impact on our consolidated financial statements or related disclosures. Estimates and Assumptions In preparing the consolidated financial statements, we use certain estimates and assumptions that affect reported amounts and disclosures, including amounts recorded in connection with acquisitions. These estimates and underlying assumptions can impact all elements of our consolidated financial statements. For example, in the Consolidated Statements of Income, estimates are used when accounting for deductions from revenue (such as rebates, sales allowances, product returns and discounts), determining cost of sales, allocating cost in the form of depreciation and amortization, and estimating restructuring charges and the impact of contingencies. On the Consolidated Balance Sheets, estimates are used in determining the valuation and recoverability of assets, such as accounts receivables, inventories, fixed assets, goodwill and other identifiable intangible assets, and estimates are used in determining the reported amounts of liabilities, such as taxes payable, uncertain tax positions, benefit obligations, the impact of contingencies, deductions from revenue and restructuring reserves, all of which also impact the Consolidated Statements of Income. Our estimates are often based on complex judgments, probabilities and assumptions that we believe to be reasonable but that can be inherently uncertain and unpredictable. If our estimates and assumptions are not representative of actual outcomes, our results could be materially impacted. As future events and their effects cannot be determined with precision, our estimates and assumptions may prove to be incomplete or inaccurate, or unanticipated events and circumstances may occur that might cause us to change those estimates and assumptions. We are subject to risks and uncertainties that may cause actual results to differ from estimated amounts, such as changes in competition, litigation, legislation and regulations. We regularly evaluate our estimates and assumptions using historical experience and expectations about the future. We adjust our estimates and assumptions when facts and circumstances indicate the need for change. Those changes generally will be reflected in our consolidated financial statements on a prospective basis unless they are required to be treated retrospectively under relevant accounting standards. It is possible that others, applying reasonable judgment to the same facts and circumstances, could develop and support a range of alternative estimated amounts. Acquisitions Our consolidated financial statements include the operations of acquired businesses from the date of acquisition. We account for acquired businesses using the acquisition method of accounting, which requires, among other things, that most assets acquired and liabilities assumed be recognized at their estimated fair values as of the acquisition date and that the fair value of acquired in-process research and development (IPR&D) be recorded on the balance sheet. Transaction costs are expensed as incurred. Any excess of the consideration transferred over the assigned values of the net assets acquired is recorded as goodwill. When we acquire net assets that do not constitute a business as defined in U.S. GAAP, no goodwill is recognized. Amounts recorded for acquisitions can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions . Leases We determine if a contract contains a lease at inception. Leases are recorded as a right of use asset, as of the lease commencement date, in an amount equal to the present value of future payments over the lease term. A corresponding lease liability is also recorded. We have elected not to recognize right of use assets and lease liabilities for short-term leases of vehicles and equipment with a lease term of twelve months or less. Options to extend or terminate a lease are considered in the lease term to the extent that the option is reasonably certain of exercise. The present value of future payments is discounted using the rate implicit in the lease, when available. When the implicit rate is not available, as is frequently the case with our lease portfolio, the present value is calculated using our incremental borrowing rate, which is determined on the commencement date. The incremental borrowing rate represents the rate of interest that we would expect to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. As we do not borrow on a collateralized basis, our non-collateralized borrowing rate is used as an input in deriving the incremental borrowing rate. Our lease portfolio primarily consists of operating leases, in which fixed lease payments are recognized on a straight-line basis over the lease term. Operating lease assets are recorded within Operating lease right of use assets with the corresponding operating lease liabilities recorded within Other current liabilities and Operating lease liabilities on the Consolidated Balance Sheets. Finance lease assets are recorded within Other noncurrent assets with the corresponding finance lease liabilities recorded within Other current liabilities and Other noncurrent liabilities on the Consolidated Balance Sheets. Variable payments are recognized in the period incurred. Variable lease payments include real estate taxes and charges for other non-lease services due to lessors that are not dependent on an index or rate and utilization based charges associated with fleet vehicles. Our real estate and fleet lease contracts may include fixed consideration attributable to both lease and non-lease components, including non-lease services provided by the vendor, which are accounted for as a single fixed minimum payment. For leases of certain classes of machinery and equipment, contract consideration is allocated to lease and non-lease components on the basis of relative standalone price. Foreign Currency Translation For most of our international operations, local currencies have been determined to be the functional currencies. We translate functional currency assets and liabilities to their U.S. dollar equivalents at exchange rates in effect at the balance sheet date and we translate functional currency income and expense amounts to their U.S. dollar equivalents at average exchange rates for the period. The U.S. dollar effects that arise from changing translation rates are recorded in Other comprehensive income/(loss), net of tax. The effects of converting non-functional currency assets and liabilities into the functional currency are recorded in Other (income)/deductions––net. For operations in highly inflationary economies, we translate monetary items at rates in effect at the balance sheet date, with translation adjustments recorded in Other (income)/deductions––net , and we translate non-monetary items at historical rates. Revenue, Deductions from Revenue and the Allowance for Doubtful Accounts We recognize revenue from product sales when control of the goods has transferred to the customer, which is typically once the goods have shipped and the customer has assumed title. Revenue reflects the total consideration to which we expect to be entitled (i.e., the transaction price), in exchange for products sold, after considering various types of variable consideration including rebates, sales allowances, product returns and discounts. Variable consideration is estimated and recorded at the time that related revenue is recognized. Our estimates reflect the amount by which we expect variable consideration to impact revenue recognized and are generally based on contractual terms or historical experience, adjusted as necessary to reflect our expectations about the future. Our customer payment terms generally range from 30 to 90 days. Estimates of variable consideration utilize a complex series of judgments and assumptions to determine the amount by which we expect revenue to be reduced, for example; • for sales returns, we perform calculations in each market that incorporate the following, as appropriate: local returns policies and practices; historic returns as a percentage of revenue; estimated shelf life by product; an estimate of the amount of time between shipment and return or lag time; and any other factors that could impact the estimate of future returns, product recalls, discontinuation of products or a changing competitive environment; and • for revenue incentives, we use our historical experience with similar incentives programs to estimate the impact of such programs on revenue for the current period. Although the amounts recorded for these deductions from revenue are dependent on estimates and assumptions, historically our adjustments to actual results have not been material. The sensitivity of our estimates can vary by program, type of customer and geographic location. Accruals for deductions from revenue are recorded as either a reduction in Accounts receivable or within Accrued expenses , depending on the nature of the contract and method of expected payment. Amounts recorded as a reduction in Accounts receivable as of December 31, 2023 and 2022 are approximately $301 million and $295 million, respectively. As of December 31, 2023, and 2022, accruals for deductions from revenue included in Accrued expenses are approximately $323 million and $285 million, respectively. A deferral of revenue may be required in the event that we have not satisfied all customer obligations for which we have been compensated. The transaction price is allocated to the individual performance obligations on the basis of relative stand-alone selling price, which is typically based on actual sales prices. Revenue associated with unsatisfied performance obligations are contract liabilities is recorded within Other current liabilities and Other noncurrent liabilities. Recognition of revenue occurs once control of the underlying products has transferred to the customer. Contract liabilities reflected within Other current liabilities as of December 31, 2022 and subsequently recognized as revenue during 2023 were approximately $5 million. Contract liabilities as of December 31, 2023 were approximately $11 million. We do not disclose the transaction price allocated to unsatisfied performance obligations related to contracts with an original expected duration of one year or less, or for contracts for which we recognize revenue in line with our right to invoice the customer. Estimated future revenue expected to be generated from long-term contracts with unsatisfied performance obligations as of December 31, 2023 is not material. Taxes collected from customers relating to product sales and remitted to governmental authorities are excluded from Revenue. Shipping and handling costs incurred after control of the purchased product has transferred to the customer are accounted for as a fulfillment cost, within Selling, general and administrative expenses. We also record estimates for bad debts. We periodically assess the adequacy of the allowance for doubtful accounts by evaluating the collectability of outstanding receivables based on factors such as past due history, historical and expected collection patterns, the financial condition of our customers, the robust nature of our credit and collection practices and the economic environment. Amounts recorded for sales deductions and bad debts can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions. Cost of Sales and Inventories Inventories are carried at the lower of cost or net realizable value. The cost of finished goods, work-in-process and raw materials is determined using average actual cost. We regularly review our inventories for impairment and adjustments are recorded when necessary. Selling, General and Administrative Expenses Selling, general and administrative costs are expensed as incurred. Among other things, these expenses include the internal and external costs of marketing, advertising, and shipping and handling as well as certain costs related to business technology, facilities, legal, finance, human resources, business development, public affairs and procurement, among others. Advertising expenses relating to production costs are expensed as incurred, and the costs of space in publications are expensed when the related advertising occurs. Advertising and promotion expenses totaled approximately $281 million in 2023, $287 million in 2022 and $292 million in 2021. Shipping and handling costs totaled approximately $101 million in 2023, $82 million in 2022 and $80 million in 2021. Research and Development Expenses Research and development (R&D) costs are expensed as incurred. Research is the effort associated with the discovery of new knowledge that will be useful in developing a new product or in significantly improving an existing product. Development is the implementation of the research findings. Before a compound receives regulatory approval, we record upfront and milestone payments made by us to third parties under licensing arrangements as expense. Upfront payments are recorded when incurred, and milestone payments are recorded when the specific milestone has been achieved. Once a compound receives regulatory approval in a major market, we record any milestone payments in Identifiable intangible assets, less accumulated amortization and, unless the assets are determined to have an indefinite life, we amortize them on a straight-line basis over the remaining agreement term or the expected product life cycle, whichever is shorter. Amortization of Intangible Assets, Depreciation and Certain Long-Lived Assets Long-lived assets include: • Goodwill —goodwill represents the excess of the consideration transferred for an acquired business over the assigned values of its net assets. Goodwill is not amortized. • Identifiable intangible assets, less accumulated amortization —these acquired assets are recorded at our cost. Identifiable intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives. Identifiable intangible assets with indefinite lives that are associated with marketed products are not amortized until a useful life can be determined. Identifiable intangible assets associated with IPR&D projects are not amortized until regulatory approval is obtained. The useful life of an amortizing asset generally is determined by identifying the period in which substantially all of the cash flows are expected to be generated. • Property, plant and equipment, less accumulated depreciation ––these assets are recorded at our cost and are increased by the cost of any significant improvements after purchase. Property, plant and equipment assets, other than land and construction-in-progress, are depreciated on a straight-line basis over the estimated useful life of the individual assets. Depreciation begins when the asset is ready for its intended use. For tax purposes, accelerated depreciation methods are used as allowed by tax laws. Amortization expense related to finite-lived identifiable intangible assets that contribute to our ability to sell, manufacture, research, market and distribute products, compounds and intellectual property are included in Amortization of intangible assets as they benefit multiple business functions. Amortization expense related to intangible assets that are associated with a single function and depreciation of property, plant and equipment are included in Cost of sales , Selling, general and administrative expenses and Research and development expenses , as appropriate. We review all of our long-lived assets for impairment indicators throughout the year and we perform detailed testing whenever impairment indicators are present. In addition, we perform impairment testing for goodwill and indefinite-lived assets at least annually. When necessary, we record charges for impairments. Specifically: • For finite-lived identifiable intangible assets, such as developed technology rights, and for other long-lived assets, such as property, plant and equipment, whenever impairment indicators are present, we calculate the undiscounted value of the projected cash flows associated with the asset, or asset group, and compare this estimated amount to the carrying amount. If the carrying amount is found to be greater, we record an impairment loss for the excess of book value over fair value. In addition, in all cases of an impairment review, we re-evaluate the remaining useful lives of the assets and modify them, as appropriate. • For indefinite-lived identifiable intangible assets, such as brands and IPR&D assets, we test for impairment at least annually, or more frequently if impairment indicators exist, by first assessing qualitative factors to determine whether it is more likely than not that the fair value of the indefinite-lived intangible asset is less than its carrying amount. If we conclude it is more likely than not that the fair value is less than the carrying amount, a quantitative test that compares the fair value of the indefinite-lived intangible asset with its carrying value is performed. If the fair value is less than the carrying amount, an impairment loss is recognized. We record an impairment loss, if any, for the excess of book value over fair value. In addition, in all cases of an impairment review other than for IPR&D assets, we re-evaluate whether continuing to characterize the asset as indefinite-lived is appropriate. • For goodwill, we test for impairment on at least an annual basis, or more frequently if necessary, either by assessing qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, or by performing a periodic quantitative assessment. If we choose to perform a qualitative analysis and conclude it is more likely than not that the fair value of a reporting unit is less than its carrying amount, a quantitative fair value test is performed. We determine the implied fair value of goodwill by subtracting the fair value of all the identifiable net assets other than goodwill from the fair value of the reporting unit and record an impairment loss for the excess, if any, of book value of goodwill over the implied fair value. In 2023 we performed a qualitative impairment assessment as of September 30, 2023, which did not result in the impairment of goodwill associated with any of our reporting units. In 2022, we performed a periodic quantitative impairment assessment as of September 30, 2022, which did not result in the impairment of goodwill associated with any of our reporting units. Impairment reviews can involve a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions. Software Capitalization and Depreciation We capitalize certain costs incurred in connection with obtaining or developing internal-use software, including payroll and payroll-related costs for employees who are directly associated with the internal-use software project, external direct costs of materials and services and interest costs while developing the software. Capitalized software costs are included in Property, plant and equipment and are amortized using the straight-line method over the estimated useful life of 5 to 10 years. Capitalization of such costs ceases when the project is substantially complete and ready for its intended purpose. Costs incurred during the preliminary project and post-implementation stages, as well as software maintenance and training costs, are expensed in the period in which they are incurred. The company capitalized $35 million and $57 million of internal-use software for the years ended December 31, 2023 and 2022, respectively. Depreciation expense for capitalized software was $75 million in 2023, $69 million in 2022 and $52 million in 2021. In addition, we capitalize qualifying implementation costs under cloud computing arrangements (“CCA”). The capitalized CCA implementation costs are allocated between Other current assets and Other noncurrent assets on the accompanying Consolidated Balance Sheets based on the expected period that amortization will be recognized. CCA implementation costs are amortized using the straight-line method over the expected term of the related service contract. Restructuring Charges and Certain Acquisition-Related Costs We may incur restructuring charges in connection with acquisitions when we implement plans to restructure and integrate the acquired operations or in connection with cost-reduction and productivity initiatives. Included in Restructuring charges and certain acquisition-related costs are all restructuring charges and certain costs associated with acquiring and integrating an acquired business. Transaction costs and integration costs are expensed as incurred. Termination costs are a significant component of restructuring charges and are generally recorded when the actions are probable and estimable. Amounts recorded for restructuring charges and other associated costs can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions . Earnings per Share Basic earnings per share is computed by dividing net income attributable to Zoetis by the weighted-average number of common shares outstanding during the period. Diluted earnings per share adjusts the weighted-average number of common shares outstanding for the potential dilution that could occur if common stock equivalents (stock options, restricted stock units, and performance-vesting restricted stock units) were exercised or converted into common stock, calculated using the treasury stock method. Cash Equivalents Cash equivalents include items almost as liquid as cash, such as money market funds, certificates of deposit and time deposits with maturity periods of three months or less when purchased. Fair Value Certain assets and liabilities are required to be measured at fair value, either upon initial recognition or for subsequent accounting or reporting. For example, we use fair value extensively in the initial recognition of net assets acquired in a business combination. Fair value is estimated using an exit price approach, which requires, among other things, that we determine the price that would be received to sell an asset or paid to transfer a liability in an orderly market. The determination of an exit price is considered from the perspective of market participants, considering the highest and best use of assets and, for liabilities, assuming that the risk of non-performance will be the same before and after the transfer. When estimating fair value, depending on the nature and complexity of the asset or liability, we may use one or all of the following approaches: • Income approach, which is based on the present value of a future stream of net cash flows. • Market approach, which is based on market prices and other information from market transactions involving identical or comparable assets or liabilities. • Cost approach, which is based on the cost to acquire or construct comparable assets less an allowance for functional and/or economic obsolescence. These fair value methodologies depend on the following types of inputs: • Quoted prices for identical assets or liabilities in active markets (Level 1 inputs). • Quoted prices for similar assets or liabilities in active markets or quoted prices for identical or similar assets or liabilities in markets that are not active or are directly or indirectly observable (Level 2 inputs). • Unobservable inputs that reflect estimates and assumptions (Level 3 inputs). A single estimate of fair value can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions . Accounts Receivable The recorded amounts of accounts receivable approximate fair value because of their relatively short-term nature. As of December 31, 2023 and 2022, Accounts receivable, less allowance for doubtful accounts, of $1,304 million and $1,215 million, respectively, includes approximately $58 million and $71 million, respectively, of other receivables, such as trade notes receivable and royalty receivables, among others. Deferred Tax Assets and Liabilities and Income Tax Contingencies Deferred tax assets and liabilities are recognized for the expected future tax consequences of differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates and laws. We provide a valuation allowance when we believe that our deferred tax assets are not recoverable based on an assessment of estimated future taxable income that incorporates ongoing, prudent and feasible tax planning strategies. We account for income tax contingencies using a benefit recognition model. If we consider that a tax position is more likely than not to be sustained upon audit, based solely on the technical merits of the position, we recognize the benefit. We measure the benefit by determining the amount that is greater than 50% likely of being realized upon settlement, presuming that the tax position is examined by the appropriate taxing authority that has full knowledge of all relevant information. Under the benefit recognition model, if the initial assessment fails to result in the recognition of a tax benefit, we regularly monitor our position and subsequently recognize the tax benefit: (i) if there are changes in tax law, analogous case law or there is new information that sufficiently raise the likelihood of prevailing on the technical merits of the position to more likely than not; (ii) if the statute of limitations expires; or (iii) if there is a completion of an audit resulting in a favorable settlement of that tax year with the appropriate agency. We regularly re-evaluate our tax positions based on the results of audits of federal, state and foreign income tax filings, statute of limitations expirations, changes in tax law or receipt of new information that would either increase or decrease the technical merits of a position relative to the “more-likely-than-not” standard. Liabilities associated with uncertain tax positions are classified as current only when we expect to pay cash within the next 12 months. Interest and penalties, if any, are recorded in Provision for taxes on income and are classified on our Consolidated Balance Sheets with the related tax liability. Amounts recorded for valuation allowances and income tax contingencies can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions. Benefit Plans All dedicated benefit plans are pension plans. For our dedicated benefit plans, we recognize the overfunded or underfunded status of defined benefit plans as an asset or liability on the Consolidated Balance Sheets and the obligations generally are measured at the actuarial present value of all benefits attributable to employee service rendered, as provided by the applicable benefit formula. Pension obligations may include assumptions such as long-term rate of return on plan assets, expected employee turnover, participant mortality, and future compensation levels. Plan assets are measured at fair value. Net periodic benefit costs are recognized, as required, into Cost of sales, Selling, general and administrative expenses and Research and development expenses , as appropriate. Amounts recorded for benefit plans can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions. Asset Retirement Obligations We record accruals for the legal obligations associated with the retirement of tangible long-lived assets, including obligations under the doctrine of promissory estoppel and those that are conditioned upon the occurrence of future events. These obligations generally result from the acquisition, construction, development and/or normal operation of long-lived assets. We recognize the fair value of these obligations in the period in which they are incurred by increasing the carrying amount of the related asset. Over time, we recognize expense for the accretion of the liability and for the amortization of the asset. As of December 31, 2023 and 2022, accruals for asset retirement obligations are $28 million and $25 million, respectively, and are included in Other noncurrent liabilities. Amounts recorded for asset retirement obligations can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions. Legal and Environmental Contingencies We are subject to numerous contingencies arising in the ordinary course of business, such as product liability and other product-related litigation, commercial litigation, patent litigation, environmental claims and proceedings, government investigations and guarantees and indemnifications. We record accruals for these contingencies to the extent that we conclude that a loss is both probable and reasonably estimable. If some amount within a range of loss appears to be a better estimate than any other amount within the range, we accrue that amount. Alternatively, when no amount within a range of loss appears to be a better estimate than any other amount, we accrue the lowest amount in the range. We record anticipated recoveries under existing insurance contracts when recovery is assured. Amounts recorded for contingencies can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions. Share-Based Payments Our compensation programs can include share-based payment plans. All grants under share-based payment programs are accounted for at fair value and such amounts generally are amortized on a straight-line basis over the vesting term to Cost of sales, Selling, general and administrative expenses, and Research and development expenses , as appropriate. We include the impact of estimated forfeitures when determining share-based compensation expense. Amounts recorded for share-based compensation can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions

Revenue

Revenue	12 Months Ended
	Dec. 31, 2023
Revenue Recognition and Deferred Revenue [Abstract]
Revenue	A. Revenue from Product Sales We offer a diversified portfolio of products which allows us to capitalize on local and regional customer needs. Generally, our products are promoted to veterinarians and livestock producers by our sales organization which includes sales representatives and technical and veterinary operations specialists, and then sold directly by us or through distributors, retailers or e-commerce outlets. The depth of our product portfolio enables us to address the varying needs of customers in different species and geographies. Many of our top-selling product lines are distributed across both of our operating segments, leveraging our R&D operations and manufacturing and supply chain network. Over the course of our history, we have focused on developing a diverse portfolio of animal health products, including medicines, vaccines and diagnostics, complemented by biodevices, genetic tests and a range of services. We refer to all different brands of a particular product, or its dosage forms for all species, as a product line. We have approximately 300 comprehensive product lines, including products for both companion animals and livestock within each of our major product categories. Our major product categories are: • parasiticides: products that prevent or eliminate external and internal parasites such as fleas, ticks and worms; • vaccines: biological preparations that help prevent diseases of the respiratory, gastrointestinal and reproductive tracts or induce a specific immune response; • dermatology: products that relieve itch associated with allergic conditions and atopic dermatitis; • other pharmaceutical: pain and sedation, antiemetic, reproductive, and oncology products; • anti-infectives: products that kill or slow the growth of bacteria, fungi or protozoa; • animal health diagnostics: testing and analysis of blood, urine and other animal samples and related products and services, including point-of-care diagnostic products, instruments and reagents, rapid immunoassay tests, reference laboratory kits and services and blood glucose monitors; and • medicated feed additives: products added to animal feed that provide medicines to livestock. Our remaining revenue is derived from other non-pharmaceutical product categories, such as nutritionals, as well as products and services in biodevices, genetic tests and precision animal health. Our companion animal products help extend and improve the quality of life for pets; increase convenience and compliance for pet owners; and help veterinarians improve the quality of their care and the efficiency of their businesses. Growth in the companion animal medicines, vaccines and diagnostics sector is driven by economic development, related increases in disposable income and increases in pet ownership and spending on pet care. Companion animals are also living longer, deepening the human-animal bond, receiving increased medical treatment and benefiting from advances in animal health medicine, vaccines and diagnostics. Our livestock products primarily help prevent or treat diseases and conditions to allow veterinarians and producers to care for their animals and to enable the cost-effective production of safe, high-quality animal protein. Human population growth and increasing standards of living are important long-term growth drivers for our livestock products in three major ways. First, population growth and increasing standards of living drive demand for improved nutrition, particularly through increased consumption of animal protein. Second, population growth leads to greater natural resource constraints driving a need for enhanced productivity. Finally, as standards of living improve and the global chain faces increased scrutiny, there is more focus on food quality, safety, and reliability of supply. The following tables present our revenue disaggregated by geographic area, species, and major product category: Revenue by geographic area Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 United States $ 4,555 $ 4,313 $ 4,042 Australia 323 289 259 Brazil 393 330 312 Canada 255 238 232 Chile 140 141 136 China 320 382 357 France 142 126 132 Germany 202 176 183 Italy 121 111 115 Japan 158 173 186 Mexico 162 136 133 Spain 122 118 128 United Kingdom 277 235 234 Other developed markets 512 468 467 Other emerging markets 784 758 778 8,466 7,994 7,694 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776 Revenue exceeded $100 million in twelve countries outside the U.S. in 2023, 2022 and 2021. The U.S. was the only country to contribute more than 10% of total revenue in each year. Revenue by major species Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 U.S. Companion animal $ 3,529 $ 3,341 $ 2,990 Livestock 1,026 972 1,052 4,555 4,313 4,042 International Companion animal 2,047 1,862 1,699 Livestock 1,864 1,819 1,953 3,911 3,681 3,652 Total Companion animal 5,576 5,203 4,689 Livestock 2,890 2,791 3,005 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776 Revenue by species Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Companion Animal: Dogs and Cats $ 5,291 $ 4,939 $ 4,426 Horses 285 264 263 5,576 5,203 4,689 Livestock: Cattle 1,503 1,440 1,557 Swine 543 565 659 Poultry 524 476 507 Fish 220 212 187 Sheep and other 100 98 95 2,890 2,791 3,005 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776 Revenue by product category Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Parasiticides $ 1,947 $ 1,860 $ 1,635 Vaccines 1,771 1,718 1,673 Dermatology 1,427 1,329 1,180 Other pharmaceuticals 1,280 1,043 966 Anti-infectives 1,057 1,081 1,215 Animal health diagnostics 376 353 374 Medicated feed additives 354 360 420 Other non-pharmaceuticals 254 250 231 8,466 7,994 7,694 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776 B. Other Revenue Information Significant Customers We primarily sell our companion animal products to veterinarians or to third-party veterinary distributors that typically then sell our products to veterinarians, and in each case, veterinarians then typically sell our products to pet owners. In certain markets, we also sell certain companion animal products through retail and e-commerce outlets. We sell our livestock products primarily to veterinarians and livestock producers, including beef and dairy farmers as well as pork and poultry operations, in addition to third-party veterinary distributors and retail outlets who then typically sell the products to livestock producers. Sales to our largest customer, a U.S. veterinary distributor, represented approximately 15% of total revenue for 2023, and 14% of total revenue for 2022 and 2021.

Acquisitions and Divestitures

Acquisitions and Divestitures	12 Months Ended
	Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]
Acquisitions and Divestitures	During 2023, we acquired 100% of the issued share capital of PetMedix Ltd (PetMedix), a privately held research and development stage animal health biopharmaceutical company based in the U.K., which develops antibody-based therapeutics for companion animals. The purchase price included upfront cash consideration of $111 million, excluding $19 million of cash acquired, $5 million in cash withheld for customary post-closing adjustments, and contingent consideration up to $100 million based on the achievement of certain milestones. There are additional contingent payments to be made to the seller upon receipt of payments from a third party related to a preexisting collaboration arrangement between PetMedix and the third party. The initial fair value assessment of the contingent consideration and additional contingent payments is not material and the transaction did not have a material impact on our consolidated financial statements. We also completed the acquisition of adivo GmbH (adivo), a privately held research and development stage animal health biopharmaceutical company based in Germany. The transaction did not have a material impact on our consolidated financial statements. During 2022, we completed the acquisition of Basepaws, a privately held petcare genetics company based in the U.S., which provides pet owners with genetic tests, analytics and early health risk assessments that can help manage the health, wellness and quality of care for their pets and helps Zoetis identify solutions to complex diseases by informing our research and innovation. We also completed the acquisition of NewMetrica, a privately held company based in Scotland, that provides scientifically-developed instruments to measure quality of life in companion animals. These transactions did not have a material impact on our consolidated financial statements. During 2021, we entered into an agreement to acquire Jurox, a privately held animal health company based in Australia, which develops, manufactures and markets a wide range of veterinary medicines for treating companion animals and livestock. On September 30, 2022, after satisfying all customary closing conditions, including clearance from the Australian Competition and Consumer Commission, we completed the acquisition of Jurox. We acquired 100% of the outstanding shares for an aggregate cash purchase price of $226 million, which was adjusted to $240 million for cash and working capital and other adjustments as of the closing date. Net cash consideration transferred to the seller was $215 million during 2022 and $5 million during 2023. The transaction was accounted for as a business combination, with the assets acquired and liabilities assumed measured at their respective acquisition date fair values. The valuation was finalized during 2023. The table below presents the final fair values allocated to the assets and liabilities of Jurox as of the acquisition date: (MILLIONS OF DOLLARS) Amounts Cash and cash equivalents $ 20 Accounts receivable 8 Inventories (a) 21 Other current assets 1 Property, plant and equipment (b) 25 Identifiable intangible assets (c) 135 Other noncurrent assets 7 Accounts payable 2 Other current liabilities 12 Other noncurrent liabilities 1 Total net assets acquired 202 Goodwill (d) 38 Total consideration $ 240 (a) Acquired inventory is comprised of finished goods, work in process and raw materials. The fair value of finished goods was determined based on net realizable value adjusted for the costs of the selling effort, a reasonable profit allowance for the selling effort, and estimated holding costs. The fair value of work in process was determined based on net realizable value adjusted for costs to complete the manufacturing process, costs of the selling effort, a reasonable profit allowance for the remaining manufacturing and selling effort, and an estimate of holding costs. The fair value of raw materials was determined to approximate book value. (b) Property, plant and equipment is comprised of buildings, machinery and equipment, land, construction in progress and furniture and fixtures. The fair value was primarily determined using a reproduction/replacement cost approach which measures the value of an asset by estimating the cost to acquire or construct comparable assets adjusted for age and condition of the asset. (c) Identifiable intangible assets consist of developed technology rights. The fair value of identifiable intangible assets was determined using the income approach, which includes a forecast of expected future cash flows. For additional information regarding identifiable intangible assets, see Note 13. Goodwill and Other Intangible Assets . (d) Goodwill represents the excess of consideration transferred over the fair values of the assets acquired and liabilities assumed. It is allocated to our International segment and is primarily attributable to cost and revenue synergies including market share capture, elimination of cost redundancies and gain of cost efficiencies, and intangible assets such as assembled workforce which are not separately recognizable. The primary strategic purpose of the acquisition was to enhance the company’s existing product portfolio. In 2021, we also acquired certain assets to expand our portfolio of equine care products, which did not have a material impact on our consolidated financial statements. B. Divestitures During 2023, we received net cash proceeds of $93 million ($99 million sales proceeds, net of cash sold of $6 million) for the sale of a majority interest in our pet insurance business, Pumpkin Insurance Services. We recorded a net pre-tax gain of $101 million within Other (income)/deductions—net , which includes $24 million related to the remeasurement of our retained noncontrolling investment to fair value. We also completed the divestiture of Performance Livestock Analytics, part of our precision animal health business. This transaction did not have a material impact on our consolidated financial statements.

Restructuring Charges and Other

Restructuring Charges and Other Costs Associated with Acquisitions and Cost-Reduction/Productivity Initiatives	12 Months Ended
	Dec. 31, 2023
Restructuring and Related Activities [Abstract]
Restructuring Charges and Other Costs Associated with Acquisitions and Cost-Reduction/Productivity Initiatives	6. Restructuring Charges and Other Costs Associated with Acquisitions, Cost-Reduction and Productivity Initiatives In connection with our cost-reduction/productivity initiatives, we typically incur costs and charges associated with workforce reductions and site closings. In connection with our acquisition activity, we typically incur costs and charges associated with executing the transactions, integrating the acquired operations, which may include expenditures for consulting and the integration of systems and processes, product transfers and restructuring the company, which may include charges related to employees, assets and activities that will not continue in the company. All operating functions can be impacted by these actions, including sales and marketing, manufacturing and R&D, as well as functions such as business technology, shared services and corporate operations. The components of costs incurred in connection with restructuring initiatives, acquisitions and cost-reduction/productivity initiatives are as follows: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Restructuring charges and certain acquisition-related costs: Integration costs (a) $ 3 $ 4 $ 10 Transaction costs (b) 4 1 — Restructuring charges (c)(d) : Employee termination costs 41 3 17 Asset impairment charges 1 2 13 Exit costs 4 1 3 Total Restructuring charges and certain acquisition-related costs $ 53 $ 11 $ 43 (a) Integration costs represent external, incremental costs directly related to integrating acquired businesses and primarily include expenditures for consulting and the integration of systems and processes, as well as product transfer costs. (b) Transaction costs represent external costs directly related to acquiring businesses and primarily includes expenditures for banking, legal, accounting and other similar services. (c) The restructuring charges for the year ended December 31, 2023 primarily relates to employee termination and exit costs related to organizational structure refinements and other cost-reduction and productivity initiatives. The restructuring charges for the year ended December 31, 2022 primarily relates to employee termination and exit costs associated with cost-reduction and productivity initiatives in certain international markets, as well as asset impairment charges primarily related to the consolidation of manufacturing sites in China. The restructuring charges for the year ended December 31, 2021 primarily relates to the realignment of our international operations and other cost-reduction and productivity initiatives. (d) The restructuring charges are associated with the following: • For the year ended December 31, 2023, Manufacturing/research/corporate of $22 million, U.S. of $3 million and International of $21 million. • For the year ended December 31, 2022, Manufacturing/research/corporate of $2 million and International of $4 million. • For the year ended December 31, 2021, Manufacturing/research/corporate of $21 million and International of $12 million. The components of, and changes in, our restructuring accruals are as follows: Employee Asset Termination Impairment Exit (MILLIONS OF DOLLARS) Costs Charges Costs Accrual Balance, December 31, 2020 $ 21 $ — $ — $ 21 Provision 17 13 3 33 Non-cash activity — (13) — (13) Utilization and other (a) (15) — (1) (16) Balance, December 31, 2021 $ 23 $ — $ 2 $ 25 Provision 3 2 1 6 Non-cash activity — (2) — (2) Utilization and other (a) (12) — (2) (14) Balance, December 31, 2022 (b) $ 14 $ — $ 1 $ 15 Provision 41 1 4 46 Non-cash activity — (1) — (1) Utilization and other (a) (23) — (2) (25) Balance, December 31, 2023 (b)(c) $ 32 $ — $ 3 $ 35 (a) Includes adjustments for foreign currency translation. (b) At December 31, 2023 and 2022, included in Accrued Expenses ($26 million and $5 million, respectively) and Other noncurrent liabilities ($9 million and $10 million, respectively). (c) Includes contractual obligations of $26 million, of which payments are expected to be approximately $25 million in 2024 and $1 million thereafter.

Other (Income)_Deductions - Net

Other (Income)/Deductions - Net	12 Months Ended
	Dec. 31, 2023
Other Income and Expenses [Abstract]
Other (Income)/Deductions - Net	he components of Other (income)/deductions—net follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Royalty-related income (a) $ (37) $ (4) $ (10) Interest income (105) (50) (6) Identifiable intangible asset impairment charges (b) 35 39 27 Other asset impairment charges 1 7 3 Net gain on sale of businesses (c) (101) — — Net loss on sale of assets — — 3 Foreign currency loss (d) 47 62 27 Other, net 1 (14) 4 Other (income)/deductions—net $ (159) $ 40 $ 48 (a) For 2023, predominantly associated with a settlement received from a third-party for underpayment of royalties related to prior periods. (b) For 2023, p rimarily re presents certain asset impairment charges related to our precision animal health and diagnostics businesses. For 2022, primarily represents asset impairment charges related to customer relationships and developed technology rights in our diagnostics, poultry, cattle and swine businesses. For 2021, primarily represents asset impairment charges related to developed technology rights and trademarks in our dairy cattle, diagnostics and aquatic health businesses. (c) Primarily relates to the gain on sale of a majority interest in our pet insurance business. (d) Primarily driven by costs related to hedging and exposures to certain developed and emerging market currencies.

Tax Matters

Tax Matters	12 Months Ended
	Dec. 31, 2023
Income Tax Disclosure [Abstract]
Tax Matters	8. Tax Matters A. Taxes on Income The income tax provision in the Consolidated Statements of Income includes tax costs and benefits, such as uncertain tax positions, repatriation decisions and audit settlements, among others. The components of Income before provision for taxes on income follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 United States $ 1,636 $ 1,645 $ 1,308 International 1,300 1,011 1,180 Income before provision for taxes on income $ 2,936 $ 2,656 $ 2,488 The components of Provision for taxes on income based on the location of the taxing authorities follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 United States: Current income taxes: Federal $ 341 $ 514 $ 311 State and local 35 81 35 Deferred income taxes: Federal (40) (198) (84) State and local 25 (49) (10) Total U.S. tax provision 361 348 252 International: Current income taxes 281 235 188 Deferred income taxes (46) (38) 14 Total international tax provision 235 197 202 Provision for taxes on income $ 596 $ 545 $ 454 Tax Rate Reconciliation The reconciliation of the U.S. statutory income tax rate to our effective tax rate follows: Year Ended December 31, 2023 2022 2021 U.S. statutory income tax rate 21 % 21 % 21 % State and local taxes, net of federal benefits 1.6 0.9 0.8 Unrecognized tax benefits and tax settlements and resolution of certain tax positions (a) 0.9 0.1 0.1 Foreign Derived Intangible Income (0.7) (0.2) (1.1) U.S. Research and Development Tax Credit (0.7) (0.7) (0.6) Share-based payments (0.3) (0.6) (0.9) Non-deductible / non-taxable items 0.2 0.1 0.3 Taxation of non-U.S. operations (0.8) (0.4) (1.3) All other—net (0.9) 0.3 (0.1) Effective tax rate 20.3 % 20.5 % 18.2 % (a) For a discussion about unrecognized tax benefits and tax settlements and resolution of certain tax positions, see D. Tax Contingencies . Our effective income tax rate was 20.3%, 20.5% and 18.2% in 2023, 2022 and 2021, respectively. The lower effective tax rate for 2023, compared with 2022, was primarily attributable to a higher benefit in the U.S. related to foreign-derived intangible income, a more favorable jurisdictional mix of earning (which includes the impact of the location of earnings and repatriation costs), partially offset by a higher net discrete tax expense in 2023, mainly related to changes to prior years’ tax positions. Jurisdictional mix of earnings can vary depending on repatriation decisions, operating fluctuations in the normal course of business and the impact of non-deductible items and non-taxable items. The higher effective tax rate for 2022, compared with 2021, was attributable to a less favorable jurisdictional mix of earnings (which includes the impact of the location of earnings and repatriation costs), a lower benefit in the U.S. related to foreign-derived intangible income and lower net discrete tax benefits in 2022. Jurisdictional mix of earnings can vary depending on repatriation decisions, operating fluctuations in the normal course of business and the impact of non-deductible and non-taxable items. In 2022, the company implemented an initiative to maximize its cash position in the U.S. This initiative resulted in a tax benefit in the U.S. in connection with a prepayment from a related foreign entity in Belgium which qualifies as foreign-derived intangible income; however, this income tax benefit was deferred to 2023 and 2024. A portion of this benefit was recognized during 2023. The remaining deferred benefit is included in Other current assets on our Consolidated Balance Sheets as of December 31, 2023 in the amount of $12 million. B. Tax Matters Agreement In connection with the separation from Pfizer in 2013, we entered into a tax matters agreement with Pfizer that governs the parties' respective rights, responsibilities and obligations with respect to tax liabilities and benefits, tax attributes, the preparation and filing of tax returns, the control of audits and other tax proceedings and other matters regarding taxes. In general, under the agreement: • Pfizer will be responsible for any U.S. federal, state, local or foreign income taxes and any U.S. state or local non-income taxes (and any related interest, penalties or audit adjustments and including those taxes attributable to our business) reportable on a consolidated, combined or unitary return that includes Pfizer or any of its subsidiaries (and us and/or any of our subsidiaries) for any periods or portions thereof ending on or prior to December 31, 2012. We will be responsible for the portion of any such taxes for periods or portions thereof beginning on or after January 1, 2013, as would be applicable to us if we filed the relevant tax returns on a standalone basis. • We will be responsible for any U.S. federal, state, local or foreign income taxes and any U.S. state or local non-income taxes (and any related interest, penalties or audit adjustments) that are reportable on returns that include only us and/or any of our subsidiaries, for all tax periods whether before or after the completion of the separation from Pfizer. • Pfizer will be responsible for certain specified foreign taxes directly resulting from certain aspects of the separation from Pfizer. We will not generally be entitled to receive payment from Pfizer in respect of any of our tax attributes or tax benefits or any reduction of taxes of Pfizer. Neither party's obligations under the agreement will be limited in amount or subject to any cap. The agreement also assigns responsibilities for administrative matters, such as the filing of returns, payment of taxes due, retention of records and conduct of audits, examinations or similar proceedings. In addition, the agreement provides for cooperation and information sharing with respect to tax matters. Pfizer is primarily responsible for preparing and filing any tax return with respect to the Pfizer affiliated group for U.S. federal income tax purposes and with respect to any consolidated, combined, unitary or similar group for U.S. state or local or foreign income tax purposes or U.S. state or local non-income tax purposes that includes Pfizer or any of its subsidiaries, including those that also include us and/or any of our subsidiaries. We are generally responsible for preparing and filing any tax returns that include only us and/or any of our subsidiaries. The party responsible for preparing and filing a given tax return will generally have exclusive authority to control tax contests related to any such tax return. C. Deferred Taxes Deferred taxes arise as a result of basis differentials between financial statement accounting and tax amounts. The components of our deferred tax assets and liabilities follow: As of December 31, 2023 2022 (MILLIONS OF DOLLARS) Assets (Liabilities) Prepaid/deferred items $ 72 $ 192 Inventories 30 22 Capitalized R&D for tax 224 111 Identifiable intangible assets (154) (154) Property, plant and equipment (199) (204) Employee benefits 62 61 Restructuring and other charges (1) 1 Legal and product liability reserves 12 14 Net operating loss/credit carryforwards 133 112 Unremitted earnings (4) (4) All other 16 9 Subtotal 191 160 Valuation allowance (131) (129) Net deferred tax asset/(liability) (a)(b) $ 60 $ 31 (a) The change in the total net deferred tax asset/(liability) from December 31, 2022 to December 31, 2023 is primarily attributable to an increase in deferred tax assets related to the capitalization and amortization of research & development costs for U.S. tax purposes and an increase in net operating loss/credit carryforwards, partially offset by a decrease in deferred tax assets related to prepaid/deferred items as a result of a prepayment from a related foreign entity in Belgium. (b) In 2023, included in Noncurrent deferred tax assets ($206 million) and Noncurrent deferred tax liabilities ($146 million). In 2022, included in Noncurrent deferred tax assets ($173 million) and Noncurrent deferred tax liabilities ($142 million). We have carryforwards, primarily related to net operating losses, which are available to reduce future foreign, U.S. federal, and U.S. state income taxes payable with either an indefinite life or expiring at various times from 2024 to 2043. Valuation allowances are provided when we believe that our deferred tax assets are not recoverable based on an assessment of estimated future taxable income that incorporates ongoing, prudent and feasible tax planning strategies. On the basis of this evaluation, as of December 31, 2023 and 2022, a valuation allowance of $131 million and $129 million, respectively, has been recorded to reflect only the portion of the deferred tax asset that is more likely than not to be realized. The amount of the deferred tax asset considered realizable, however, could be adjusted if estimates of future taxable income during the carryforward period are reduced or increased or if objective negative evidence in the form of cumulative losses is no longer present and additional weight may be given to subjective evidence such as projections for growth. In general, it is our practice and intention to permanently reinvest the majority of the earnings of the company’s non-U.S. subsidiaries. As of December 31, 2023, the cumulative amount of such undistributed earnings was approximately $7.6 billion, for which we have not provided U.S. and local income taxes, such as U.S. state income taxes, local withholding taxes, and taxes on currency gains and losses. Since these earnings are intended to be indefinitely reinvested overseas as of December 31, 2023, we cannot predict the time or manner of a potential repatriation. As such, other than the deferred tax liability associated with the one-time mandatory deemed repatriation tax on such undistributed earnings imposed by the Tax Cuts and Jobs Act of 2017, it is not practicable to estimate the additional deferred tax liability associated with the potential repatriation of the unremitted earnings. D. Tax Contingencies We are subject to income tax in many jurisdictions, and a certain degree of estimation is required in recording the assets and liabilities related to income taxes. All of our tax positions are subject to audit by the local taxing authorities in each tax jurisdiction. These tax audits can involve complex issues, interpretations and judgments and the resolution of matters may span multiple years, particularly if subject to negotiation or litigation. Our assessments are based on estimates and assumptions that have been deemed reasonable by management, but our estimates of unrecognized tax benefits and potential tax benefits may not be representative of actual outcomes, and variation from such estimates could materially affect our financial statements in the period of settlement or when the statute of limitations expire. We treat these events as discrete items in the period of resolution. For a description of our accounting policies associated with accounting for income tax contingencies, see Note 3. Significant Accounting Policies: Deferred Tax Assets and Liabilities and Income Tax Contingencies. For a description of the risks associated with estimates and assumptions, see Note 3. Significant Accounting Policies: Estimates and Assumptions. Uncertain Tax Positions As tax law is complex and often subject to varied interpretations, it is uncertain whether some of our tax positions will be sustained upon audit. As of December 31, 2023 , 2022 and 2021, we had approximately $209 million , $192 million and $188 million, respectively, in net liabilities associated with uncertain tax positions, excluding associated interest and penalties. As of December 31, 2023, 2022 and 2021, we had approximately $0 million, $11 million and $3 million, respectively, in assets associated with uncertain tax benefits recorded in Noncurrent deferred tax assets and Other noncurrent assets . • Tax liabilities associated with uncertain tax positions represent unrecognized tax benefits, which arise when the estimated benefit recorded in our financial statements differs from the amounts taken or expected to be taken in a tax return because of the uncertainties described above. These unrecognized tax benefits relate primarily to issues common among multinational corporations. Substantially all of these unrecognized tax benefits, if recognized, would impact our effective income tax rate. The reconciliation of the beginning and ending amounts of gross unrecognized tax benefits follows: (MILLIONS OF DOLLARS) 2023 2022 2021 Balance, January 1 $ (194) $ (189) $ (188) Increases based on tax positions taken during a prior period (a) (27) (20) (1) Decreases based on tax positions taken during a prior period (a) 20 9 7 Increases based on tax positions taken during the current period (a) (13) (4) (9) Settlements — 7 — Lapse in statute of limitations (a) 5 3 2 Balance, December 31 (b) $ (209) $ (194) $ (189) (a) Primarily included in Provision for taxes on income. (b) In 2023, included in Other taxes payable ($209 million). In 2022, included in Noncurrent deferred tax assets and Other noncurrent assets ($2 million) and Other taxes payable ($192 million). In 2021, included in Noncurrent deferred tax assets and Other noncurrent assets ($1 million) and Other taxes payable ($188 million). • Interest related to our unrecognized tax benefits is recorded in accordance with the laws of each jurisdiction and is recorded in Provision for taxes on income in our Consolidated Statements of Income. We recorded net interest expense of $10 million, $4 million and $1 million in 2023, 2022 and 2021, respectively. Gross accrued interest totaled $26 million, $16 million and $12 million as of December 31, 2023, 2022 and 2021, respectively, and were included in Other taxes payable . As of December 31, 2023, 2022 and 2021, gross accrued penalties totaled $1 million, $3 million and $3 million, respectively, and were included in Other taxes payable . Status of Tax Audits and Potential Impact on Accruals for Uncertain Tax Positions We are subject to taxation in the U.S. including various states, and foreign jurisdictions. The U.S. is one of our major tax jurisdictions, and we are currently under audit for tax years 2017 through 2018. For U.S. state tax purposes, tax years 2014 through 2023 are open for examination (see B. Tax Matters Agreement for years prior to 2013). In addition to the open audit years in the U.S., we have open audit years in other major foreign tax jurisdictions, such as Canada (2021-2023), Asia-Pacific (2015-2023, primarily reflecting Australia , China and Japan), Europe (2012-2023, primarily reflecting France, Germany, Italy, Spain and the U.K.) and Latin America (2016-2023, primarily reflecting Brazil and Mexico).

Leases

Leases	12 Months Ended
	Dec. 31, 2023
Leases [Abstract]
Leases	10. Leases We have facilities and vehicles under various non-cancellable operating leases with third parties and an equipment finance lease with a third party. The operating leases generally have remaining terms ranging from 1 to 15 years, inclusive of renewal options that are reasonably certain of exercise. The finance lease has a remaining term of 30 years. Supplemental information for our lease portfolio is as follows: As of December 31, (MILLIONS OF DOLLARS, EXCEPT LEASE TERM AND DISCOUNT RATE AMOUNTS) 2023 2022 Supplemental Balance Sheet information: Operating lease right of use assets $ 230 $ 220 Finance lease right of use assets (in Other noncurrent assets ) 9 — Total lease assets $ 239 $ 220 Lease liabilities: Operating lease liabilities - current (in Other current liabilities ) $ 48 $ 43 Finance lease liabilities - current (in Other current liabilities ) 1 — Operating lease liabilities - noncurrent 188 186 Finance lease liabilities - noncurrent (in Other noncurrent liabilities ) 8 — Total lease liabilities $ 245 $ 229 Weighted-average remaining lease term—operating leases (years) 7.26 7.72 Weighted-average remaining lease term—finance leases (years) 30.27 0.00 Weighted-average discount rate—operating leases 3.41 % 2.78 % Weighted-average discount rate—finance leases 4.99 % — % Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Supplemental Income Statement information for operating leases: Operating lease expense $ 56 $ 51 $ 50 Variable lease costs 20 12 19 Short-term lease costs not included in the measurement of lease liabilities 11 12 9 Supplemental Income Statement information for finance leases: Amortization of right-of-use assets 1 — — Total lease costs $ 88 $ 75 $ 78 Supplemental Cash Flow information for leases Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows – operating leases $ 57 $ 51 $ 47 Lease obligations obtained in exchange for right-of-use assets - operating (non-cash) 73 99 39 Lease obligations obtained in exchange for right-of-use assets – finance (non-cash) 9 — — Future minimum lease payments under non-cancellable lease contracts as of December 31, 2023 are as follows: Total Less: After Lease Imputed (MILLIONS OF DOLLARS) 2024 2025 2026 2027 2028 2028 Payments Interest Total Operating leases $ 57 $ 48 $ 38 $ 30 $ 25 $ 73 $ 271 $ (35) $ 236 Finance leases $ 2 $ 1 $ 1 $ 1 $ 1 $ 6 $ 12 $ (3) $ 9
Leases	10. Leases We have facilities and vehicles under various non-cancellable operating leases with third parties and an equipment finance lease with a third party. The operating leases generally have remaining terms ranging from 1 to 15 years, inclusive of renewal options that are reasonably certain of exercise. The finance lease has a remaining term of 30 years. Supplemental information for our lease portfolio is as follows: As of December 31, (MILLIONS OF DOLLARS, EXCEPT LEASE TERM AND DISCOUNT RATE AMOUNTS) 2023 2022 Supplemental Balance Sheet information: Operating lease right of use assets $ 230 $ 220 Finance lease right of use assets (in Other noncurrent assets ) 9 — Total lease assets $ 239 $ 220 Lease liabilities: Operating lease liabilities - current (in Other current liabilities ) $ 48 $ 43 Finance lease liabilities - current (in Other current liabilities ) 1 — Operating lease liabilities - noncurrent 188 186 Finance lease liabilities - noncurrent (in Other noncurrent liabilities ) 8 — Total lease liabilities $ 245 $ 229 Weighted-average remaining lease term—operating leases (years) 7.26 7.72 Weighted-average remaining lease term—finance leases (years) 30.27 0.00 Weighted-average discount rate—operating leases 3.41 % 2.78 % Weighted-average discount rate—finance leases 4.99 % — % Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Supplemental Income Statement information for operating leases: Operating lease expense $ 56 $ 51 $ 50 Variable lease costs 20 12 19 Short-term lease costs not included in the measurement of lease liabilities 11 12 9 Supplemental Income Statement information for finance leases: Amortization of right-of-use assets 1 — — Total lease costs $ 88 $ 75 $ 78 Supplemental Cash Flow information for leases Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows – operating leases $ 57 $ 51 $ 47 Lease obligations obtained in exchange for right-of-use assets - operating (non-cash) 73 99 39 Lease obligations obtained in exchange for right-of-use assets – finance (non-cash) 9 — — Future minimum lease payments under non-cancellable lease contracts as of December 31, 2023 are as follows: Total Less: After Lease Imputed (MILLIONS OF DOLLARS) 2024 2025 2026 2027 2028 2028 Payments Interest Total Operating leases $ 57 $ 48 $ 38 $ 30 $ 25 $ 73 $ 271 $ (35) $ 236 Finance leases $ 2 $ 1 $ 1 $ 1 $ 1 $ 6 $ 12 $ (3) $ 9

Inventories

Inventories	12 Months Ended
	Dec. 31, 2023
Inventory Disclosure [Abstract]
Inventories	11. Inventories The components of inventory follow: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 Finished goods $ 1,147 $ 1,090 Work-in-process 966 825 Raw materials and supplies 451 430 Inventories $ 2,564 $ 2,345

Property, Plant and Equipment

Property, Plant and Equipment	12 Months Ended
	Dec. 31, 2023
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	The components of property, plant and equipment follow: Useful Lives As of December 31, (MILLIONS OF DOLLARS) (Years) 2023 2022 Land — $ 25 $ 26 Buildings 33.3 - 50 1,316 1,197 Machinery, equipment and fixtures 3 - 20 3,372 3,013 Construction-in-progress — 1,085 814 5,798 5,050 Less: Accumulated depreciation 2,594 2,297 Property, plant and equipment $ 3,204 $ 2,753 Depreciation expense was $306 million in 2023, $272 million in 2022 and $244 million in 2021.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	12 Months Ended
	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Goodwill and Other Intangible Assets	he components of, and changes in, the carrying amount of goodwill follow: (MILLIONS OF DOLLARS) U.S. International Total Balance, December 31, 2021 $ 1,424 $ 1,258 $ 2,682 Additions (a) 61 44 105 Other (c) — (41) (41) Balance, December 31, 2022 $ 1,485 $ 1,261 $ 2,746 Additions (a) 24 14 38 Transfers/Adjustments (b) 25 (34) (9) Other (c) (2) (14) (16) Balance, December 31, 2023 $ 1,532 $ 1,227 $ 2,759 (a) For 2023, primarily relates to the acquisitions of PetMedix and adivo. See Note 5. Acquisitions and Divestitures. For 2022, primarily relates to the acquisitions of Basepaws and Jurox. See Note 5. Acquisitions and Divestitures. (b) For 2023, primarily relates to asset transfers from international markets to the U.S. (c) Includes adjustments for foreign currency translation. In 2023, also includes the sale of a majority interest in our pet insurance business within our U.S. segment. The gross goodwill balance was $3,295 million as of December 31, 2023 and $3,282 million as of December 31, 2022. Accumulated goodwill impairment losses (generated entirely in fiscal 2002) were $536 million as of December 31, 2023 and 2022. B. Other Intangible Assets The components of identifiable intangible assets follow: As of December 31, 2023 As of December 31, 2022 Identifiable Identifiable Gross Intangible Assets, Gross Intangible Assets, Carrying Accumulated Less Accumulated Carrying Accumulated Less Accumulated (MILLIONS OF DOLLARS) Amount Amortization Amortization Amount Amortization Amortization Finite-lived intangible assets: Developed technology rights (a) $ 1,986 $ (1,101) $ 885 $ 1,918 $ (975) $ 943 Brands and tradenames 383 (246) 137 395 (237) 158 Other 270 (190) 80 337 (233) 104 Total finite-lived intangible assets 2,639 (1,537) 1,102 2,650 (1,445) 1,205 Indefinite-lived intangible assets: Brands and tradenames 88 — 88 91 — 91 In-process research and development (a)(b) 141 — 141 77 — 77 Product rights 7 — 7 7 — 7 Total indefinite-lived intangible assets 236 — 236 175 — 175 Identifiable intangible assets $ 2,875 $ (1,537) $ 1,338 $ 2,825 $ (1,445) $ 1,380 (a) During 2023, certain intangible assets related to the acquisition of an Irish biologic therapeutics company, acquired in 2017, were placed into service. (b) As of December 31, 2023, primarily includes intangible assets related to the acquisitions of PetMedix and adivo in 2023. Developed Technology Rights Developed technology rights represent the amortized cost associated with developed technology, which has been acquired from third parties and which can include the right to develop, use, market, sell and/or offer for sale the product, compounds and intellectual property that we have acquired with respect to products, compounds and/or processes that have been completed. These assets include technologies related to the care and treatment of dogs, cats, horses, cattle, swine, poultry, fish and sheep. Brands and Tradenames Brands and tradenames represent the amortized or unamortized cost associated with product name recognition, as the products themselves do not receive patent protection. The most significant finite-lived brands and tradenames are related to Abaxis, Platinum Performance, and Lutalyse. The most significant indefinite-lived brands and tradenames were acquired from SmithKlineBeecham and the Linco family of products. In-Process Research and Development IPR&D assets represent R&D assets that have not yet received regulatory approval in a major market. The majority of these IPR&D assets were acquired in connection with our acquisition of two research and development stage animal health biopharmaceutical companies, PetMedix and adivo. IPR&D assets are required to be classified as indefinite-lived assets until the successful completion or abandonment of the associated R&D effort. Accordingly, during the development period after the date of acquisition, these assets will not be amortized until approval is obtained in a major market, typically either the U.S., U.K. or the EU, or in a series of other countries, subject to certain specified conditions and management judgment. At that time, we will determine the useful life of the asset, reclassify the asset out of IPR&D and begin amortization. If the associated R&D effort is abandoned, the related IPR&D assets will be written-off and we will record an impairment charge. There can be no certainty that IPR&D assets ultimately will yield a successful product. Product Rights Product rights represent product registration and application rights that were acquired from Pfizer in 2014. C. Amortization The weighted average life of our total finite-lived intangible assets is approximately 9 years. Total amortization expense for finite-lived intangible assets was $185 million in 2023, $193 million in 2022 and $204 million in 2021. The annual amortization expense expected for the years 2024 through 2028 is as follows: (MILLIONS OF DOLLARS) 2024 2025 2026 2027 2028 Amortization expense $ 171 $ 159 $ 153 $ 148 $ 119

Benefit Plans

Benefit Plans	12 Months Ended
	Dec. 31, 2023
Retirement Benefits [Abstract]
Benefit Plans	Our employees ceased to participate in the Pfizer U.S. qualified defined benefit and U.S. retiree medical plans effective December 31, 2012 and liabilities associated with our employees under these plans were retained by Pfizer. Pfizer continued to credit certain employees' service with Zoetis generally through December 31, 2017 (or termination of employment from Zoetis, if earlier) for certain early retirement benefits with respect to Pfizer's U.S. defined benefit pension and retiree medical plans. In connection with an employee matters agreement between Pfizer and Zoetis, Zoetis is responsible for payment of three-fifths of the total cost of the service credit continuation ($38 million) for these plans and Pfizer is responsible for the remaining two-fifths of the total cost ($25 million). The $25 million capital contribution from Pfizer and corresponding contra-equity account (which is being reduced as the service credit continuation is incurred) is included in Employee benefit plan contribution from Pfizer Inc. in the Consolidated Statements of Equity. The balance in the contra-equity account was $0 million as of December 31, 2023 and 2022. The amount of the service cost continuation payment to be paid by Zoetis to Pfizer was determined and fixed based on an actuarial assessment of the value of the grow-in benefits and was being paid in equal installments over a period of 10 years. As of December 31, 2023, there are no remaining payments due to Pfizer. Pension and postretirement benefit expense associated with the extended service for certain employees in the U.S. plans totaled $0 million in 2023 and $6 million in 2022. Pension expense associated with the U.S. and certain significant international locations (inclusive of service cost grow-in benefits discussed above) totaled $6 million in 2023, $12 million in 2022 and $14 million in 2021. A. International Pension Plans Information about the dedicated pension plans, including the plans transferred to us as part of the separation from Pfizer, is provided in the tables below. Obligations and Funded Status––Dedicated Plans The following table provides an analysis of the changes in the benefit obligations, plan assets and funded status of our dedicated pension plans (including those transferred to us): As of and for the Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 Change in benefit obligation: Projected benefit obligation, beginning $ 122 $ 159 Service cost 5 6 Interest cost 5 2 Changes in actuarial assumptions and other (4) (27) Settlements and curtailments — (3) Benefits paid (3) (1) Adjustments for foreign currency translation 5 (13) Other––net (1) (1) Benefit obligation, ending 129 122 Change in plan assets: Fair value of plan assets, beginning 78 92 Actual return on plan assets 3 (4) Company contributions 6 4 Settlements and curtailments — (3) Benefits paid (3) (1) Adjustments for foreign currency translation 2 (9) Other––net — (1) Fair value of plan assets, ending 86 78 Funded status—Projected benefit obligation in excess of plan assets at end of year (a) $ (43) $ (44) (a) Included in Other noncurrent liabilities . Changes in the benefit obligation resulted in a net gain of $4 million in 2023 and $27 million in 2022. Actuarial gains were $4 million ($4 million, net of tax) at December 31, 2023 and $6 million ($3 million, net of tax) at December 31, 2022. The actuarial gains and losses primarily represent the cumulative difference between the actuarial assumptions and actual return on plan assets, changes in discount rates and changes in other assumptions used in measuring the benefit obligations. These actuarial gains and losses are recognized in Accumulated other comprehensive loss . The actuarial losses will be amortized into net periodic benefit costs over an average period of 10.1 years. Information related to the funded status of selected plans follows: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 Pension plans with an accumulated benefit obligation in excess of plan assets: Fair value of plan assets $ 8 $ 7 Accumulated benefit obligation 45 40 Pension plans with a projected benefit obligation in excess of plan assets: Fair value of plan assets 64 58 Projected benefit obligation 109 103 Net Periodic Benefit Costs––Dedicated Plans The following table provides the net periodic benefit cost associated with dedicated pension plans (including those transferred to us): Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Service cost $ 5 $ 6 $ 8 Interest cost 5 2 2 Expected return on plan assets (4) (3) (3) Amortization of net losses — 1 1 Net periodic benefit cost $ 6 $ 6 $ 8 Actuarial Assumptions––Dedicated Plans The following table provides the weighted average actuarial assumptions for the dedicated pension plans (including those transferred to us): As of December 31, (PERCENTAGES) 2023 2022 2021 Weighted average assumptions used to determine benefit obligations: Discount rate 4.2 % 3.7 % 1.4 % Rate of compensation increase 3.6 % 3.5 % 3.4 % Cash balance credit interest rate 1.6 % 1.7 % 1.5 % Weighted average assumptions used to determine net benefit cost for the year ended December 31: Discount rate 3.7 % 1.4 % 1.2 % Expected return on plan assets 4.7 % 3.3 % 3.8 % Rate of compensation increase 3.5 % 3.4 % 3.1 % Cash balance credit interest rate 1.7 % 1.5 % 1.5 % The assumptions above are used to develop the benefit obligations at the end of the year and to develop the net periodic benefit cost for the following year. Therefore, the assumptions used to determine the net periodic benefit cost for each year are established at the end of each previous year, while the assumptions used to determine the benefit obligations are established at each year-end. The net periodic benefit cost and the benefit obligations are based on actuarial assumptions that are reviewed on an annual basis. The assumptions are revised based on an annual evaluation of long-term trends, as well as market conditions that may have an impact on the cost of providing retirement benefits. Actuarial and other assumptions for pension plans can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For a description of the risks associated with estimates and assumptions, see Note 3. Significant Accounting Policies—Estimates and Assumptions . Plan Assets—Dedicated Plans The components of plan assets follow: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 Cash and cash equivalents $ 1 $ 2 Equity securities: Equity commingled funds 34 29 Debt securities: Government bonds 40 38 Other investments 11 9 Total (a) $ 86 $ 78 (a) Fair values are determined based on valuation inputs categorized as Level 1, 2 or 3 (see Note 3. Significant Accounting Policies—Fair Value ). Investment plan assets are valued using Level 1 or Level 2 inputs. A single estimate of fair value can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Note 3. Significant Accounting Policies—Estimates and Assumptions. Specifically, the following methods and assumptions were used to estimate the fair value of our pension assets: • Equity commingled funds––observable market prices (Level 1). • Government bonds and other investments––principally observable market prices (Level 2). The long-term target asset allocations and the percentage of the fair value of plans assets for dedicated benefit plans follow: As of December 31, Target allocation percentage Percentage of Plan Assets (PERCENTAGES) 2023 2023 2022 Cash and cash equivalents 0-10% 1.7 % 2.3 % Equity securities 0-60% 39.4 % 37.7 % Debt securities 15-100% 46.9 % 48.0 % Other investments 0-100% 12.0 % 12.0 % Total 100% 100 % 100 % Zoetis utilizes long-term asset allocation ranges in the management of our plans’ invested assets. Long-term return expectations are developed with input from outside investment consultants based on the company’s investment strategy, which takes into account historical experience, as well as the impact of portfolio diversification, active portfolio management, and the investment consultant’s view of current and future economic and financial market conditions. As market conditions and other factors change, the targets may be adjusted accordingly and actual asset allocations may vary from the target allocations. The long-term asset allocation ranges reflect the asset class return expectations and tolerance for investment risk within the context of the respective plans’ long-term benefit obligations. These ranges are supported by an analysis that incorporates historical and expected returns by asset class, as well as volatilities and correlations across asset classes and our liability profile. This analysis, referred to as an asset-liability analysis, also provides an estimate of expected returns on plan assets, as well as a forecast of potential future asset and liability balances. The investment consultants review investment performance with Zoetis on a quarterly basis in total, as well as by asset class, relative to one or more benchmarks. Cash Flows—Dedicated Plans Our plans are generally funded in amounts that are at least sufficient to meet the minimum requirements set forth in applicable employee benefit laws and local tax and other laws. We expect to contribute approximately $7 million to our dedicated pension plans in 2024. Benefit payments are expected to be approximately $7 million for 2024, $6 million for 2025, $11 million for 2026, $7 million for 2027 and $7 million for 2028. Benefit payments are expected to be approximately $53 million in the aggregate for the five years thereafter. These expected benefit payments reflect the future plan benefits subsequent to 2024 projected to be paid from the plans or from the general assets of Zoetis entities under the current actuarial assumptions used for the calculation of the projected benefit obligation and, therefore, actual benefit payments may differ from projected benefit payments. B. Postretirement Plans Postretirement benefit expense associated with these U.S. retiree medical plans totaled $0 million in 2023, and $4 million per year in 2022 and 2021 (inclusive of service cost grow-in benefits discussed above). C. Defined Contribution Plans Zoetis has a voluntary defined contribution plan, the Zoetis Savings Plan (ZSP) that allows participation by substantially all U.S. employees. Zoetis matches 100% of employee contributions, up to a maximum of 5% of each employee’s eligible compensation. The ZSP also includes a profit-sharing feature that provides for an additional contribution ranging between 0 and 8 percent of each employee’s eligible compensation. All eligible employees receive the profit-sharing contribution regardless of the amount they choose to contribute to the ZSP. The profit-sharing contribution is a discretionary amount provided by Zoetis and is determined on an annual basis. Employees can direct their contributions and the company's matching and profit-sharing contributions into any of the funds offered. These funds provide participants with a cross section of investing options, including the Zoetis stock fund. The matching and profit-sharing contributions are cash funded. Employees are permitted to diversify all or any portion of their company matching or profit-sharing contribution. Once the contributions have been paid, Zoetis has no further payment obligations. Contribution expense, associated with the ZSP, totaled $69 million in 2023, $57 million in 2022 and $54 million in 2021. Employees in the U.S. who meet certain eligibility requirements participate in a supplemental (non-qualified) savings plan sponsored by Zoetis. The cost/(benefit) of the supplemental savings plan was $11 million in 2023, $(9) million in 2022 and $12 million in 2021. Benefit payments for this plan are expected to be approximately $5 million in 2024 and $46 million thereafter.

Share-Based Payments

Share-Based Payments	12 Months Ended
	Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]
Share-Based Payments	The Zoetis 2013 Equity and Incentive Plan, Amended and Restated as of May 19, 2022 (Equity Plan), provides long-term incentives to our employees and non-employee directors. The principal types of share-based awards available under the Equity Plan may include, but are not limited to, stock options, restricted stock and restricted stock units (RSUs), deferred stock units (DSUs), performance-vesting restricted stock units (PSUs), and other equity-based or cash-based awards. Thirty million shares of stock were approved and registered with the Securities and Exchange Commission for grants to participants under the Equity Plan. The shares reserved may be used for any type of award under the Equity Plan. At December 31, 2023, the aggregate number of remaining shares available for future grant under the Equity Plan was approximately 14 million shares. A. Share-Based Compensation Expense The components of share-based compensation expense follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Stock options / stock appreciation rights $ 8 $ 10 $ 9 RSUs / DSUs 37 34 33 PSUs 15 18 16 Share-based compensation expense—total (a) $ 60 $ 62 $ 58 Tax benefit for share-based compensation expense (8) (8) (7) Share-based compensation expense, net of tax $ 52 $ 54 $ 51 (a) For each of the years ended December 31, 2023, 2022 and 2021, we capitalized up to $1 million of share-based compensation expense to inventory. B. Stock Options Stock options represent the right to purchase shares of our common stock within a specified period of time at a specified price. The exercise price for a stock option will be not less than 100% of the fair market value of the common stock as of the NYSE market close on the date of grant. Stock options granted may include those intended to be “incentive stock options” within the meaning of Section 422 of the U.S. Internal Revenue Code of 1986 (the Code). Stock options are accounted for using a fair-value-based method at the date of grant in the Consolidated Statements of Income. The values determined through this fair-value-based method generally are amortized on a straight-line basis over the vesting term. Eligible employees may receive Zoetis stock option awards. Zoetis stock option awards granted prior to 2023 generally vest after three years of continuous service from the date of grant and have a contractual term of 10 years while stock option awards granted in 2023 are subject to graded vesting over three years from the date of grant and have a contractual term of 10 years. The fair-value-based method for valuing each Zoetis stock option grant on the grant date uses the Black-Scholes-Merton option-pricing model, which incorporates a number of valuation assumptions noted in the following table, shown at their weighted-average values: Year Ended December 31, 2023 2022 2021 Expected dividend yield (a) 0.92 % 0.64 % 0.62 % Risk-free interest rate (b) 3.84 % 1.81 % 0.53 % Expected stock price volatility (c) 28.63 % 27.64 % 27.94 % Expected term (d) (years) 4.2 4.9 5.0 (a) Determined using a constant dividend yield during the expected term of the Zoetis stock option. (b) Determined using the interpolated yield on U.S. Treasury zero-coupon issues. (c) Determined using an equal weighting between historical volatility of the Zoetis stock price and implied volatility. The selection of the blended historical and implied volatility approach was based on our assessment that this calculation of expected volatility is more representative of future stock price trends. (d) Determined using expected exercise and post-vesting termination patterns. The following table provides an analysis of stock option activity for the year ended December 31, 2023: Weighted-Average Remaining Aggregate Weighted-Average Contractual Term Intrinsic Value (a) Shares Exercise Price (Years) (Millions) Outstanding, December 31, 2022 2,067,606 $ 95.32 Granted 271,150 162.12 Exercised (695,987) 59.89 Forfeited (116,267) 150.66 Outstanding, December 31, 2023 1,526,502 $ 119.13 5.5 $ 120 Exercisable, December 31, 2023 858,314 $ 77.31 3.5 $ 103 (a) Market price of underlying Zoetis common stock less exercise price. As of December 31, 2023, there was approximately $10 million of unrecognized compensation costs related to nonvested stock options, which will be recognized over an expected remaining weighted-average period of nine months. The following table summarizes data related to stock option activity: Year Ended/As of December 31, (MILLIONS OF DOLLARS, EXCEPT PER STOCK OPTION AMOUNTS) 2023 2022 2021 Weighted-average grant date fair value per stock option $ 43.56 $ 51.13 $ 37.81 Aggregate intrinsic value on exercise 81 31 87 Cash received upon exercise 42 15 36 Tax benefits realized related to exercise 17 19 34 C. Restricted Stock Units (RSUs) Restricted stock units represent the right to receive a share of our common stock that is subject to a risk of forfeiture until the restrictions lapse at the end of the vesting period subject to the recipient's continued employment. RSUs accrue dividend equivalent units and are paid in shares of our common stock upon vesting (or cash determined by reference to the value of our common stock). RSUs are accounted for using a fair-value-based method that utilizes the closing price of Zoetis common stock on the date of grant. Zoetis RSUs granted prior to 2023 generally vest after three years of continuous service from the grant date while RSUs granted in 2023 are subject to graded vesting over three years. These values are amortized on a straight-line basis over the vest terms. The following table provides an analysis of RSU activity for the year ended December 31, 2023: Weighted-Average RSUs Grant Date Fair Value Nonvested, December 31, 2022 620,598 $ 169.24 Granted 275,664 162.63 Vested (201,011) 145.80 Reinvested dividend equivalents 6,036 171.21 Forfeited (45,436) 171.72 Nonvested, December 31, 2023 655,851 $ 173.49 As of December 31, 2023, there was approximately $45 million of unrecognized compensation costs related to nonvested RSUs, which will be recognized over an expected remaining weighted-average period of ten months. D. Deferred Stock Units (DSUs) Deferred stock units, which were granted to non-employee compensated Directors in 2013 and 2014, represent the right to receive shares of our common stock at a future date. The DSU awards will be automatically settled and paid in shares within 60 days following the Director’s separation from service on the Board of Directors. DSUs are accounted for using a fair-value-based method that utilizes the closing price of Zoetis common stock on the date of grant. DSUs vested immediately as of the grant date and the values were expensed at the time of grant into Selling, general and administrative expenses . For the years ended December 31, 2023 and 2022, there were no DSUs granted. As of December 31, 2023 and 2022, there were 65,654 and 65,071 DSUs outstanding, respectively, including dividend equivalents. E. Performance-Vesting Restricted Stock Units (PSUs) Performance-vesting restricted stock units, which are granted to eligible senior management, represent the right to receive a share of our common stock that is subject to a risk of forfeiture until the restrictions lapse, which include continued employment through the end of the vesting period and the attainment of performance goals. PSUs represent the right to receive shares of our common stock in the future (or cash determined by reference to the value of our common stock). PSUs are accounted for using a Monte Carlo simulation model. The units underlying the PSUs will be earned and vested over a three-year performance period, based upon the total shareholder return of the company in comparison to the total shareholder return of the companies comprising the S&P 500 index at the start of the performance period, excluding companies that during the performance period are acquired or are no longer publicly traded (Relative TSR). The weighted-average fair value was estimated based on volatility assumptions of Zoetis common stock and an average of peer companies, which were 38.1% and 40.9%, respectively, in 2023, and 28.4% and 38.1%, respectively, in 2022. Depending on the company’s Relative TSR performance at the end of the performance period, the recipient may earn between 0% and 200% of the target number of units. Vested units, including dividend equivalent units, are paid in shares of the company’s common stock. PSU values are amortized on a straight-line basis over the vesting term. The following table provides an analysis of PSU activity for the year ended December 31, 2023: Weighted-Average PSUs Grant Date Fair Value Nonvested, December 31, 2022 253,044 $ 221.59 Granted 99,626 238.24 Vested (65,578) 217.66 Reinvested dividend equivalents 2,392 226.48 Forfeited (37,704) 223.30 Nonvested, December 31, 2023 251,780 $ 228.99 Shares issued, December 31, 2023 64,673 $ 217.49 As of December 31, 2023, there was approximately $25 million of unrecognized compensation costs related to nonvested PSUs, which will be recognized over an expected remaining weighted-average period of 1.2 years. F. Other Equity-Based or Cash-Based Awards Our Compensation Committee is authorized to grant awards in the form of other equity-based awards or other cash-based awards, as deemed to be consistent with the purposes of the Equity Plan.

Stockholders' Equity

Stockholders' Equity	12 Months Ended
	Dec. 31, 2023
Equity, Attributable to Parent [Abstract]
Stockholders' Equity	Zoetis is authorized to issue 6 billion shares of common stock and 1 billion shares of preferred stock. In December 2021, our Board of Directors authorized a $3.5 billion share repurchase program. As of December 31, 2023, there was $1.5 billion remaining under this authorization. Purchases of Zoetis shares may be made at the discretion of management, depending on market conditions and business needs. Accumulated other comprehensive loss Changes, net of tax, in accumulated other comprehensive loss, excluding noncontrolling interest, follow: Currency Translation Adjustments Benefit Plans Accumulated Other Cash Flow Net Investment Other Currency Actuarial Comprehensive (MILLIONS OF DOLLARS) Hedges Hedges Translation Adj (Losses)/Gains Loss Balance, December 31, 2020 $ (15) $ (37) $ (655) $ (23) $ (730) Other comprehensive gain/(loss), net of tax 19 42 (101) 6 (34) Balance, December 31, 2021 4 5 (756) (17) (764) Other comprehensive gain/(loss), net of tax 86 36 (188) 13 (53) Balance, December 31, 2022 90 41 (944) (4) (817) Other comprehensive (loss)/gain, net of tax (5) (23) — 6 (22) Balance, December 31, 2023 $ 85 $ 18 $ (944) $ 2 $ (839)

Earnings Per Share

Earnings Per Share	12 Months Ended
	Dec. 31, 2023
Earnings Per Share [Abstract]
Earnings per Share	following table presents the calculation of basic and diluted earnings per share: Year Ended December 31, (MILLIONS OF DOLLARS AND SHARES, EXCEPT PER SHARE DATA) 2023 2022 2021 Numerator Net income before allocation to noncontrolling interests $ 2,340 $ 2,111 $ 2,034 Less: net loss attributable to noncontrolling interests (4) (3) (3) Net income attributable to Zoetis Inc. $ 2,344 $ 2,114 $ 2,037 Denominator Weighted-average common shares outstanding 461.172 468.891 474.348 Common stock equivalents: stock options, RSUs, DSUs and PSUs 1.097 1.494 2.369 Weighted-average common and potential dilutive shares outstanding 462.269 470.385 476.717 Earnings per share attributable to Zoetis Inc. stockholders—basic $ 5.08 $ 4.51 $ 4.29 Earnings per share attributable to Zoetis Inc. stockholders—diluted $ 5.07 $ 4.49 $ 4.27 The number of stock options outstanding under the company's Equity Plan that were excluded from the computation of diluted earnings per share, as the effect would have been antidilutive, were not material for the years ended December 31, 2023, 2022 and 2021.

Commitments and Contingencies

Commitments and Contingencies	12 Months Ended
	Dec. 31, 2023
Commitments and Contingencies Disclosure [Abstract]
Commitments and Contingencies	18. Commitments and Contingencies We and certain of our subsidiaries are subject to numerous contingencies arising in the ordinary course of business. For a discussion of our tax contingencies, see Note 8. Tax Matters . A. Legal Proceedings Our non-tax contingencies include, among others, the following: • Product liability and other product-related litigation, which can include injury, consumer, off-label promotion, antitrust and breach of contract claims. • Commercial and other matters, which can include product-pricing claims and environmental claims and proceedings. • Patent litigation, which typically involves challenges to the coverage and/or validity of our patents or those of third parties on various products or processes. • Government investigations, which can involve regulation by national, state and local government agencies in the U.S. and in other countries. Certain of these contingencies could result in losses, including damages, fines and/or civil penalties, and/or criminal charges, which could be substantial. We believe that we have strong defenses in these types of matters, but litigation is inherently unpredictable and excessive verdicts do occur. We do not believe that any of these matters will have a material adverse effect on our financial position. However, we could incur judgments, enter into settlements or revise our expectations regarding the outcome of certain matters, and such developments could have a material adverse effect on our results of operations or cash flows in the period in which the amounts are paid. We have accrued for losses that are both probable and reasonably estimable. Substantially all of these contingencies are subject to significant uncertainties and, therefore, determining the likelihood of a loss and/or the measurement of any loss can be complex. Consequently, we are unable to estimate the range of reasonably possible loss in excess of amounts accrued. Our assessments are based on estimates and assumptions that have been deemed reasonable by management, but the assessment process relies on estimates and assumptions that may prove to be incomplete or inaccurate, and unanticipated events and circumstances may occur that might cause us to change those estimates and assumptions. Amounts recorded for legal and environmental contingencies can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. The principal matters to which we are a party are discussed below. In determining whether a pending matter is significant for financial reporting and disclosure purposes, we consider both quantitative and qualitative factors in order to assess materiality, such as, among other things, the amount of damages and the nature of any other relief sought in the proceeding, if such damages and other relief are specified; our view of the merits of the claims and of the strength of our defenses; whether the action purports to be a class action and our view of the likelihood that a class will be certified by the court; the jurisdiction in which the proceeding is pending; any experience that we or, to our knowledge, other companies have had in similar proceedings; whether disclosure of the action would be important to a reader of our financial statements, including whether disclosure might change a reader’s judgment about our financial statements in light of all of the information about the company that is available to the reader; the potential impact of the proceeding on our reputation; and the extent of public interest in the matter. In addition, with respect to patent matters, we consider, among other things, the financial significance of the product protected by the patent. Ulianopolis, Brazil In February 2012, the Municipality of Ulianopolis (State of Para, Brazil) filed a complaint against Fort Dodge Saúde Animal Ltda. (FDSAL), a Zoetis entity, and five other large companies alleging that waste sent to a local waste incineration facility for destruction, but that was not ultimately destroyed as the facility lost its operating permit, caused environmental impacts requiring cleanup. The Municipality is seeking recovery of cleanup costs purportedly related to FDSAL's share of all waste accumulated at the incineration facility awaiting destruction, and compensatory damages to be allocated among the six defendants. We believe we have strong arguments against the claim, including defense strategies against any claim of joint and several liability. At the request of the Municipal prosecutor, in April 2012, the lawsuit was suspended for one year. Since that time, the prosecutor has initiated investigations into the Municipality's actions in the matter as well as the efforts undertaken by the six defendants to remove and dispose of their individual waste from the incineration facility. On October 3, 2014, the Municipal prosecutor announced that the investigation remained ongoing and outlined the terms of a proposed Term of Reference (a document that establishes the minimum elements to be addressed in the preparation of an Environmental Impact Assessment), under which the companies would be liable to withdraw the waste and remediate the area. On March 5, 2015, we presented our response to the prosecutor’s proposed Term of Reference, arguing that the proposed terms were overly general in nature and expressing our interest in discussing alternatives to address the matter. The prosecutor agreed to consider our request to engage a technical consultant to conduct an environmental diagnostic of the contaminated area. On May 29, 2015, we, in conjunction with the other defendant companies, submitted a draft cooperation agreement to the prosecutor, which outlined the proposed terms and conditions for the engagement of a technical consultant to conduct the environmental diagnostic. On August 19, 2016, the parties and the prosecutor agreed to engage the services of a third-party consultant to conduct a limited environmental assessment of the site. The site assessment was conducted during June 2017, and a written report summarizing the results of the assessment was provided to the parties and the prosecutor in November 2017. The report noted that waste is still present on the site and that further (Phase II) environmental assessments are needed before a plan to manage that remaining waste can be prepared. On April 1, 2019, the defendants met with the Prosecutor to discuss the conclusions set forth in the written report. Following that discussion, on April 10, 2019, the Prosecutor issued a procedural order requesting that the defendants prepare and submit a technical proposal outlining the steps needed to conduct the additional Phase II environmental assessments. The defendants presented the technical proposal to the Prosecutor on October 21, 2019. On March 3, 2020, the Prosecutor notified the defendants that he submitted the proposal to the Ministry of the Environment for its review and consideration by the Prosecutor. On July 15, 2020, the Prosecutor recommended certain amendments to the proposal for the Phase II testing. On September 28, 2020, the parties and the Prosecutor agreed to the final terms and conditions concerning the cooperation agreement with respect to the Phase II testing. Due to the ongoing issues presented by the COVID-19 pandemic, the parties have been unable to secure a start date for the Phase II testing and have no timeline at this point when testing will begin. Belgium Excess Profit Tax Regime On February 14, 2019, the General Court of the European Union (General Court) annulled the January 11, 2016 decision of the European Commission (EC) that selective tax advantages granted by Belgium under its “excess profit” tax scheme constitute illegal state aid. As a result of the 2016 decision, the company recorded a net tax charge of approximately $35 million in the first half of 2016. After several appeals and judgements, on September 20, 2023, the General Court confirmed the decision of the EC that the Belgium excess profit tax scheme constitutes illegal state aid. We have filed an appeal of the General Court’s decision. The company has not reflected any potential benefits in its consolidated financial statements as of December 31, 2023 as a result of the 2019 annulment. We will continue to monitor the developments of the appeal and its ultimate resolution. B. Guarantees and Indemnifications In the ordinary course of business and in connection with the sale of assets and businesses, we indemnify our counterparties against certain liabilities that may arise in connection with the transaction or related to activities prior to the transaction. These indemnifications typically pertain to environmental, tax, employee and/or product-related matters and patent-infringement claims. If the indemnified party were to make a successful claim pursuant to the terms of the indemnification, we would be required to reimburse the loss. These indemnifications are generally subject to threshold amounts, specified claim periods and other restrictions and limitations. Historically, we have not paid significant amounts under these provisions and, as of December 31, 2023, recorded amounts for the estimated fair value of these indemnifications were not material. C. Purchase Commitments As of December 31, 2023, we have agreements totaling $336 million to purchase goods and services, as well as commitments for capital expenditures, that are enforceable and legally binding and include amounts relating to contract manufacturing, information technology services and site acquisitions deemed reasonably likely to occur. Payments for these obligations are expected to be approximately $200 million in 2024 and $136 million thereafter.

Segment Information

Segment Information	12 Months Ended
	Dec. 31, 2023
Segment Reporting [Abstract]
Segment Information	We manage our operations through two geographic regions. Each operating segment has responsibility for its commercial activities. Within each of these operating segments, we offer a diversified product portfolio, including parasiticides, vaccines, dermatology, other pharmaceutical, anti-infectives, animal health diagnostics and medicated feed additives, for both companion animal and livestock customers. Operating Segments Our operating segments are the U.S. and International. Our chief operating decision maker uses the revenue and earnings of the two operating segments, among other factors, for performance evaluation and resource allocation. Other Costs and Business Activities Certain costs are not allocated to our operating segment results, such as costs associated with the following: • Other business activities , includes our CSS contract manufacturing results, our human health business, and expenses associated with our dedicated veterinary medicine research and development organization, research alliances, U.S. regulatory affairs and other operations focused on the development of our products. Other R&D-related costs associated with non-U.S. market and regulatory activities are generally included in the international commercial segment. • Corporate , includes enabling functions such as information technology, facilities, legal, finance, human resources, business development, certain diagnostic costs and communications, among others. These costs also include certain compensation costs, certain procurement costs and other miscellaneous operating expenses not charged to our operating segments, as well as interest income and expense. • Certain transactions and events such as (i) Purchase accounting adjustments , where we incur expenses associated with the amortization of fair value adjustments to inventory, intangible assets and property, plant and equipment; (ii) Acquisition-related activities , where we incur costs associated with acquiring and integrating newly acquired businesses, such as transaction costs and integration costs; and (iii) Certain significant items , which comprise substantive, unusual items that, either as a result of their nature or size, would not be expected to occur as part of our normal business on a regular basis, such as restructuring charges and implementation costs associated with our cost-reduction/productivity initiatives that are not associated with an acquisition, certain asset impairment charges, certain legal and commercial settlements and the impact of divestiture-related gains and losses. • Other unallocated includes (i) certain overhead expenses associated with our global manufacturing operations not charged to our operating segments; (ii) certain costs associated with finance that specifically support our global manufacturing operations; (iii) certain supply chain and global logistics costs; and (iv) certain procurement costs. Segment Assets We manage our assets on a total company basis, not by operating segment. Therefore, our chief operating decision maker does not regularly review any asset information by operating segment and, accordingly, we do not report asset information by operating segment. Total assets were approximately $14.3 billion and $14.9 billion at December 31, 2023 and 2022, respectively. Selected Statement of Income Information Earnings Depreciation and Amortization (a) Year Ended December 31, Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 2023 2022 2021 U.S. Revenue $ 4,555 $ 4,313 $ 4,042 Cost of Sales 900 803 788 Gross Profit 3,655 3,510 3,254 Gross Margin 80.2 % 81.4 % 80.5 % Operating Expenses 786 765 681 Other (income)/deductions-net 6 (18) 4 U.S. Earnings 2,863 2,763 2,569 $ 80 $ 55 $ 54 International Revenue (b) 3,911 3,681 3,652 Cost of Sales 1,234 1,083 1,106 Gross Profit 2,677 2,598 2,546 Gross Margin 68.4 % 70.6 % 69.7 % Operating Expenses 638 611 602 Other (income)/deductions-net 2 (3) (4) International Earnings 2,037 1,990 1,948 92 86 74 Total operating segments 4,900 4,753 4,517 172 141 128 Other business activities (496) (424) (406) 33 28 28 Reconciling Items: Corporate (1,042) (1,073) (1,052) 128 132 115 Purchase accounting adjustments (159) (160) (175) 153 159 175 Acquisition-related costs (9) (5) (12) — — — Certain significant items (c) 33 (56) (73) — — — Other unallocated (291) (379) (311) 5 5 2 Total Earnings (d) $ 2,936 $ 2,656 $ 2,488 $ 491 $ 465 $ 448 (a) Certain production facilities are shared. Depreciation and amortization is allocated to the reportable operating segments based on estimates of where the benefits of the related assets are realized. (b) Revenue denominated in euros was $853 million in 2023, $774 million in 2022 and $814 million in 2021. (c) For 2023, certain significant items primarily consisted of a gain on the sale of a majority interest in our pet insurance business of $101 million, partially offset by employee termination and exit costs related to organizational structure refinements of $43 million and certain asset impairment charges primarily related to our precision animal health and diagnostics businesses of $24 million. For 2022, certain significant items primarily represents inventory and asset impairment charges related to customer relationships, developed technology rights and property, plant and equipment in our diagnostics, poultry, cattle and swine businesses and the consolidation of manufacturing sites in China of $47 million, as well as employee termination and exit costs associated with cost-reduction and productivity initiatives in certain international markets of $4 million. For 2021, certain significant items primarily included certain asset impairment charges of $46 million, as well as employee termination costs associated with our international operations and other costs associated with cost-reduction and productivity initiatives of $24 million. (d) Defined as income before provision for taxes on income. B. Geographic Information Property, plant and equipment, less accumulated depreciation, by geographic region follow: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 U.S. $ 2,092 $ 1,820 International 1,112 933 Property, plant and equipment, less accumulated depreciation $ 3,204 $ 2,753

Schedule II - Valuation and Qua

Schedule II - Valuation and Qualifying Accounts	12 Months Ended
	Dec. 31, 2023
Receivables [Abstract]
Schedule II - Valuation and Qualifying Accounts	Schedule II—Valuation and Qualifying Accounts Balance, Balance, Beginning of End of (MILLIONS OF DOLLARS) Period Additions Deductions Period Year Ended December 31, 2023 Allowance for doubtful accounts $ 19 $ — $ (1) $ 18 Year Ended December 31, 2022 Allowance for doubtful accounts $ 17 $ 4 $ (2) $ 19 Year Ended December 31, 2021 Allowance for doubtful accounts $ 20 $ 1 $ (4) $ 17

Pay vs Performance Disclosure

Pay vs Performance Disclosure - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Pay vs Performance Disclosure
Net Income (Loss) Attributable to Parent	$ 2,344	$ 2,114	$ 2,037

Insider Trading Arrangements

Insider Trading Arrangements	3 Months Ended	12 Months Ended
	Dec. 31, 2023 shares	Dec. 31, 2023 shares
Trading Arrangements, by Individual
Non-Rule 10b5-1 Arrangement Adopted	false
Rule 10b5-1 Arrangement Terminated	false
Non-Rule 10b5-1 Arrangement Terminated	false
Heidi Chen [Member]
Trading Arrangements, by Individual
Material Terms of Trading Arrangement		Heidi Chen, Executive Vice President, General Counsel and Corporate Secretary; Business Lead of Human Health Diagnostics, adopted a pre-arranged trading plan on December 15, 2023, that is intended to satisfy the affirmative defense of Rule 10b5-1(c) under the Securities Exchange Act of 1934, as amended. Ms. Chen's plan provides for the sale of up to 8,310 shares of Zoetis common stock between March 15, 2024 and March 13, 2026.
Name	Heidi Chen
Title	Executive Vice Presiden
Rule 10b5-1 Arrangement Adopted	true
Adoption Date	December 15, 2023
Aggregate Available	8,310	8,310

Significant Accounting Polici_2

Significant Accounting Policies (Policies)	12 Months Ended
	Dec. 31, 2023
Accounting Policies [Abstract]
Recently Adopted Accounting Standards and Recently Issued Accounting Standards	Recently Adopted Accounting Standards In March 2020, the FASB issued ASU No. 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting. In January 2021 and December 2022, it issued subsequent amendments to the initial guidance: ASU No. 2021-01 and ASU No. 2022-06, Reference Rate Reform (Topic 848). The new guidance provides temporary optional expedients and exceptions for applying GAAP to contracts, hedging relationships, and other transactions that reference the London Interbank Offered Rate (LIBOR) or another reference rate expected to be discontinued because of reference rate reform. Adoption of the guidance is optional and effective as of March 12, 2020, but only available through December 31, 2024. During the first quarter of 2023, we adopted the guidance by executing amendments to our affected contracts that referenced LIBOR. The adoption did not have a material impact on our consolidated financial statements or related disclosures.
Estimates and Assumptions	Estimates and Assumptions In preparing the consolidated financial statements, we use certain estimates and assumptions that affect reported amounts and disclosures, including amounts recorded in connection with acquisitions. These estimates and underlying assumptions can impact all elements of our consolidated financial statements. For example, in the Consolidated Statements of Income, estimates are used when accounting for deductions from revenue (such as rebates, sales allowances, product returns and discounts), determining cost of sales, allocating cost in the form of depreciation and amortization, and estimating restructuring charges and the impact of contingencies. On the Consolidated Balance Sheets, estimates are used in determining the valuation and recoverability of assets, such as accounts receivables, inventories, fixed assets, goodwill and other identifiable intangible assets, and estimates are used in determining the reported amounts of liabilities, such as taxes payable, uncertain tax positions, benefit obligations, the impact of contingencies, deductions from revenue and restructuring reserves, all of which also impact the Consolidated Statements of Income. Our estimates are often based on complex judgments, probabilities and assumptions that we believe to be reasonable but that can be inherently uncertain and unpredictable. If our estimates and assumptions are not representative of actual outcomes, our results could be materially impacted.
Acquisitions	Acquisitions Our consolidated financial statements include the operations of acquired businesses from the date of acquisition. We account for acquired businesses using the acquisition method of accounting, which requires, among other things, that most assets acquired and liabilities assumed be recognized at their estimated fair values as of the acquisition date and that the fair value of acquired in-process research and development (IPR&D) be recorded on the balance sheet. Transaction costs are expensed as incurred. Any excess of the consideration transferred over the assigned values of the net assets acquired is recorded as goodwill. When we acquire net assets that do not constitute a business as defined in U.S. GAAP, no goodwill is recognized. Amounts recorded for acquisitions can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions
Lessee, Leases [Policy Text Block]	Leases We determine if a contract contains a lease at inception. Leases are recorded as a right of use asset, as of the lease commencement date, in an amount equal to the present value of future payments over the lease term. A corresponding lease liability is also recorded. We have elected not to recognize right of use assets and lease liabilities for short-term leases of vehicles and equipment with a lease term of twelve months or less. Options to extend or terminate a lease are considered in the lease term to the extent that the option is reasonably certain of exercise. The present value of future payments is discounted using the rate implicit in the lease, when available. When the implicit rate is not available, as is frequently the case with our lease portfolio, the present value is calculated using our incremental borrowing rate, which is determined on the commencement date. The incremental borrowing rate represents the rate of interest that we would expect to pay on a collateralized basis to borrow an amount equal to the lease payments under similar terms. As we do not borrow on a collateralized basis, our non-collateralized borrowing rate is used as an input in deriving the incremental borrowing rate. Our lease portfolio primarily consists of operating leases, in which fixed lease payments are recognized on a straight-line basis over the lease term. Operating lease assets are recorded within Operating lease right of use assets with the corresponding operating lease liabilities recorded within Other current liabilities and Operating lease liabilities on the Consolidated Balance Sheets. Finance lease assets are recorded within Other noncurrent assets with the corresponding finance lease liabilities recorded within Other current liabilities and Other noncurrent liabilities on the Consolidated Balance Sheets. Variable payments are recognized in the period incurred. Variable lease payments include real estate taxes and charges for other non-lease services due to lessors that are not dependent on an index or rate and utilization based charges associated with fleet vehicles.
Foreign Currency Translation	Foreign Currency Translation For most of our international operations, local currencies have been determined to be the functional currencies. We translate functional currency assets and liabilities to their U.S. dollar equivalents at exchange rates in effect at the balance sheet date and we translate functional currency income and expense amounts to their U.S. dollar equivalents at average exchange rates for the period. The U.S. dollar effects that arise from changing translation rates are recorded in Other comprehensive income/(loss), net of tax. The effects of converting non-functional currency assets and liabilities into the functional currency are recorded in Other (income)/deductions––net. For operations in highly inflationary economies, we translate monetary items at rates in effect at the balance sheet date, with translation adjustments recorded in Other (income)/deductions––net
Revenue, Deductions form Revenue and the Allowance for Doubtful Accounts	Revenue, Deductions from Revenue and the Allowance for Doubtful Accounts We recognize revenue from product sales when control of the goods has transferred to the customer, which is typically once the goods have shipped and the customer has assumed title. Revenue reflects the total consideration to which we expect to be entitled (i.e., the transaction price), in exchange for products sold, after considering various types of variable consideration including rebates, sales allowances, product returns and discounts. Variable consideration is estimated and recorded at the time that related revenue is recognized. Our estimates reflect the amount by which we expect variable consideration to impact revenue recognized and are generally based on contractual terms or historical experience, adjusted as necessary to reflect our expectations about the future. Our customer payment terms generally range from 30 to 90 days. Estimates of variable consideration utilize a complex series of judgments and assumptions to determine the amount by which we expect revenue to be reduced, for example; • for sales returns, we perform calculations in each market that incorporate the following, as appropriate: local returns policies and practices; historic returns as a percentage of revenue; estimated shelf life by product; an estimate of the amount of time between shipment and return or lag time; and any other factors that could impact the estimate of future returns, product recalls, discontinuation of products or a changing competitive environment; and • for revenue incentives, we use our historical experience with similar incentives programs to estimate the impact of such programs on revenue for the current period. Although the amounts recorded for these deductions from revenue are dependent on estimates and assumptions, historically our adjustments to actual results have not been material. The sensitivity of our estimates can vary by program, type of customer and geographic location. Accruals for deductions from revenue are recorded as either a reduction in Accounts receivable or within Accrued expenses , depending on the nature of the contract and method of expected payment. Amounts recorded as a reduction in Accounts receivable as of December 31, 2023 and 2022 are approximately $301 million and $295 million, respectively. As of December 31, 2023, and 2022, accruals for deductions from revenue included in Accrued expenses are approximately $323 million and $285 million, respectively. A deferral of revenue may be required in the event that we have not satisfied all customer obligations for which we have been compensated. The transaction price is allocated to the individual performance obligations on the basis of relative stand-alone selling price, which is typically based on actual sales prices. Revenue associated with unsatisfied performance obligations are contract liabilities is recorded within Other current liabilities and Other noncurrent liabilities. Recognition of revenue occurs once control of the underlying products has transferred to the customer. Contract liabilities reflected within Other current liabilities as of December 31, 2022 and subsequently recognized as revenue during 2023 were approximately $5 million. Contract liabilities as of December 31, 2023 were approximately $11 million. We do not disclose the transaction price allocated to unsatisfied performance obligations related to contracts with an original expected duration of one year or less, or for contracts for which we recognize revenue in line with our right to invoice the customer. Estimated future revenue expected to be generated from long-term contracts with unsatisfied performance obligations as of December 31, 2023 is not material. Taxes collected from customers relating to product sales and remitted to governmental authorities are excluded from Revenue. Shipping and handling costs incurred after control of the purchased product has transferred to the customer are accounted for as a fulfillment cost, within Selling, general and administrative expenses. We also record estimates for bad debts. We periodically assess the adequacy of the allowance for doubtful accounts by evaluating the collectability of outstanding receivables based on factors such as past due history, historical and expected collection patterns, the financial condition of our customers, the robust nature of our credit and collection practices and the economic environment. Amounts recorded for sales deductions and bad debts can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see
Cost of Sales and Inventories	Cost of Sales and Inventories
Selling, General and Administrative Expenses	Selling, General and Administrative Expenses Selling, general and administrative costs are expensed as incurred. Among other things, these expenses include the internal and external costs of marketing, advertising, and shipping and handling as well as certain costs related to business technology, facilities, legal, finance, human resources, business development, public affairs and procurement, among others. Advertising expenses relating to production costs are expensed as incurred, and the costs of space in publications are expensed when the related advertising occurs. Advertising and promotion expenses totaled approximately $281 million in 2023, $287 million in 2022 and $292 million in 2021.
Research and Development Expenses	Research and Development Expenses Research and development (R&D) costs are expensed as incurred. Research is the effort associated with the discovery of new knowledge that will be useful in developing a new product or in significantly improving an existing product. Development is the implementation of the research findings. Before a compound receives regulatory approval, we record upfront and milestone payments made by us to third parties under licensing arrangements as expense. Upfront payments are recorded when incurred, and milestone payments are recorded when the specific milestone has been achieved. Once a compound receives regulatory approval in a major market, we record any milestone payments in Identifiable intangible assets, less accumulated amortization
Amortization of Intangible Assets, Depreciation and Certain Long-Lived Assets	Amortization of Intangible Assets, Depreciation and Certain Long-Lived Assets Long-lived assets include: • Goodwill —goodwill represents the excess of the consideration transferred for an acquired business over the assigned values of its net assets. Goodwill is not amortized. • Identifiable intangible assets, less accumulated amortization —these acquired assets are recorded at our cost. Identifiable intangible assets with finite lives are amortized on a straight-line basis over their estimated useful lives. Identifiable intangible assets with indefinite lives that are associated with marketed products are not amortized until a useful life can be determined. Identifiable intangible assets associated with IPR&D projects are not amortized until regulatory approval is obtained. The useful life of an amortizing asset generally is determined by identifying the period in which substantially all of the cash flows are expected to be generated. • Property, plant and equipment, less accumulated depreciation ––these assets are recorded at our cost and are increased by the cost of any significant improvements after purchase. Property, plant and equipment assets, other than land and construction-in-progress, are depreciated on a straight-line basis over the estimated useful life of the individual assets. Depreciation begins when the asset is ready for its intended use. For tax purposes, accelerated depreciation methods are used as allowed by tax laws. Amortization expense related to finite-lived identifiable intangible assets that contribute to our ability to sell, manufacture, research, market and distribute products, compounds and intellectual property are included in Amortization of intangible assets as they benefit multiple business functions. Amortization expense related to intangible assets that are associated with a single function and depreciation of property, plant and equipment are included in Cost of sales , Selling, general and administrative expenses and Research and development expenses , as appropriate. We review all of our long-lived assets for impairment indicators throughout the year and we perform detailed testing whenever impairment indicators are present. In addition, we perform impairment testing for goodwill and indefinite-lived assets at least annually. When necessary, we record charges for impairments. Specifically: • For finite-lived identifiable intangible assets, such as developed technology rights, and for other long-lived assets, such as property, plant and equipment, whenever impairment indicators are present, we calculate the undiscounted value of the projected cash flows associated with the asset, or asset group, and compare this estimated amount to the carrying amount. If the carrying amount is found to be greater, we record an impairment loss for the excess of book value over fair value. In addition, in all cases of an impairment review, we re-evaluate the remaining useful lives of the assets and modify them, as appropriate. • For indefinite-lived identifiable intangible assets, such as brands and IPR&D assets, we test for impairment at least annually, or more frequently if impairment indicators exist, by first assessing qualitative factors to determine whether it is more likely than not that the fair value of the indefinite-lived intangible asset is less than its carrying amount. If we conclude it is more likely than not that the fair value is less than the carrying amount, a quantitative test that compares the fair value of the indefinite-lived intangible asset with its carrying value is performed. If the fair value is less than the carrying amount, an impairment loss is recognized. We record an impairment loss, if any, for the excess of book value over fair value. In addition, in all cases of an impairment review other than for IPR&D assets, we re-evaluate whether continuing to characterize the asset as indefinite-lived is appropriate. • For goodwill, we test for impairment on at least an annual basis, or more frequently if necessary, either by assessing qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount, or by performing a periodic quantitative assessment. If we choose to perform a qualitative analysis and conclude it is more likely than not that the fair value of a reporting unit is less than its carrying amount, a quantitative fair value test is performed. We determine the implied fair value of goodwill by subtracting the fair value of all the identifiable net assets other than goodwill from the fair value of the reporting unit and record an impairment loss for the excess, if any, of book value of goodwill over the implied fair value. In 2023 we performed a qualitative impairment assessment as of September 30, 2023, which did not result in the impairment of goodwill associated with any of our reporting units. In 2022, we performed a periodic quantitative impairment assessment as of September 30, 2022, which did not result in the impairment of goodwill associated with any of our reporting units. Impairment reviews can involve a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see
Software Capitalization and Depreciation	Software Capitalization and Depreciation We capitalize certain costs incurred in connection with obtaining or developing internal-use software, including payroll and payroll-related costs for employees who are directly associated with the internal-use software project, external direct costs of materials and services and interest costs while developing the software. Capitalized software costs are included in Property, plant and equipment and are amortized using the straight-line method over the estimated useful life of 5 to 10 years. Capitalization of such costs ceases when the project is substantially complete and ready for its intended purpose. Costs incurred during the preliminary project and post-implementation stages, as well as software maintenance and training costs, are expensed in the period in which they are incurred. The company capitalized $35 million and $57 million of internal-use software for the years ended December 31, 2023 and 2022, respectively. Depreciation expense for capitalized software was $75 million in 2023, $69 million in 2022 and $52 million in 2021. In addition, we capitalize qualifying implementation costs under cloud computing arrangements (“CCA”). The capitalized CCA implementation costs are allocated between Other current assets and Other noncurrent assets on the accompanying Consolidated Balance Sheets based on the expected period that amortization will be recognized. CCA implementation costs are amortized using the straight-line method over the expected term of the related service contract.
Restructuring Charges and Certain Acquisition-Related Costs	Restructuring Charges and Certain Acquisition-Related Costs We may incur restructuring charges in connection with acquisitions when we implement plans to restructure and integrate the acquired operations or in connection with cost-reduction and productivity initiatives. Included in Restructuring charges and certain acquisition-related costs are all restructuring charges and certain costs associated with acquiring and integrating an acquired business. Transaction costs and integration costs are expensed as incurred. Termination costs are a significant component of restructuring charges and are generally recorded when the actions are probable and estimable. Amounts recorded for restructuring charges and other associated costs can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions .
Earnings per Share	Earnings per Share Basic earnings per share is computed by dividing net income attributable to Zoetis by the weighted-average number of common shares outstanding during the period. Diluted earnings per share adjusts the weighted-average number of common shares outstanding for the potential dilution that could occur if common stock equivalents (stock options, restricted stock units, and performance-vesting restricted stock units) were exercised or converted into common stock, calculated using the treasury stock method.
Cash Equivalents	Cash Equivalents
Fair Value	Fair Value Certain assets and liabilities are required to be measured at fair value, either upon initial recognition or for subsequent accounting or reporting. For example, we use fair value extensively in the initial recognition of net assets acquired in a business combination. Fair value is estimated using an exit price approach, which requires, among other things, that we determine the price that would be received to sell an asset or paid to transfer a liability in an orderly market. The determination of an exit price is considered from the perspective of market participants, considering the highest and best use of assets and, for liabilities, assuming that the risk of non-performance will be the same before and after the transfer. When estimating fair value, depending on the nature and complexity of the asset or liability, we may use one or all of the following approaches: • Income approach, which is based on the present value of a future stream of net cash flows. • Market approach, which is based on market prices and other information from market transactions involving identical or comparable assets or liabilities. • Cost approach, which is based on the cost to acquire or construct comparable assets less an allowance for functional and/or economic obsolescence. These fair value methodologies depend on the following types of inputs: • Quoted prices for identical assets or liabilities in active markets (Level 1 inputs). • Quoted prices for similar assets or liabilities in active markets or quoted prices for identical or similar assets or liabilities in markets that are not active or are directly or indirectly observable (Level 2 inputs). • Unobservable inputs that reflect estimates and assumptions (Level 3 inputs). A single estimate of fair value can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions .
Accounts Receivable	Accounts Receivable The recorded amounts of accounts receivable approximate fair value because of their relatively short-term nature. As of December 31, 2023 and 2022, Accounts receivable, less allowance for doubtful accounts,
Deferred Tax Assets and Liabilities and Income Tax Contingencies	ferred Tax Assets and Liabilities and Income Tax Contingencies Deferred tax assets and liabilities are recognized for the expected future tax consequences of differences between the financial reporting and tax bases of assets and liabilities using enacted tax rates and laws. We provide a valuation allowance when we believe that our deferred tax assets are not recoverable based on an assessment of estimated future taxable income that incorporates ongoing, prudent and feasible tax planning strategies. We account for income tax contingencies using a benefit recognition model. If we consider that a tax position is more likely than not to be sustained upon audit, based solely on the technical merits of the position, we recognize the benefit. We measure the benefit by determining the amount that is greater than 50% likely of being realized upon settlement, presuming that the tax position is examined by the appropriate taxing authority that has full knowledge of all relevant information. Under the benefit recognition model, if the initial assessment fails to result in the recognition of a tax benefit, we regularly monitor our position and subsequently recognize the tax benefit: (i) if there are changes in tax law, analogous case law or there is new information that sufficiently raise the likelihood of prevailing on the technical merits of the position to more likely than not; (ii) if the statute of limitations expires; or (iii) if there is a completion of an audit resulting in a favorable settlement of that tax year with the appropriate agency. We regularly re-evaluate our tax positions based on the results of audits of federal, state and foreign income tax filings, statute of limitations expirations, changes in tax law or receipt of new information that would either increase or decrease the technical merits of a position relative to the “more-likely-than-not” standard. Liabilities associated with uncertain tax positions are classified as current only when we expect to pay cash within the next 12 months. Interest and penalties, if any, are recorded in Provision for taxes on income and are classified on our Consolidated Balance Sheets with the related tax liability. Amounts recorded for valuation allowances and income tax contingencies can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions.
Benefit Plans	Benefit Plans All dedicated benefit plans are pension plans. For our dedicated benefit plans, we recognize the overfunded or underfunded status of defined benefit plans as an asset or liability on the Consolidated Balance Sheets and the obligations generally are measured at the actuarial present value of all benefits attributable to employee service rendered, as provided by the applicable benefit formula. Pension obligations may include assumptions such as long-term rate of return on plan assets, expected employee turnover, participant mortality, and future compensation levels. Plan assets are measured at fair value. Net periodic benefit costs are recognized, as required, into Cost of sales, Selling, general and administrative expenses and Research and development expenses , as appropriate. Amounts recorded for benefit plans can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see
Asset Retirement Obligations	Asset Retirement Obligations We record accruals for the legal obligations associated with the retirement of tangible long-lived assets, including obligations under the doctrine of promissory estoppel and those that are conditioned upon the occurrence of future events. These obligations generally result from the acquisition, construction, development and/or normal operation of long-lived assets. We recognize the fair value of these obligations in the period in which they are incurred by increasing the carrying amount of the related asset. Over time, we recognize expense for the accretion of the liability and for the amortization of the asset. As of December 31, 2023 and 2022, accruals for asset retirement obligations are $28 million and $25 million, respectively, and are included in Other noncurrent liabilities. Amounts recorded for asset retirement obligations can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see
Legal and Environmental Contingencies	Legal and Environmental Contingencies We are subject to numerous contingencies arising in the ordinary course of business, such as product liability and other product-related litigation, commercial litigation, patent litigation, environmental claims and proceedings, government investigations and guarantees and indemnifications. We record accruals for these contingencies to the extent that we conclude that a loss is both probable and reasonably estimable. If some amount within a range of loss appears to be a better estimate than any other amount within the range, we accrue that amount. Alternatively, when no amount within a range of loss appears to be a better estimate than any other amount, we accrue the lowest amount in the range. We record anticipated recoveries under existing insurance contracts when recovery is assured. Amounts recorded for contingencies can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Our non-tax contingencies include, among others, the following: • Product liability and other product-related litigation, which can include injury, consumer, off-label promotion, antitrust and breach of contract claims. • Commercial and other matters, which can include product-pricing claims and environmental claims and proceedings. • Patent litigation, which typically involves challenges to the coverage and/or validity of our patents or those of third parties on various products or processes. • Government investigations, which can involve regulation by national, state and local government agencies in the U.S. and in other countries. Certain of these contingencies could result in losses, including damages, fines and/or civil penalties, and/or criminal charges, which could be substantial. We believe that we have strong defenses in these types of matters, but litigation is inherently unpredictable and excessive verdicts do occur. We do not believe that any of these matters will have a material adverse effect on our financial position. However, we could incur judgments, enter into settlements or revise our expectations regarding the outcome of certain matters, and such developments could have a material adverse effect on our results of operations or cash flows in the period in which the amounts are paid. We have accrued for losses that are both probable and reasonably estimable. Substantially all of these contingencies are subject to significant uncertainties and, therefore, determining the likelihood of a loss and/or the measurement of any loss can be complex. Consequently, we are unable to estimate the range of reasonably possible loss in excess of amounts accrued. Our assessments are based on estimates and assumptions that have been deemed reasonable by management, but the assessment process relies on estimates and assumptions that may prove to be incomplete or inaccurate, and unanticipated events and circumstances may occur that might cause us to change those estimates and assumptions. Amounts recorded for legal and environmental contingencies can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions.
Share-Based Payments	Share-Based Payments Our compensation programs can include share-based payment plans. All grants under share-based payment programs are accounted for at fair value and such amounts generally are amortized on a straight-line basis over the vesting term to Cost of sales, Selling, general and administrative expenses, and Research and development expenses , as appropriate. We include the impact of estimated forfeitures when determining share-based compensation expense. Amounts recorded for share-based compensation can result from a complex series of judgments about future events and uncertainties and can rely on estimates and assumptions. For information about the risks associated with estimates and assumptions, see Estimates and Assumptions
Foreign Exchange and Interest Rate Risk	A significant portion of our revenue, earnings and net investment in foreign affiliates is exposed to changes in foreign exchange rates. We seek to manage our foreign exchange risk, in part, through operational means, including managing same-currency revenue in relation to same-currency costs and same-currency assets in relation to same-currency liabilities. Depending on market conditions, foreign exchange risk is also managed through the use of various derivative financial instruments. These derivative financial instruments serve to manage the exposure of our net investment in certain foreign operations to changes in foreign exchange rates and protect net income against the impact of translation into U.S. dollars of certain foreign exchange-denominated transactions. For foreign currency forward-exchange contracts not designated as hedging instruments, we recognize the gains and losses that are used to offset the same foreign currency assets or liabilities immediately into earnings along with the earnings impact of the items they generally offset. These contracts essentially take the opposite currency position of that reflected in the month-end balance sheet to counterbalance the effect of any currency movement. The vast majority of the foreign currency forward-exchange contracts mature within 60 days and all mature within four years.
Guarantees and Indemnifications	In the ordinary course of business and in connection with the sale of assets and businesses, we indemnify our counterparties against certain liabilities that may arise in connection with the transaction or related to activities prior to the transaction. These indemnifications typically pertain to environmental, tax, employee and/or product-related matters and patent-infringement claims. If the indemnified party were to make a successful claim pursuant to the terms of the indemnification, we would be required to reimburse the loss. These indemnifications are generally subject to threshold amounts, specified claim periods and other restrictions and limitations. Historically, we have not paid significant amounts under these provisions and, as of December 31, 2023, recorded amounts for the estimated fair value of these indemnifications were not material.

Tax Matters Accounting Policy (

Tax Matters Accounting Policy (Policies)	12 Months Ended
	Dec. 31, 2023
Income Tax Disclosure [Abstract]
Income Tax Uncertainties, Policy [Policy Text Block]	We are subject to income tax in many jurisdictions, and a certain degree of estimation is required in recording the assets and liabilities related to income taxes. All of our tax positions are subject to audit by the local taxing authorities in each tax jurisdiction. These tax audits can involve complex issues, interpretations and judgments and the resolution of matters may span multiple years, particularly if subject to negotiation or litigation. Our assessments are based on estimates and assumptions that have been deemed reasonable by management, but our estimates of unrecognized tax benefits and potential tax benefits may not be representative of actual outcomes, and variation from such estimates could materially affect our financial statements in the period of settlement or when the statute of limitations expire. We treat these events as discrete items in the period of resolution. For a description of our accounting policies associated with accounting for income tax contingencies, see Note 3. Significant Accounting Policies: Deferred Tax Assets and Liabilities and Income Tax Contingencies. For a description of the risks associated with estimates and assumptions, see

Revenue (Tables)

Revenue (Tables)	12 Months Ended
	Dec. 31, 2023
Revenue Recognition and Deferred Revenue [Abstract]
Revenue from External Customers by Geographic Areas	Revenue by geographic area Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 United States $ 4,555 $ 4,313 $ 4,042 Australia 323 289 259 Brazil 393 330 312 Canada 255 238 232 Chile 140 141 136 China 320 382 357 France 142 126 132 Germany 202 176 183 Italy 121 111 115 Japan 158 173 186 Mexico 162 136 133 Spain 122 118 128 United Kingdom 277 235 234 Other developed markets 512 468 467 Other emerging markets 784 758 778 8,466 7,994 7,694 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776
Revenue from External Customers by Major Species	Revenue by major species Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 U.S. Companion animal $ 3,529 $ 3,341 $ 2,990 Livestock 1,026 972 1,052 4,555 4,313 4,042 International Companion animal 2,047 1,862 1,699 Livestock 1,864 1,819 1,953 3,911 3,681 3,652 Total Companion animal 5,576 5,203 4,689 Livestock 2,890 2,791 3,005 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776
Revenue from External Customers by Species	Revenue by species Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Companion Animal: Dogs and Cats $ 5,291 $ 4,939 $ 4,426 Horses 285 264 263 5,576 5,203 4,689 Livestock: Cattle 1,503 1,440 1,557 Swine 543 565 659 Poultry 524 476 507 Fish 220 212 187 Sheep and other 100 98 95 2,890 2,791 3,005 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776
Schedule of Significant Product Revenues	Revenue by product category Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Parasiticides $ 1,947 $ 1,860 $ 1,635 Vaccines 1,771 1,718 1,673 Dermatology 1,427 1,329 1,180 Other pharmaceuticals 1,280 1,043 966 Anti-infectives 1,057 1,081 1,215 Animal health diagnostics 376 353 374 Medicated feed additives 354 360 420 Other non-pharmaceuticals 254 250 231 8,466 7,994 7,694 Contract manufacturing & human health 78 86 82 Total Revenue $ 8,544 $ 8,080 $ 7,776

Acquisitions and Divestitures (

Acquisitions and Divestitures (Tables)	12 Months Ended
	Dec. 31, 2023
Business Combination and Asset Acquisition [Abstract]
Schedule of Business Acquisitions, by Acquisition	The table below presents the final fair values allocated to the assets and liabilities of Jurox as of the acquisition date: (MILLIONS OF DOLLARS) Amounts Cash and cash equivalents $ 20 Accounts receivable 8 Inventories (a) 21 Other current assets 1 Property, plant and equipment (b) 25 Identifiable intangible assets (c) 135 Other noncurrent assets 7 Accounts payable 2 Other current liabilities 12 Other noncurrent liabilities 1 Total net assets acquired 202 Goodwill (d) 38 Total consideration $ 240 (a) Acquired inventory is comprised of finished goods, work in process and raw materials. The fair value of finished goods was determined based on net realizable value adjusted for the costs of the selling effort, a reasonable profit allowance for the selling effort, and estimated holding costs. The fair value of work in process was determined based on net realizable value adjusted for costs to complete the manufacturing process, costs of the selling effort, a reasonable profit allowance for the remaining manufacturing and selling effort, and an estimate of holding costs. The fair value of raw materials was determined to approximate book value. (b) Property, plant and equipment is comprised of buildings, machinery and equipment, land, construction in progress and furniture and fixtures. The fair value was primarily determined using a reproduction/replacement cost approach which measures the value of an asset by estimating the cost to acquire or construct comparable assets adjusted for age and condition of the asset. (c) Identifiable intangible assets consist of developed technology rights. The fair value of identifiable intangible assets was determined using the income approach, which includes a forecast of expected future cash flows. For additional information regarding identifiable intangible assets, see Note 13. Goodwill and Other Intangible Assets . (d)

Restructuring Charges and Oth_2

Restructuring Charges and Other Costs Associated with Acquisitions and Cost-Reduction/Productivity Initiatives (Tables)	12 Months Ended
	Dec. 31, 2023
Restructuring and Related Activities [Abstract]
Schedule of Restructuring and Related Costs	The components of costs incurred in connection with restructuring initiatives, acquisitions and cost-reduction/productivity initiatives are as follows: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Restructuring charges and certain acquisition-related costs: Integration costs (a) $ 3 $ 4 $ 10 Transaction costs (b) 4 1 — Restructuring charges (c)(d) : Employee termination costs 41 3 17 Asset impairment charges 1 2 13 Exit costs 4 1 3 Total Restructuring charges and certain acquisition-related costs $ 53 $ 11 $ 43 (a) Integration costs represent external, incremental costs directly related to integrating acquired businesses and primarily include expenditures for consulting and the integration of systems and processes, as well as product transfer costs. (b) Transaction costs represent external costs directly related to acquiring businesses and primarily includes expenditures for banking, legal, accounting and other similar services. (c) The restructuring charges for the year ended December 31, 2023 primarily relates to employee termination and exit costs related to organizational structure refinements and other cost-reduction and productivity initiatives. The restructuring charges for the year ended December 31, 2022 primarily relates to employee termination and exit costs associated with cost-reduction and productivity initiatives in certain international markets, as well as asset impairment charges primarily related to the consolidation of manufacturing sites in China. The restructuring charges for the year ended December 31, 2021 primarily relates to the realignment of our international operations and other cost-reduction and productivity initiatives. (d) The restructuring charges are associated with the following: • For the year ended December 31, 2023, Manufacturing/research/corporate of $22 million, U.S. of $3 million and International of $21 million. • For the year ended December 31, 2022, Manufacturing/research/corporate of $2 million and International of $4 million. • For the year ended December 31, 2021, Manufacturing/research/corporate of $21 million and International of $12 million. The components of, and changes in, our restructuring accruals are as follows: Employee Asset Termination Impairment Exit (MILLIONS OF DOLLARS) Costs Charges Costs Accrual Balance, December 31, 2020 $ 21 $ — $ — $ 21 Provision 17 13 3 33 Non-cash activity — (13) — (13) Utilization and other (a) (15) — (1) (16) Balance, December 31, 2021 $ 23 $ — $ 2 $ 25 Provision 3 2 1 6 Non-cash activity — (2) — (2) Utilization and other (a) (12) — (2) (14) Balance, December 31, 2022 (b) $ 14 $ — $ 1 $ 15 Provision 41 1 4 46 Non-cash activity — (1) — (1) Utilization and other (a) (23) — (2) (25) Balance, December 31, 2023 (b)(c) $ 32 $ — $ 3 $ 35 (a) Includes adjustments for foreign currency translation. (b) At December 31, 2023 and 2022, included in Accrued Expenses ($26 million and $5 million, respectively) and Other noncurrent liabilities ($9 million and $10 million, respectively). (c) Includes contractual obligations of $26 million, of which payments are expected to be approximately $25 million in 2024 and $1 million thereafter.

Other (Income)_Deductions - N_2

Other (Income)/Deductions - Net Other (Income)/Deductions - Net (Tables)	12 Months Ended
	Dec. 31, 2023
Other Income and Expenses [Abstract]
Components of Other (Income)/Deductions—Net	The components of Other (income)/deductions—net follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Royalty-related income (a) $ (37) $ (4) $ (10) Interest income (105) (50) (6) Identifiable intangible asset impairment charges (b) 35 39 27 Other asset impairment charges 1 7 3 Net gain on sale of businesses (c) (101) — — Net loss on sale of assets — — 3 Foreign currency loss (d) 47 62 27 Other, net 1 (14) 4 Other (income)/deductions—net $ (159) $ 40 $ 48 (a) For 2023, predominantly associated with a settlement received from a third-party for underpayment of royalties related to prior periods. (b) For 2023, p rimarily re presents certain asset impairment charges related to our precision animal health and diagnostics businesses. For 2022, primarily represents asset impairment charges related to customer relationships and developed technology rights in our diagnostics, poultry, cattle and swine businesses. For 2021, primarily represents asset impairment charges related to developed technology rights and trademarks in our dairy cattle, diagnostics and aquatic health businesses. (c) Primarily relates to the gain on sale of a majority interest in our pet insurance business. (d) Primarily driven by costs related to hedging and exposures to certain developed and emerging market currencies.

Tax Matters (Tables)

Tax Matters (Tables)	12 Months Ended
	Dec. 31, 2023
Income Tax Disclosure [Abstract]
Schedule of Income before Income Tax, Domestic and Foreign	The components of Income before provision for taxes on income follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 United States $ 1,636 $ 1,645 $ 1,308 International 1,300 1,011 1,180 Income before provision for taxes on income $ 2,936 $ 2,656 $ 2,488
Schedule Of Components Of Provision For Income Taxes	The components of Provision for taxes on income based on the location of the taxing authorities follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 United States: Current income taxes: Federal $ 341 $ 514 $ 311 State and local 35 81 35 Deferred income taxes: Federal (40) (198) (84) State and local 25 (49) (10) Total U.S. tax provision 361 348 252 International: Current income taxes 281 235 188 Deferred income taxes (46) (38) 14 Total international tax provision 235 197 202 Provision for taxes on income $ 596 $ 545 $ 454
Schedule of Effective Income Tax Rate Reconciliation	The reconciliation of the U.S. statutory income tax rate to our effective tax rate follows: Year Ended December 31, 2023 2022 2021 U.S. statutory income tax rate 21 % 21 % 21 % State and local taxes, net of federal benefits 1.6 0.9 0.8 Unrecognized tax benefits and tax settlements and resolution of certain tax positions (a) 0.9 0.1 0.1 Foreign Derived Intangible Income (0.7) (0.2) (1.1) U.S. Research and Development Tax Credit (0.7) (0.7) (0.6) Share-based payments (0.3) (0.6) (0.9) Non-deductible / non-taxable items 0.2 0.1 0.3 Taxation of non-U.S. operations (0.8) (0.4) (1.3) All other—net (0.9) 0.3 (0.1) Effective tax rate 20.3 % 20.5 % 18.2 % (a) For a discussion about unrecognized tax benefits and tax settlements and resolution of certain tax positions, see D. Tax Contingencies . Our effective income tax rate was 20.3%, 20.5% and 18.2% in 2023, 2022 and 2021, respectively. The lower effective tax rate for 2023, compared with 2022, was primarily attributable to a higher benefit in the U.S. related to foreign-derived intangible income, a more favorable jurisdictional mix of earning (which includes the impact of the location of earnings and repatriation costs), partially offset by a higher net discrete tax expense in 2023, mainly related to changes to prior years’ tax positions. Jurisdictional mix of earnings can vary depending on repatriation decisions, operating fluctuations in the normal course of business and the impact of non-deductible items and non-taxable items. The higher effective tax rate for 2022, compared with 2021, was attributable to a less favorable jurisdictional mix of earnings (which includes the impact of the location of earnings and repatriation costs), a lower benefit in the U.S. related to foreign-derived intangible income and lower net discrete tax benefits in 2022. Jurisdictional mix of earnings can vary depending on repatriation decisions, operating fluctuations in the normal course of business and the impact of non-deductible and non-taxable items. In 2022, the company implemented an initiative to maximize its cash position in the U.S. This initiative resulted in a tax benefit in the U.S. in connection with a prepayment from a related foreign entity in Belgium which qualifies as foreign-derived intangible income; however, this income tax benefit was deferred to 2023 and 2024. A portion of this benefit was recognized during 2023. The remaining deferred benefit is included in Other current assets on our Consolidated Balance Sheets as of December 31, 2023 in the amount of $12 million.
Schedule of Deferred Tax Assets and Liabilities	The components of our deferred tax assets and liabilities follow: As of December 31, 2023 2022 (MILLIONS OF DOLLARS) Assets (Liabilities) Prepaid/deferred items $ 72 $ 192 Inventories 30 22 Capitalized R&D for tax 224 111 Identifiable intangible assets (154) (154) Property, plant and equipment (199) (204) Employee benefits 62 61 Restructuring and other charges (1) 1 Legal and product liability reserves 12 14 Net operating loss/credit carryforwards 133 112 Unremitted earnings (4) (4) All other 16 9 Subtotal 191 160 Valuation allowance (131) (129) Net deferred tax asset/(liability) (a)(b) $ 60 $ 31 (a) The change in the total net deferred tax asset/(liability) from December 31, 2022 to December 31, 2023 is primarily attributable to an increase in deferred tax assets related to the capitalization and amortization of research & development costs for U.S. tax purposes and an increase in net operating loss/credit carryforwards, partially offset by a decrease in deferred tax assets related to prepaid/deferred items as a result of a prepayment from a related foreign entity in Belgium. (b) In 2023, included in Noncurrent deferred tax assets ($206 million) and Noncurrent deferred tax liabilities ($146 million). In 2022, included in Noncurrent deferred tax assets ($173 million) and Noncurrent deferred tax liabilities
Schedule of Unrecognized Tax Benefits Roll Forward	The reconciliation of the beginning and ending amounts of gross unrecognized tax benefits follows: (MILLIONS OF DOLLARS) 2023 2022 2021 Balance, January 1 $ (194) $ (189) $ (188) Increases based on tax positions taken during a prior period (a) (27) (20) (1) Decreases based on tax positions taken during a prior period (a) 20 9 7 Increases based on tax positions taken during the current period (a) (13) (4) (9) Settlements — 7 — Lapse in statute of limitations (a) 5 3 2 Balance, December 31 (b) $ (209) $ (194) $ (189) (a) Primarily included in Provision for taxes on income. (b) In 2023, included in Other taxes payable ($209 million). In 2022, included in Noncurrent deferred tax assets and Other noncurrent assets ($2 million) and Other taxes payable ($192 million). In 2021, included in Noncurrent deferred tax assets and Other noncurrent assets ($1 million) and Other taxes payable ($188 million).

Financial Instruments (Tables)

Financial Instruments (Tables)	12 Months Ended
	Dec. 31, 2023
Debt Disclosure [Abstract]
Schedule of Long-term Debt Instruments	The components of our long-term debt are as follows: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 3.250% 2013 senior notes due 2023 $ — $ 1,350 4.500% 2015 senior notes due 2025 750 750 5.400% 2022 senior notes due 2025 600 600 3.000% 2017 senior notes due 2027 750 750 3.900% 2018 senior notes due 2028 500 500 2.000% 2020 senior notes due 2030 750 750 5.600% 2022 senior notes due 2032 750 750 4.700% 2013 senior notes due 2043 1,150 1,150 3.950% 2017 senior notes due 2047 500 500 4.450% 2018 senior notes due 2048 400 400 3.000% 2020 senior notes due 2050 500 500 6,650 8,000 Unamortized debt discount / debt issuance costs (60) (66) Less current portion of long-term debt — 1,350 Cumulative fair value adjustment for interest rate swap contracts (26) (32) Long-term debt, net of discount and issuance costs $ 6,564 $ 6,552
Schedule of Maturities of Long-term Debt	The following table provides the principal amount of debt outstanding as of December 31, 2023 by scheduled maturity date. The table also provides the expected interest payments on these borrowings as of December 31, 2023. After (MILLIONS OF DOLLARS) 2024 2025 2026 2027 2028 2028 Total Maturities $ — $ 1,350 $ — $ 750 $ 500 $ 4,050 $ 6,650 Interest payments $ 272 $ 272 $ 206 $ 206 $ 183 $ 2,027 $ 3,166
Schedule of Derivative Instruments	The aggregate notional amount of derivative instruments are as follows: Notional As of December 31, (MILLIONS) 2023 2022 Derivatives not Designated as Hedging Instruments Foreign currency forward-exchange contracts $ 1,948 $ 1,753 Derivatives Designated as Hedging Instruments Foreign exchange derivative instruments (in foreign currency): Euro 650 650 Danish krone 600 600 Swiss franc 25 25 Forward-starting interest rate swaps $ 100 $ 50 Fixed-to-floating interest rate swap contracts $ 250 $ 250
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value	The classification and fair values of derivative instruments are as follows: Fair Value of Derivatives As of December 31, (MILLIONS OF DOLLARS) Balance Sheet Location 2023 2022 Derivatives Not Designated as Hedging Instruments: Foreign currency forward-exchange contracts Other current assets $ 11 $ 22 Foreign currency forward-exchange contracts Other current liabilities (11) (21) Total derivatives not designated as hedging instruments — 1 Derivatives Designated as Hedging Instruments: Forward-starting interest rate swap contracts Other non-current assets $ 12 $ 10 Foreign exchange derivative instruments Other current assets 5 21 Foreign exchange derivative instruments Other non-current assets 11 19 Foreign exchange derivative instruments Other current liabilities (20) (9) Foreign exchange derivative instruments Other non-current liabilities (1) (4) Fixed-to-floating interest rate swap contracts Other non-current liabilities (26) (32) Total derivatives designated as hedging instruments (19) 5 Total derivatives $ (19) $ 6
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location	The amounts of net losses on derivative instruments not designated as hedging instruments, recorded in Other (income)/deductions - net, are as follows: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 Foreign currency forward-exchange contracts $ (25) $ (58)
Schedule of Net Investment Hedges in Accumulated Other Comprehensive Income (Loss)	The amounts of unrecognized net gains/(losses) on interest rate swap contracts, recorded, net of tax, in Accumulated other comprehensive loss , are as follows: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 Forward starting interest rate swap contracts $ 2 $ (2) Foreign exchange derivative instruments $ (23) $ 36
Schedule of Net Investment Hedges, Statements of Financial Performance and Financial Position, Location	Gains on interest rate swap contracts, recognized within Interest expense, net of capitalized interest, are as follows: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 Foreign exchange derivative instruments $ 19 $ 16

Leases (Tables)

Leases (Tables)	12 Months Ended
	Dec. 31, 2023
Leases [Abstract]
Lease, Cost [Table Text Block]	Supplemental information for our lease portfolio is as follows: As of December 31, (MILLIONS OF DOLLARS, EXCEPT LEASE TERM AND DISCOUNT RATE AMOUNTS) 2023 2022 Supplemental Balance Sheet information: Operating lease right of use assets $ 230 $ 220 Finance lease right of use assets (in Other noncurrent assets ) 9 — Total lease assets $ 239 $ 220 Lease liabilities: Operating lease liabilities - current (in Other current liabilities ) $ 48 $ 43 Finance lease liabilities - current (in Other current liabilities ) 1 — Operating lease liabilities - noncurrent 188 186 Finance lease liabilities - noncurrent (in Other noncurrent liabilities ) 8 — Total lease liabilities $ 245 $ 229 Weighted-average remaining lease term—operating leases (years) 7.26 7.72 Weighted-average remaining lease term—finance leases (years) 30.27 0.00 Weighted-average discount rate—operating leases 3.41 % 2.78 % Weighted-average discount rate—finance leases 4.99 % — % Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Supplemental Income Statement information for operating leases: Operating lease expense $ 56 $ 51 $ 50 Variable lease costs 20 12 19 Short-term lease costs not included in the measurement of lease liabilities 11 12 9 Supplemental Income Statement information for finance leases: Amortization of right-of-use assets 1 — — Total lease costs $ 88 $ 75 $ 78 Supplemental Cash Flow information for leases Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows – operating leases $ 57 $ 51 $ 47 Lease obligations obtained in exchange for right-of-use assets - operating (non-cash) 73 99 39 Lease obligations obtained in exchange for right-of-use assets – finance (non-cash) 9 — —
Lessee, Operating Lease, Liability, Maturity [Table Text Block]	Future minimum lease payments under non-cancellable lease contracts as of December 31, 2023 are as follows: Total Less: After Lease Imputed (MILLIONS OF DOLLARS) 2024 2025 2026 2027 2028 2028 Payments Interest Total Operating leases $ 57 $ 48 $ 38 $ 30 $ 25 $ 73 $ 271 $ (35) $ 236 Finance leases $ 2 $ 1 $ 1 $ 1 $ 1 $ 6 $ 12 $ (3) $ 9

Inventories (Tables)

Inventories (Tables)	12 Months Ended
	Dec. 31, 2023
Inventory Disclosure [Abstract]
Components of Inventory	The components of inventory follow: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 Finished goods $ 1,147 $ 1,090 Work-in-process 966 825 Raw materials and supplies 451 430 Inventories $ 2,564 $ 2,345

Property, Plant and Equipment (

Property, Plant and Equipment (Tables)	12 Months Ended
	Dec. 31, 2023
Property, Plant and Equipment [Abstract]
Property, Plant and Equipment	The components of property, plant and equipment follow: Useful Lives As of December 31, (MILLIONS OF DOLLARS) (Years) 2023 2022 Land — $ 25 $ 26 Buildings 33.3 - 50 1,316 1,197 Machinery, equipment and fixtures 3 - 20 3,372 3,013 Construction-in-progress — 1,085 814 5,798 5,050 Less: Accumulated depreciation 2,594 2,297 Property, plant and equipment $ 3,204 $ 2,753

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets (Tables)	12 Months Ended
	Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Changes in the Carrying Amount of Goodwill	The components of, and changes in, the carrying amount of goodwill follow: (MILLIONS OF DOLLARS) U.S. International Total Balance, December 31, 2021 $ 1,424 $ 1,258 $ 2,682 Additions (a) 61 44 105 Other (c) — (41) (41) Balance, December 31, 2022 $ 1,485 $ 1,261 $ 2,746 Additions (a) 24 14 38 Transfers/Adjustments (b) 25 (34) (9) Other (c) (2) (14) (16) Balance, December 31, 2023 $ 1,532 $ 1,227 $ 2,759 (a) For 2023, primarily relates to the acquisitions of PetMedix and adivo. See Note 5. Acquisitions and Divestitures. For 2022, primarily relates to the acquisitions of Basepaws and Jurox. See Note 5. Acquisitions and Divestitures. (b) For 2023, primarily relates to asset transfers from international markets to the U.S. (c) Includes adjustments for foreign currency translation. In 2023, also includes the sale of a majority interest in our pet insurance business within our U.S. segment.
Components of Identifiable Intangible Assets	The components of identifiable intangible assets follow: As of December 31, 2023 As of December 31, 2022 Identifiable Identifiable Gross Intangible Assets, Gross Intangible Assets, Carrying Accumulated Less Accumulated Carrying Accumulated Less Accumulated (MILLIONS OF DOLLARS) Amount Amortization Amortization Amount Amortization Amortization Finite-lived intangible assets: Developed technology rights (a) $ 1,986 $ (1,101) $ 885 $ 1,918 $ (975) $ 943 Brands and tradenames 383 (246) 137 395 (237) 158 Other 270 (190) 80 337 (233) 104 Total finite-lived intangible assets 2,639 (1,537) 1,102 2,650 (1,445) 1,205 Indefinite-lived intangible assets: Brands and tradenames 88 — 88 91 — 91 In-process research and development (a)(b) 141 — 141 77 — 77 Product rights 7 — 7 7 — 7 Total indefinite-lived intangible assets 236 — 236 175 — 175 Identifiable intangible assets $ 2,875 $ (1,537) $ 1,338 $ 2,825 $ (1,445) $ 1,380 (a) During 2023, certain intangible assets related to the acquisition of an Irish biologic therapeutics company, acquired in 2017, were placed into service. (b) As of December 31, 2023, primarily includes intangible assets related to the acquisitions of PetMedix and adivo in 2023.
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense	The annual amortization expense expected for the years 2024 through 2028 is as follows: (MILLIONS OF DOLLARS) 2024 2025 2026 2027 2028 Amortization expense $ 171 $ 159 $ 153 $ 148 $ 119
Schedule of Acquired Finite-Lived Intangible Assets by Major Class [Table Text Block]	The components of identifiable intangible assets follow: As of December 31, 2023 As of December 31, 2022 Identifiable Identifiable Gross Intangible Assets, Gross Intangible Assets, Carrying Accumulated Less Accumulated Carrying Accumulated Less Accumulated (MILLIONS OF DOLLARS) Amount Amortization Amortization Amount Amortization Amortization Finite-lived intangible assets: Developed technology rights (a) $ 1,986 $ (1,101) $ 885 $ 1,918 $ (975) $ 943 Brands and tradenames 383 (246) 137 395 (237) 158 Other 270 (190) 80 337 (233) 104 Total finite-lived intangible assets 2,639 (1,537) 1,102 2,650 (1,445) 1,205 Indefinite-lived intangible assets: Brands and tradenames 88 — 88 91 — 91 In-process research and development (a)(b) 141 — 141 77 — 77 Product rights 7 — 7 7 — 7 Total indefinite-lived intangible assets 236 — 236 175 — 175 Identifiable intangible assets $ 2,875 $ (1,537) $ 1,338 $ 2,825 $ (1,445) $ 1,380 (a) During 2023, certain intangible assets related to the acquisition of an Irish biologic therapeutics company, acquired in 2017, were placed into service. (b) As of December 31, 2023, primarily includes intangible assets related to the acquisitions of PetMedix and adivo in 2023.

Benefit Plans (Tables)

Benefit Plans (Tables)	12 Months Ended
	Dec. 31, 2023
Retirement Benefits [Abstract]
Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan	The following table provides an analysis of the changes in the benefit obligations, plan assets and funded status of our dedicated pension plans (including those transferred to us): As of and for the Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 Change in benefit obligation: Projected benefit obligation, beginning $ 122 $ 159 Service cost 5 6 Interest cost 5 2 Changes in actuarial assumptions and other (4) (27) Settlements and curtailments — (3) Benefits paid (3) (1) Adjustments for foreign currency translation 5 (13) Other––net (1) (1) Benefit obligation, ending 129 122 Change in plan assets: Fair value of plan assets, beginning 78 92 Actual return on plan assets 3 (4) Company contributions 6 4 Settlements and curtailments — (3) Benefits paid (3) (1) Adjustments for foreign currency translation 2 (9) Other––net — (1) Fair value of plan assets, ending 86 78 Funded status—Projected benefit obligation in excess of plan assets at end of year (a) $ (43) $ (44) (a) Included in Other noncurrent liabilities .
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets	Information related to the funded status of selected plans follows: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 Pension plans with an accumulated benefit obligation in excess of plan assets: Fair value of plan assets $ 8 $ 7 Accumulated benefit obligation 45 40 Pension plans with a projected benefit obligation in excess of plan assets: Fair value of plan assets 64 58 Projected benefit obligation 109 103
Schedule of Net Benefit Costs	The following table provides the net periodic benefit cost associated with dedicated pension plans (including those transferred to us): Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Service cost $ 5 $ 6 $ 8 Interest cost 5 2 2 Expected return on plan assets (4) (3) (3) Amortization of net losses — 1 1 Net periodic benefit cost $ 6 $ 6 $ 8
Schedule of Assumptions Used	The following table provides the weighted average actuarial assumptions for the dedicated pension plans (including those transferred to us): As of December 31, (PERCENTAGES) 2023 2022 2021 Weighted average assumptions used to determine benefit obligations: Discount rate 4.2 % 3.7 % 1.4 % Rate of compensation increase 3.6 % 3.5 % 3.4 % Cash balance credit interest rate 1.6 % 1.7 % 1.5 % Weighted average assumptions used to determine net benefit cost for the year ended December 31: Discount rate 3.7 % 1.4 % 1.2 % Expected return on plan assets 4.7 % 3.3 % 3.8 % Rate of compensation increase 3.5 % 3.4 % 3.1 % Cash balance credit interest rate 1.7 % 1.5 % 1.5 %
Schedule of Allocation of Plan Assets	The components of plan assets follow: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 Cash and cash equivalents $ 1 $ 2 Equity securities: Equity commingled funds 34 29 Debt securities: Government bonds 40 38 Other investments 11 9 Total (a) $ 86 $ 78 (a) Fair values are determined based on valuation inputs categorized as Level 1, 2 or 3 (see Note 3. Significant Accounting Policies—Fair Value ). Investment plan assets are valued using Level 1 or Level 2 inputs.
Schedule Of Percentage Of Allocation Of Plan Assets	The long-term target asset allocations and the percentage of the fair value of plans assets for dedicated benefit plans follow: As of December 31, Target allocation percentage Percentage of Plan Assets (PERCENTAGES) 2023 2023 2022 Cash and cash equivalents 0-10% 1.7 % 2.3 % Equity securities 0-60% 39.4 % 37.7 % Debt securities 15-100% 46.9 % 48.0 % Other investments 0-100% 12.0 % 12.0 % Total 100% 100 % 100 %

Share-Based Payments (Tables)

Share-Based Payments (Tables)	12 Months Ended
	Dec. 31, 2023
Share-Based Payment Arrangement [Abstract]
Components of Share-based Compensation Expense	The components of share-based compensation expense follow: Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 Stock options / stock appreciation rights $ 8 $ 10 $ 9 RSUs / DSUs 37 34 33 PSUs 15 18 16 Share-based compensation expense—total (a) $ 60 $ 62 $ 58 Tax benefit for share-based compensation expense (8) (8) (7) Share-based compensation expense, net of tax $ 52 $ 54 $ 51 (a) For each of the years ended December 31, 2023, 2022 and 2021, we capitalized up to $1 million of share-based compensation expense to inventory.
Share-based Payment Awards, Stock Options, Valuation Assumptions	The fair-value-based method for valuing each Zoetis stock option grant on the grant date uses the Black-Scholes-Merton option-pricing model, which incorporates a number of valuation assumptions noted in the following table, shown at their weighted-average values: Year Ended December 31, 2023 2022 2021 Expected dividend yield (a) 0.92 % 0.64 % 0.62 % Risk-free interest rate (b) 3.84 % 1.81 % 0.53 % Expected stock price volatility (c) 28.63 % 27.64 % 27.94 % Expected term (d) (years) 4.2 4.9 5.0 (a) Determined using a constant dividend yield during the expected term of the Zoetis stock option. (b) Determined using the interpolated yield on U.S. Treasury zero-coupon issues. (c) Determined using an equal weighting between historical volatility of the Zoetis stock price and implied volatility. The selection of the blended historical and implied volatility approach was based on our assessment that this calculation of expected volatility is more representative of future stock price trends. (d)
Stock Option Activity	The following table provides an analysis of stock option activity for the year ended December 31, 2023: Weighted-Average Remaining Aggregate Weighted-Average Contractual Term Intrinsic Value (a) Shares Exercise Price (Years) (Millions) Outstanding, December 31, 2022 2,067,606 $ 95.32 Granted 271,150 162.12 Exercised (695,987) 59.89 Forfeited (116,267) 150.66 Outstanding, December 31, 2023 1,526,502 $ 119.13 5.5 $ 120 Exercisable, December 31, 2023 858,314 $ 77.31 3.5 $ 103 (a) Market price of underlying Zoetis common stock less exercise price. As of December 31, 2023, there was approximately $10 million of unrecognized compensation costs related to nonvested stock options, which will be recognized over an expected remaining weighted-average period of nine months. The following table summarizes data related to stock option activity: Year Ended/As of December 31, (MILLIONS OF DOLLARS, EXCEPT PER STOCK OPTION AMOUNTS) 2023 2022 2021 Weighted-average grant date fair value per stock option $ 43.56 $ 51.13 $ 37.81 Aggregate intrinsic value on exercise 81 31 87 Cash received upon exercise 42 15 36 Tax benefits realized related to exercise 17 19 34
Restricted Stock Units (RSUs)	The following table provides an analysis of RSU activity for the year ended December 31, 2023: Weighted-Average RSUs Grant Date Fair Value Nonvested, December 31, 2022 620,598 $ 169.24 Granted 275,664 162.63 Vested (201,011) 145.80 Reinvested dividend equivalents 6,036 171.21 Forfeited (45,436) 171.72 Nonvested, December 31, 2023 655,851 $ 173.49
Performance-based Units Activity (PSUs)	The following table provides an analysis of PSU activity for the year ended December 31, 2023: Weighted-Average PSUs Grant Date Fair Value Nonvested, December 31, 2022 253,044 $ 221.59 Granted 99,626 238.24 Vested (65,578) 217.66 Reinvested dividend equivalents 2,392 226.48 Forfeited (37,704) 223.30 Nonvested, December 31, 2023 251,780 $ 228.99 Shares issued, December 31, 2023 64,673 $ 217.49

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	12 Months Ended
	Dec. 31, 2023
Equity, Attributable to Parent [Abstract]
Schedule of Accumulated Other Comprehensive Income (Loss)	Changes, net of tax, in accumulated other comprehensive loss, excluding noncontrolling interest, follow: Currency Translation Adjustments Benefit Plans Accumulated Other Cash Flow Net Investment Other Currency Actuarial Comprehensive (MILLIONS OF DOLLARS) Hedges Hedges Translation Adj (Losses)/Gains Loss Balance, December 31, 2020 $ (15) $ (37) $ (655) $ (23) $ (730) Other comprehensive gain/(loss), net of tax 19 42 (101) 6 (34) Balance, December 31, 2021 4 5 (756) (17) (764) Other comprehensive gain/(loss), net of tax 86 36 (188) 13 (53) Balance, December 31, 2022 90 41 (944) (4) (817) Other comprehensive (loss)/gain, net of tax (5) (23) — 6 (22) Balance, December 31, 2023 $ 85 $ 18 $ (944) $ 2 $ (839)

Earnings Per Share (Tables)

Earnings Per Share (Tables)	12 Months Ended
	Dec. 31, 2023
Earnings Per Share [Abstract]
Basic and Diluted Earnings Per Share	The following table presents the calculation of basic and diluted earnings per share: Year Ended December 31, (MILLIONS OF DOLLARS AND SHARES, EXCEPT PER SHARE DATA) 2023 2022 2021 Numerator Net income before allocation to noncontrolling interests $ 2,340 $ 2,111 $ 2,034 Less: net loss attributable to noncontrolling interests (4) (3) (3) Net income attributable to Zoetis Inc. $ 2,344 $ 2,114 $ 2,037 Denominator Weighted-average common shares outstanding 461.172 468.891 474.348 Common stock equivalents: stock options, RSUs, DSUs and PSUs 1.097 1.494 2.369 Weighted-average common and potential dilutive shares outstanding 462.269 470.385 476.717 Earnings per share attributable to Zoetis Inc. stockholders—basic $ 5.08 $ 4.51 $ 4.29 Earnings per share attributable to Zoetis Inc. stockholders—diluted $ 5.07 $ 4.49 $ 4.27

Segment Information (Tables)

Segment Information (Tables)	12 Months Ended
	Dec. 31, 2023
Segment Reporting [Abstract]
Schedule of Selected Income Statement Information by Segment	Selected Statement of Income Information Earnings Depreciation and Amortization (a) Year Ended December 31, Year Ended December 31, (MILLIONS OF DOLLARS) 2023 2022 2021 2023 2022 2021 U.S. Revenue $ 4,555 $ 4,313 $ 4,042 Cost of Sales 900 803 788 Gross Profit 3,655 3,510 3,254 Gross Margin 80.2 % 81.4 % 80.5 % Operating Expenses 786 765 681 Other (income)/deductions-net 6 (18) 4 U.S. Earnings 2,863 2,763 2,569 $ 80 $ 55 $ 54 International Revenue (b) 3,911 3,681 3,652 Cost of Sales 1,234 1,083 1,106 Gross Profit 2,677 2,598 2,546 Gross Margin 68.4 % 70.6 % 69.7 % Operating Expenses 638 611 602 Other (income)/deductions-net 2 (3) (4) International Earnings 2,037 1,990 1,948 92 86 74 Total operating segments 4,900 4,753 4,517 172 141 128 Other business activities (496) (424) (406) 33 28 28 Reconciling Items: Corporate (1,042) (1,073) (1,052) 128 132 115 Purchase accounting adjustments (159) (160) (175) 153 159 175 Acquisition-related costs (9) (5) (12) — — — Certain significant items (c) 33 (56) (73) — — — Other unallocated (291) (379) (311) 5 5 2 Total Earnings (d) $ 2,936 $ 2,656 $ 2,488 $ 491 $ 465 $ 448 (a) Certain production facilities are shared. Depreciation and amortization is allocated to the reportable operating segments based on estimates of where the benefits of the related assets are realized. (b) Revenue denominated in euros was $853 million in 2023, $774 million in 2022 and $814 million in 2021. (c) For 2023, certain significant items primarily consisted of a gain on the sale of a majority interest in our pet insurance business of $101 million, partially offset by employee termination and exit costs related to organizational structure refinements of $43 million and certain asset impairment charges primarily related to our precision animal health and diagnostics businesses of $24 million. For 2022, certain significant items primarily represents inventory and asset impairment charges related to customer relationships, developed technology rights and property, plant and equipment in our diagnostics, poultry, cattle and swine businesses and the consolidation of manufacturing sites in China of $47 million, as well as employee termination and exit costs associated with cost-reduction and productivity initiatives in certain international markets of $4 million. For 2021, certain significant items primarily included certain asset impairment charges of $46 million, as well as employee termination costs associated with our international operations and other costs associated with cost-reduction and productivity initiatives of $24 million. (d) Defined as income before provision for taxes on income.
Long-lived Assets by Geographic Areas	Property, plant and equipment, less accumulated depreciation, by geographic region follow: As of December 31, (MILLIONS OF DOLLARS) 2023 2022 U.S. $ 2,092 $ 1,820 International 1,112 933 Property, plant and equipment, less accumulated depreciation $ 3,204 $ 2,753

Subsequent Events (Details)

Subsequent Events (Details) - USD ($) $ in Millions	Dec. 31, 2023	Feb. 01, 2023	Dec. 31, 2022
Subsequent Event [Line Items]
Debt, principal amount	$ 6,650		$ 8,000
3.250% 2013 senior notes due 2023 | Senior Notes
Subsequent Event [Line Items]
Debt, principal amount	$ 0	$ 1,350	$ 1,350

Business Description (Details)

Business Description (Details)	Dec. 31, 2023 product_category country geographicRegion specie
Product Information [Line Items]
Number of regional segments | geographicRegion	2
Number of countries in which entity markets products	45
Number of core animal species | specie	8
Number of major product categories | product_category	7
Product
Product Information [Line Items]
Number of countries in which entity markets products	100

Significant Accounting Polici_3

Significant Accounting Policies (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Significant Accounting Policies [Line Items]
Revenue recognized throughout 2021		$ 5
Contract liabilities		11
Advertising and promotion expenses		281	$ 287	$ 292
Cost of sales	[1]	2,561	2,454	2,303
Capitalized internal use software		35	57
Depreciation expense		75	69	52
Accounts receivable, less allowance for doubtful accounts		1,304	1,215
Other receivables		$ 58	71
Percentage of being realized upon settlement		50%
Accruals for asset retirement obligations, non current		$ 28	25
Accounts Receivable
Significant Accounting Policies [Line Items]
Accruals for sales deductions		$ (301)	(295)
Minimum
Significant Accounting Policies [Line Items]
Customer payment terms		30 days
Minimum | Software Development
Significant Accounting Policies [Line Items]
Estimated useful life (in years)		5 years
Maximum
Significant Accounting Policies [Line Items]
Customer payment terms		90 days
Maximum | Software Development
Significant Accounting Policies [Line Items]
Estimated useful life (in years)		10 years
Other current liabilities
Significant Accounting Policies [Line Items]
Accruals for sales deductions		$ (323)	(285)
Shipping and Handling [Member]
Significant Accounting Policies [Line Items]
Cost of sales		$ 101	$ 82	$ 80
[1] Exclusive of amortization of intangible assets, except as disclosed in Note 3. Significant Accounting Policies—Amortization of Intangible Assets, Depreciation and Certain Long-Lived Assets.

Revenue - Revenue by Geographic

Revenue - Revenue by Geographic Area (Details) $ in Millions	12 Months Ended
	Dec. 31, 2023 USD ($) country	Dec. 31, 2022 USD ($) country	Dec. 31, 2021 USD ($) country
Revenue from External Customer [Line Items]
Revenues	$ 8,544	$ 8,080	$ 7,776
Revenue by country, exceeded	$ 100	$ 100
Revenue by country, exceeded, number of countries | country	12,000,000	12,000,000	12,000,000
Contract Manufacturing and Human Health Diagnostics [Member]
Revenue from External Customer [Line Items]
Revenues	$ 78	$ 86	$ 82
United States
Revenue from External Customer [Line Items]
Revenues	4,555	4,313	4,042
AUSTRALIA
Revenue from External Customer [Line Items]
Revenues	323	289	259
BRAZIL
Revenue from External Customer [Line Items]
Revenues	393	330	312
CANADA
Revenue from External Customer [Line Items]
Revenues	255	238	232
CHILE
Revenue from External Customer [Line Items]
Revenues	140	141	136
CHINA
Revenue from External Customer [Line Items]
Revenues	320	382	357
FRANCE
Revenue from External Customer [Line Items]
Revenues	142	126	132
GERMANY
Revenue from External Customer [Line Items]
Revenues	202	176	183
ITALY
Revenue from External Customer [Line Items]
Revenues	121	111	115
JAPAN
Revenue from External Customer [Line Items]
Revenues	158	173	186
MEXICO
Revenue from External Customer [Line Items]
Revenues	162	136	133
SPAIN
Revenue from External Customer [Line Items]
Revenues	122	118	128
UNITED KINGDOM
Revenue from External Customer [Line Items]
Revenues	277	235	234
Other developed markets
Revenue from External Customer [Line Items]
Revenues	512	468	467
Other emerging markets
Revenue from External Customer [Line Items]
Revenues	784	758	778
Total Geographical Area
Revenue from External Customer [Line Items]
Revenues	$ 8,466	$ 7,994	$ 7,694

Revenue - Revenue by Major Spec

Revenue - Revenue by Major Species (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Revenue from External Customer [Line Items]
Revenues		$ 8,544	$ 8,080	$ 7,776
Operating Segments | United States Segment
Revenue from External Customer [Line Items]
Revenues		4,555	4,313	4,042
Operating Segments | International Segment
Revenue from External Customer [Line Items]
Revenues	[1]	3,911	3,681	3,652
Livestock
Revenue from External Customer [Line Items]
Revenues		2,890	2,791	3,005
Livestock | United States Segment
Revenue from External Customer [Line Items]
Revenues		1,026	972	1,052
Livestock | International Segment
Revenue from External Customer [Line Items]
Revenues		1,864	1,819	1,953
Companion Animal
Revenue from External Customer [Line Items]
Revenues		5,576	5,203	4,689
Companion Animal | United States Segment
Revenue from External Customer [Line Items]
Revenues		3,529	3,341	2,990
Companion Animal | International Segment
Revenue from External Customer [Line Items]
Revenues		2,047	1,862	1,699
Contract Manufacturing and Human Health Diagnostics [Member]
Revenue from External Customer [Line Items]
Revenues		$ 78	$ 86	$ 82
[1] Revenue denominated in euros was $853 million in 2023, $774 million in 2022 and $814 million in 2021.

Revenue - Revenue by Species (D

Revenue - Revenue by Species (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Revenue from External Customer [Line Items]
Revenues	$ 8,544	$ 8,080	$ 7,776
Cattle
Revenue from External Customer [Line Items]
Revenues	1,503	1,440	1,557
Swine
Revenue from External Customer [Line Items]
Revenues	543	565	659
Poultry
Revenue from External Customer [Line Items]
Revenues	524	476	507
Fish
Revenue from External Customer [Line Items]
Revenues	220	212	187
Other
Revenue from External Customer [Line Items]
Revenues	100	98	95
Livestock
Revenue from External Customer [Line Items]
Revenues	2,890	2,791	3,005
Dogs and Cats
Revenue from External Customer [Line Items]
Revenues	285	264	263
Horses
Revenue from External Customer [Line Items]
Revenues	5,291	4,939	4,426
Companion Animal
Revenue from External Customer [Line Items]
Revenues	5,576	5,203	4,689
Contract Manufacturing and Human Health Diagnostics [Member]
Revenue from External Customer [Line Items]
Revenues	$ 78	$ 86	$ 82

Revenue - Revenue by Product (D

Revenue - Revenue by Product (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Revenue from External Customer [Line Items]
Revenues	$ 8,544	$ 8,080	$ 7,776
Vaccines
Revenue from External Customer [Line Items]
Revenues	1,771	1,718	1,673
Other pharmaceuticals
Revenue from External Customer [Line Items]
Revenues	1,280	1,043	966
Dermatology [Member]
Revenue from External Customer [Line Items]
Revenues	1,427	1,329	1,180
Anti-infectives
Revenue from External Customer [Line Items]
Revenues	1,057	1,081	1,215
Parasiticides
Revenue from External Customer [Line Items]
Revenues	1,947	1,860	1,635
Other non-pharmaceuticals
Revenue from External Customer [Line Items]
Revenues	254	250	231
Medicated feed additives
Revenue from External Customer [Line Items]
Revenues	354	360	420
Animal health diagnostics
Revenue from External Customer [Line Items]
Revenues	376	353	374
Total Products and Services
Revenue from External Customer [Line Items]
Revenues	8,466	7,994	7,694
Contract Manufacturing and Human Health Diagnostics [Member]
Revenue from External Customer [Line Items]
Revenues	$ 78	$ 86	$ 82

Revenue - Other Revenue Informa

Revenue - Other Revenue Information (Details) - product_category	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Concentration Risk [Line Items]
Number of Comprehensive Product Lines	300
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Largest Customer [Member]
Concentration Risk [Line Items]
Concentration risk, percentage	15%	14%

Acquisitions and Divestitures_2

Acquisitions and Divestitures (Details) - USD ($) $ in Millions			12 Months Ended
	Aug. 03, 2023	Sep. 30, 2022	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Sep. 30, 2023
Business Acquisition [Line Items]
Proceeds from sale of businesses, net of cash sold			$ 96	$ 0	$ 0
Gain (Loss) on Disposition of Business			101	$ 0	$ 0
Gain (Loss) On Disposition Of Business, Remeasurement Of Retained Noncontrolling Investment			24
Pumpkin Insurance Services
Business Acquisition [Line Items]
Proceeds from sale of businesses, net of cash sold			93
Amount to be received under agreement			99
Cash Divested from Deconsolidation			6
Gain (Loss) on Disposition of Business			101
Jurox
Business Acquisition [Line Items]
Business Acquisition, Percentage of Voting Interests Acquired						100%
Business Combination, Consideration Transferred		$ 240
Cash paid to shareholders		240
Business Combination, Consideration Transferred, Outstanding			$ 5
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Cash and Equivalents		20
Accounts receivable		8
Inventories		21
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Assets, Other		1
Property, plant and equipment		25
Identifiable intangible assets		135
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Other Noncurrent Assets		7
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Accounts Payable		2
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Current Liabilities, Other		12
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Noncurrent Liabilities, Other		1
Business Combination, Recognized Identifiable Assets Acquired and Liabilities Assumed, Net		202
Goodwill		38
Business Combination, Price of Acquisition, Expected		226
Payments to Acquire Businesses, Net of Cash Acquired		$ 215
PetMedix Ltd.
Business Acquisition [Line Items]
Business Combination, Consideration Transferred	$ 100
Payments to Acquire Businesses, Net of Cash Acquired	111
Cash Acquired from Acquisition	19
Business Combination, Consideration Transferred, Cash Withheld For Post-Closing Adjustments	$ 5

Restructuring Charges and Oth_3

Restructuring Charges and Other Costs Associated with Acquisitions and Cost-Reduction/Productivity Initiatives - Components of Costs Incurred (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Restructuring Cost and Reserve [Line Items]
Employee termination costs		$ 46	$ 6	$ 33
Asset write-offs and asset impairments		46	53	47
Exit costs	[1],[2]	4	1	3
Total Restructuring charges and certain acquisition-related costs		53	11	43
Manufacturing, Research, Corporate
Restructuring Cost and Reserve [Line Items]
Employee termination costs		22	2	21
Manufacturing, Research, Corporate | United States
Restructuring Cost and Reserve [Line Items]
Employee termination costs		3
Manufacturing, Research, Corporate | International
Restructuring Cost and Reserve [Line Items]
Employee termination costs		21	4	12
Employee Severance
Restructuring Cost and Reserve [Line Items]
Employee termination costs	[1],[2]	41	3	17
Facility Closing
Restructuring Cost and Reserve [Line Items]
Employee termination costs		1	2
Asset write-offs and asset impairments		1	2	13
Direct Cost
Restructuring Cost and Reserve [Line Items]
Integration costs	[3]	3	4	10
Transaction costs		$ 4	$ 1	$ 0
[1] The restructuring charges are associated with the following: • For the year ended December 31, 2023, Manufacturing/research/corporate of $22 million, U.S. of $3 million and International of $21 million. • For the year ended December 31, 2022, Manufacturing/research/corporate of $2 million and International of $4 million. • For the year ended December 31, 2021, Manufacturing/research/corporate of $21 million and International of $12 million. The restructuring charges for the year ended December 31, 2023 primarily relates to employee termination and exit costs related to organizational structure refinements and other cost-reduction and productivity initiatives. The restructuring charges for the year ended December 31, 2022 primarily relates to employee termination and exit costs associated with cost-reduction and productivity initiatives in certain international markets, as well as asset impairment charges primarily related to the consolidation of manufacturing sites in China. The restructuring charges for the year ended December 31, 2021 primarily relates to the realignment of our international operations and other cost-reduction and productivity initiatives. (b) Transaction costs represent external costs directly related to acquiring businesses and primarily includes expenditures for banking, legal, accounting and other similar services.

Restructuring Charges and Oth_4

Restructuring Charges and Other Costs Associated with Acquisitions and Cost-Reduction/Productivity Initiatives - Restructuring Benefits and Charges (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023		Dec. 31, 2022		Dec. 31, 2021
Restructuring Reserve [Roll Forward]
Beginning balance		$ 15	[1]	$ 25		$ 21
Provision/(benefit)		46		6		33
Utilization and other	[2]	(25)		(14)		(16)
Ending balance		35	[1]	15	[1]	25
Non-cash activity		1		2		13
Other current liabilities
Restructuring Reserve [Roll Forward]
Accrued expenses		26		5
Other non-current liabilities
Restructuring Reserve [Roll Forward]
Other noncurrent liabilities		9		10
Employee Severance
Restructuring Reserve [Roll Forward]
Beginning balance		14	[1]	23		21
Provision/(benefit)	[3],[4]	41		3		17
Utilization and other	[2]	(23)		(12)		(15)
Ending balance		32	[1]	14	[1]	23
Non-cash activity		0		0
Exit Costs
Restructuring Reserve [Roll Forward]
Beginning balance		1	[1]	2		0
Provision/(benefit)		4		1		3
Utilization and other	[2]	(2)		(2)		(1)
Ending balance		3	[1]	1	[1]	2
Non-cash activity		0		0		0
Facility Closing
Restructuring Reserve [Roll Forward]
Provision/(benefit)		1		2
Non-cash activity		1		$ 2		$ 13
Employee Severance and Exit Costs
Restructuring Reserve [Roll Forward]
Contractual obligation		26
Payments expected in 2022		25
Payments expected thereafter		$ 1
[1]At December 31, 2023 and 2022, included in Accrued Expenses ($26 million and $5 million, respectively) and Other noncurrent liabilities ($9 million and $10 million, respectively). The restructuring charges are associated with the following: • For the year ended December 31, 2023, Manufacturing/research/corporate of $22 million, U.S. of $3 million and International of $21 million. • For the year ended December 31, 2022, Manufacturing/research/corporate of $2 million and International of $4 million. • For the year ended December 31, 2021, Manufacturing/research/corporate of $21 million and International of $12 million. The restructuring charges for the year ended December 31, 2023 primarily relates to employee termination and exit costs related to organizational structure refinements and other cost-reduction and productivity initiatives. The restructuring charges for the year ended December 31, 2022 primarily relates to employee termination and exit costs associated with cost-reduction and productivity initiatives in certain international markets, as well as asset impairment charges primarily related to the consolidation of manufacturing sites in China. The restructuring charges for the year ended December 31, 2021 primarily relates to the realignment of our international operations and other cost-reduction and productivity initiatives.

Other (Income)_Deductions - N_3

Other (Income)/Deductions - Net Other (Income)/Deductions - Net (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Other Income and Expenses [Abstract]
Royalty-related income(a)		$ (37)	$ (4)	$ (10)
Interest income		(105)	(50)	(6)
Identifiable intangible asset impairment charges		35	39	27
Net gain on sale of assets		0	0	3
Other asset impairment charges		1	7	3
Foreign currency loss	[1]	47	62	27
Other, net		1	(14)	4
Other (income)/deductions—net		(159)	40	48
Gain (Loss) on Disposition of Business		$ (101)	$ 0	$ 0
[1]Primarily driven by costs related to hedging and exposures to certain developed and emerging market currencies.

Tax Matters (Taxes on Income) (

Tax Matters (Taxes on Income) (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Taxes on Income [Line Items]
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest	[1]	$ 2,936	$ 2,656	$ 2,488
Deferred income taxes:
Total U.S. tax provision		$ 596	$ 545	$ 454
International:
U.S. statutory income tax rate		21%	21%	21%
State and local taxes, net of federal benefits		1.60%	0.90%	0.80%
Unrecognized tax benefits and tax settlements and resolution of certain tax positions	[2]	0.90%	0.10%	0.10%
Foreign Derived Intangible Income		(0.70%)	(0.20%)	(1.10%)
U.S. Research and Development Tax Credit and U.S. Domestic Production Activities deduction		(0.70%)	(0.70%)	(0.60%)
Stock-based compensation		(0.30%)	(0.60%)	(0.90%)
Non-deductible / non-taxable items		0.20%	0.10%	0.30%
Taxation of non-U.S. operations		(0.80%)	(0.40%)	(1.30%)
All other—net		(0.90%)	0.30%	(0.10%)
Effective tax rate		20.30%	20.50%	18.20%
Effective Income Tax Rate Reconciliation, FDII, Amount		$ 12
International
International:
Total international tax provision		235	$ 197	$ 202
United States
Deferred income taxes:
Total U.S. tax provision		361	348	252
United States
Taxes on Income [Line Items]
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest		1,636	1,645	1,308
Current income taxes:
Federal		341	514	311
State and local		35	81	35
Deferred income taxes:
Federal		(40)	(198)	(84)
State and local		25	(49)	(10)
International
Taxes on Income [Line Items]
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest		1,300	1,011	1,180
International:
Current income taxes		281	235	188
Deferred income taxes		$ (46)	$ (38)	$ 14
[1]Defined as income before provision for taxes on income.[2]For a discussion about unrecognized tax benefits and tax settlements and resolution of certain tax positions, see D. Tax Contingencies

Tax Matters (Deferred Taxes) (D

Tax Matters (Deferred Taxes) (Details) - USD ($) $ in Millions		Dec. 31, 2023		Dec. 31, 2022		Dec. 31, 2021		Dec. 31, 2020
Taxes on Income [Line Items]
Unrecognized Tax Benefits		$ 209	[1]	$ 194	[1]	$ 189	[1]	$ 188
Prepaid/deferred items		72		192
Inventories		30
Inventories				(22)
Capitalized R&D for tax		224		111
Identifiable intangible assets		(154)		(154)
Property, plant and equipment		(199)		(204)
Employee benefits		62		61
Restructuring and other charges		(1)		1
Legal and product liability reserves		12		14
Net operating loss/credit carryforwards		133		112
Unremitted earnings		(4)		(4)
All other		16
All other				9
Subtotal		191		160
Valuation allowance		(131)		(129)
Deferred Tax Assets, Net	[2],[3]	60		31
Noncurrent deferred tax assets		206		173
Noncurrent deferred tax liabilities		146		142
Cumulative amount of undistributed earnings		7,600
Noncurrent Deferred Tax Assets
Taxes on Income [Line Items]
Unrecognized Tax Benefits				2		1
Other Taxes Payable
Taxes on Income [Line Items]
Unrecognized Tax Benefits		$ 209		$ 192		$ 188
[1] In 2023, included in Other taxes payable ($209 million). In 2022, included in Noncurrent deferred tax assets and Other noncurrent assets ($2 million) and Other taxes payable ($192 million). In 2021, included in Noncurrent deferred tax assets and Other noncurrent assets ($1 million) and Other taxes payable ($188 million). Noncurrent deferred tax assets ($206 million) and Noncurrent deferred tax liabilities ($146 million). In 2022, included in Noncurrent deferred tax assets ($173 million) and Noncurrent deferred tax liabilities ($142 million).

Tax Matters (Tax Contingencies)

Tax Matters (Tax Contingencies) (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023		Dec. 31, 2022		Dec. 31, 2021
Income Tax Contingency [Line Items]
Net liabilities associated with uncertain tax positions		$ 209		$ 192		$ 188
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Balance, January 1		(194)	[1]	(189)	[1]	(188)
Decreases based on tax positions taken during a prior period	[2]	20		9		7
Increases based on tax positions taken during the current period	[2]	(13)		(4)		(9)
Settlements		0		7		0
Lapse in statute of limitations(a)		5		3		2
Balance, December 31	[1]	(209)		(194)		(189)
Net interest expense		10		4		1
Gross accrued interest		26		16		12
Gross accrued penalties		1		3		3
Other Noncurrent Assets [Member]
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Balance, January 1		(11)		(3)
Balance, December 31		0		(11)		(3)
Noncurrent Deferred Tax Assets
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Balance, January 1		(2)		(1)
Balance, December 31				(2)		(1)
Other Taxes Payable
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward]
Balance, January 1		(192)		(188)
Increases based on tax positions taken during a prior period	[2]	(27)		(20)		(1)
Balance, December 31		$ (209)		$ (192)		$ (188)
[1] In 2023, included in Other taxes payable ($209 million). In 2022, included in Noncurrent deferred tax assets and Other noncurrent assets ($2 million) and Other taxes payable ($192 million). In 2021, included in Noncurrent deferred tax assets and Other noncurrent assets ($1 million) and Other taxes payable ($188 million). Primarily included in Provision for taxes on income.

Financial Instruments (Credit F

Financial Instruments (Credit Facilities) (Details)	Dec. 31, 2023 USD ($)	Dec. 31, 2022 USD ($)
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity	$ 56,000,000
Short-term Debt	3,000,000	$ 2,000,000
Revolving Credit Facility
Line of Credit Facility [Line Items]
Revolving credit facility, current borrowing capacity	1,000,000,000
Line of credit facility, maximum borrowing capacity	1,500,000,000
Borrowings outstanding	0
Line Of Credit For General Corporate Purpose
Line of Credit Facility [Line Items]
Borrowings outstanding	$ 3,000,000	$ 2,000,000
Operational Efficiency
Line of Credit Facility [Line Items]
Maximum total leverage ratio	3.50
Maximum total leverage ratio, next 12 months	4

Financial Instruments (Commerci

Financial Instruments (Commercial Paper Program and Other Short-Term Borrowings) (Details) - USD ($)	Dec. 31, 2023	Feb. 28, 2013
Short-term Debt [Line Items]
Commercial paper issued under program	$ 0
Commercial Paper
Short-term Debt [Line Items]
Capacity of commercial paper program		$ 1,000,000,000

Financial Instruments (Senior N

Financial Instruments (Senior Notes and Other Long-Term Debt) (Details) - USD ($) $ in Millions	Dec. 31, 2023	Feb. 01, 2023	Dec. 31, 2022	Nov. 08, 2022	Sep. 12, 2017	Nov. 13, 2015	Jan. 28, 2013
Debt Instrument [Line Items]
Debt, principal amount	$ 6,650		$ 8,000
Current portion of long-term debt	0		1,350
Senior Notes
Debt Instrument [Line Items]
Debt, purchase price percent due to downgrade of investment grade							101%
Senior Notes | 3.900% 2018 senior notes due 2028
Debt Instrument [Line Items]
Debt, principal amount	500		500
Debt, stated interest percentage rate					3.90%
Senior Notes | 4.450% 2018 senior notes due 2048
Debt Instrument [Line Items]
Debt, principal amount	400		400
Debt, stated interest percentage rate					4.45%
Senior Notes | 3.000% 2017 senior notes due 2027
Debt Instrument [Line Items]
Debt, principal amount	750		750
Debt, stated interest percentage rate					3%
Senior Notes | 3.950% 2017 senior notes due 2047
Debt Instrument [Line Items]
Debt, principal amount	500		500
Debt, stated interest percentage rate					3.95%
Senior Notes | Senior Notes 2.000% Due 2030
Debt Instrument [Line Items]
Debt, principal amount	750		750
Debt, stated interest percentage rate					2%
Senior Notes | Senior Notes 3.000% Due 2050
Debt Instrument [Line Items]
Debt, principal amount	500		500
Senior Notes | 3.250% 2013 senior notes due 2023
Debt Instrument [Line Items]
Debt, principal amount	0	$ 1,350	1,350
Debt, stated interest percentage rate							3.25%
Senior Notes | 4.500% 2015 senior notes due 2025
Debt Instrument [Line Items]
Debt, principal amount	750		750
Debt, stated interest percentage rate						4.50%
Senior Notes | 4.700% 2013 senior notes due 2043
Debt Instrument [Line Items]
Debt, principal amount	1,150		1,150
Debt, stated interest percentage rate							4.70%
Senior Notes | 2022 Senior Notes
Debt Instrument [Line Items]
Debt, principal amount				$ 1,350
Debt, unamortized discount				$ 2
Senior Notes | 5.600% Senior Notes Due 2032
Debt Instrument [Line Items]
Debt, principal amount	750		750
Debt, stated interest percentage rate				5.60%
Senior Notes | 5.400% Senior Notes Due 2025
Debt Instrument [Line Items]
Debt, principal amount	$ 600		$ 600
Debt, stated interest percentage rate				5.40%

Financial Instruments (Schedule

Financial Instruments (Schedule of Long-term Debt) (Details) - USD ($) $ in Millions	Dec. 31, 2023	Feb. 01, 2023	Dec. 31, 2022	Sep. 12, 2017	Nov. 13, 2015	Jan. 28, 2013
Debt Instrument [Line Items]
Debt, principal amount	$ 6,650		$ 8,000
Unamortized debt discount / debt issuance costs	60		66
Less current portion of long-term debt	0		1,350
Cumulative fair value adjustment for interest rate swap contracts	(26)		(32)
Long-term debt, net of discount and issuance costs	6,564		6,552
Senior Notes | 3.250% 2013 senior notes due 2023
Debt Instrument [Line Items]
Debt, stated interest percentage rate						3.25%
Debt, principal amount	0	$ 1,350	1,350
Senior Notes | 4.500% 2015 senior notes due 2025
Debt Instrument [Line Items]
Debt, stated interest percentage rate					4.50%
Debt, principal amount	750		750
Senior Notes | 3.000% 2017 senior notes due 2027
Debt Instrument [Line Items]
Debt, stated interest percentage rate				3%
Debt, principal amount	750		750
Senior Notes | 3.900% 2018 senior notes due 2028
Debt Instrument [Line Items]
Debt, stated interest percentage rate				3.90%
Debt, principal amount	500		500
Senior Notes | 4.700% 2013 senior notes due 2043
Debt Instrument [Line Items]
Debt, stated interest percentage rate						4.70%
Debt, principal amount	1,150		1,150
Senior Notes | 3.950% 2017 senior notes due 2047
Debt Instrument [Line Items]
Debt, stated interest percentage rate				3.95%
Debt, principal amount	500		500
Senior Notes | 4.450% 2018 senior notes due 2048
Debt Instrument [Line Items]
Debt, stated interest percentage rate				4.45%
Debt, principal amount	400		400
Fair Value, Inputs, Level 2
Debt Instrument [Line Items]
Fair value, debt instrument	$ 6,319		$ 6,108

Financial Instruments (Fair Val

Financial Instruments (Fair Value of Debt) (Details) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022
Fair Value, Inputs, Level 2
Debt Instrument [Line Items]
Fair value, debt instrument	$ 6,319	$ 6,108

Financial Instruments (Long-ter

Financial Instruments (Long-term Debt Maturity) (Details) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022
Maturities
2024	$ 0
2025	1,350
2026	0
2027	750
2028	500
After 2026	4,050
Total	6,650	$ 8,000
Interest payments
2024	272
2025	272
2026	206
2027	206
2028	183
After 2026	2,027
Total	$ 3,166

Financial Instruments (Interest

Financial Instruments (Interest Expense) (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Debt Disclosure [Abstract]
Interest expense, net of capitalized interest	$ 239	$ 221	$ 224
Capitalized interest expense	$ 27	$ 21	$ 20

Financial Instruments (Foreign

Financial Instruments (Foreign Exchange Risk) (Details) € in Millions, kr in Millions, SFr in Millions, $ in Millions	Dec. 31, 2023 USD ($)	Dec. 31, 2023 EUR (€)	Dec. 31, 2023 DKK (kr)	Dec. 31, 2023 CHF (SFr)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 EUR (€)	Dec. 31, 2022 DKK (kr)	Dec. 31, 2022 CHF (SFr)
Cross-currency interest rate swap contracts
Derivative [Line Items]
Aggregate notional amount	$ 250	€ 650	kr 600	SFr 25	$ 250	€ 650	kr 600	SFr 25
Derivatives Not Designated as Hedging Instruments | Foreign Exchange Forward
Derivative [Line Items]
Aggregate notional amount	$ 1,948				$ 1,753

Financial Instruments (Intere_2

Financial Instruments (Interest Rate Risk) (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Sep. 12, 2017	Nov. 13, 2015
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Less current portion of long-term debt	$ 0	$ 1,350
Debt, principal amount	6,650	8,000
Derivative, Cash Received on Hedge	114
Senior Notes | 4.500% 2015 senior notes due 2025
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Debt, stated interest percentage rate				4.50%
Debt, principal amount	750	750
Senior Notes | Senior Notes 2.000% Due 2030
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Debt, stated interest percentage rate			2%
Debt, principal amount	750	750
Senior Notes | Senior Notes 3.000% Due 2050
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Debt, principal amount	500	500
Interest Rate Swap
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Aggregate notional amount	100	$ 50
Derivatives Designated as Hedging Instruments | Interest Rate Swap
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Aggregate notional amount	$ 650

Financial Instruments (Derivati

Financial Instruments (Derivative Notional Amounts) (Details) € in Millions, kr in Millions, SFr in Millions, $ in Millions	Dec. 31, 2023 USD ($)	Dec. 31, 2023 EUR (€)	Dec. 31, 2023 DKK (kr)	Dec. 31, 2023 CHF (SFr)	Dec. 31, 2022 USD ($)	Dec. 31, 2022 EUR (€)	Dec. 31, 2022 DKK (kr)	Dec. 31, 2022 CHF (SFr)
Foreign Exchange Forward | Derivatives Not Designated as Hedging Instruments
Derivative [Line Items]
Derivative, notional amount	$ 1,948				$ 1,753
Cross-currency interest rate swap contracts
Derivative [Line Items]
Derivative, notional amount	250	€ 650	kr 600	SFr 25	250	€ 650	kr 600	SFr 25
Interest Rate Swap
Derivative [Line Items]
Derivative, notional amount	100				$ 50
Interest Rate Swap | Derivatives Designated as Hedging Instruments
Derivative [Line Items]
Derivative, notional amount	$ 650

Financial Instruments (Fair V_2

Financial Instruments (Fair Value of Derivative Instruments) (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Derivatives, Fair Value [Line Items]
Total foreign currency forward-exchange contracts		$ 19	$ (6)
Unrecognized net gains/(losses) on derivative instruments	[1]	(23)	36	$ 42
Foreign Exchange Forward | Derivatives Not Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Total foreign currency forward-exchange contracts		0	(1)
Gain (loss) on derivative contracts not designated as hedging instruments		$ (25)	(58)
Foreign Exchange Forward | Derivatives Not Designated as Hedging Instruments | Maximum
Derivatives, Fair Value [Line Items]
Derivative, Term of Contract		4 years
Foreign Exchange Forward | Derivatives Not Designated as Hedging Instruments | Minimum
Derivatives, Fair Value [Line Items]
Derivative, Term of Contract		60 days
Foreign Exchange Forward | Derivatives Not Designated as Hedging Instruments | Other current assets
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		$ (11)	(22)
Foreign Exchange Forward | Derivatives Not Designated as Hedging Instruments | Other current liabilities
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		(11)	(21)
Forward Starting Interest Rate Swap Contract [Member] | Derivatives Designated as Hedging Instruments | Other Noncurrent Assets [Member]
Derivatives, Fair Value [Line Items]
Total foreign currency forward-exchange contracts		(12)	(10)
Cross-currency interest rate swap contracts | Derivatives Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Unrecognized net gains/(losses) on derivative instruments		(23)	36
Gains/(losses) on derivative instruments		19	16
Collateral received		33	21
Additional Collateral, Aggregate Fair Value		$ 13	8
Cross-currency interest rate swap contracts | Derivatives Designated as Hedging Instruments | Maximum
Derivatives, Fair Value [Line Items]
Derivative, Term of Contract		2 years
Cross-currency interest rate swap contracts | Derivatives Designated as Hedging Instruments | Other current assets
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		$ (5)	(21)
Cross-currency interest rate swap contracts | Derivatives Designated as Hedging Instruments | Other current liabilities
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		20	9
Cross-currency interest rate swap contracts | Derivatives Designated as Hedging Instruments | Other Noncurrent Assets [Member]
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		(11)	(19)
Cross-currency interest rate swap contracts | Derivatives Designated as Hedging Instruments | Other non-current liabilities
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		1	4
Forward starting interest rate swap contracts | Derivatives Designated as Hedging Instruments
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		(19)	5
Unrecognized net gains/(losses) on derivative instruments		2	(2)
zts_FixedtoFloatInterestRateSwap | Derivatives Designated as Hedging Instruments | Other non-current liabilities
Derivatives, Fair Value [Line Items]
Foreign currency forward-exchange contracts		$ 26	$ 32
[1]Presented net of reclassification adjustments, which are not material in any period presented. Reclassification adjustments related to benefit plans are generally reclassified, as part of net periodic pension cost, into Cost of sales, Selling, general and administrative expenses, and/or Research and development expenses, as appropriate, in the Consolidated Statements of Income.

Leases (Details)

Leases (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Lessee, Lease, Description [Line Items]
Operating lease expense	$ 56	$ 51	$ 50
Variable lease payments not included in the measurement of lease liabilities	20	12	19
Short-term lease payments not included in the measurement of lease liabilities	11	12	9
Finance Lease, Right-of-Use Asset, Amortization	1	0	0
Cash paid for amounts included in the measurement of lease liabilities	57	51	47
Lease obligations obtained in exchange for right-of-use assets (non-cash)	73	99	39
Right-of-Use Asset Obtained in Exchange for Finance Lease Liability	9	0	0
Operating lease right of use assets	$ 230	$ 220
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration]	Other noncurrent assets	Other noncurrent assets
Finance Lease, Right-of-Use Asset, after Accumulated Amortization	$ 9	$ 0
Lease, Right-Of-Use Asset	239	220
Lease, Cost	88	75	$ 78
Operating lease liabilities - current (in Other current liabilities)	48	43
Operating lease liabilities - noncurrent	$ 188	$ 186
Finance Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration]	Other noncurrent liabilities	Other noncurrent liabilities
Finance Lease, Liability, Noncurrent	$ 8	$ 0
Lease, Liability	245	$ 229
Total operating lease liabilities	$ 236
Weighted-average remaining lease term—operating leases (years)	7 years 3 months 3 days	7 years 8 months 19 days
Finance Lease, Weighted Average Remaining Lease Term	30 years 3 months 7 days	0 years
Weighted-average discount rate—operating leases	3.41%	2.78%
Finance Lease, Weighted Average Discount Rate, Percent	4.99%	0%
2024	$ 57
2025	48
2026	38
2027	30
2028	25
After 2025	73
Total Lease Payments	271
Less: Imputed Interest	(35)
Finance Lease, Liability, Undiscounted Excess Amount	3
Finance Lease, Liability	9
Finance Lease, Liability, to be Paid	12
Finance Lease, Liability, to be Paid, after Year Five	6
Finance Lease, Liability, to be Paid, Year Five	1
Finance Lease, Liability, to be Paid, Year Four	1
Finance Lease, Liability, to be Paid, Year Three	1
Finance Lease, Liability, to be Paid, Year Two	1
Finance Lease, Liability, to be Paid, Year One	2
Debt, principal amount	$ 6,650	$ 8,000
Operating Lease, Liability, Current, Statement of Financial Position [Extensible List]	Other current liabilities	Other current liabilities
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Other current liabilities	Other current liabilities
Finance Lease, Liability, Current	$ 1	$ 0
Minimum
Lessee, Lease, Description [Line Items]
Lessee, Operating Lease, Term of Contract	1 year
Maximum
Lessee, Lease, Description [Line Items]
Lessee, Operating Lease, Term of Contract	15 years
Lessee, Finance Lease, Remaining Lease Term	30 years

Inventories (Details)

Inventories (Details) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022
Inventory Disclosure [Abstract]
Finished goods	$ 1,147	$ 1,090
Work-in-process	966	825
Raw materials and supplies	451	430
Inventories	$ 2,564	$ 2,345

Property, Plant and Equipment_2

Property, Plant and Equipment (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Property, Plant and Equipment [Line Items]
Land	$ 25	$ 26
Buildings	1,316	1,197
Machinery, equipment and fixtures	3,372	3,013
Construction-in-progress	1,085	814
Total property, plant and equipment, gross	5,798	5,050
Accumulated Depreciation, Depletion and Amortization, Property, Plant, and Equipment	2,594	2,297
Property, plant and equipment	3,204	2,753
Depreciation expense	$ 306	$ 272	$ 244
Building | Minimum
Property, Plant and Equipment [Line Items]
Estimated useful life (in years)	33 years 3 months 18 days
Building | Maximum
Property, Plant and Equipment [Line Items]
Estimated useful life (in years)	50 years
Machinery and Equipment | Minimum
Property, Plant and Equipment [Line Items]
Estimated useful life (in years)	3 years
Machinery and Equipment | Maximum
Property, Plant and Equipment [Line Items]
Estimated useful life (in years)	20 years

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets (Goodwill) (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022
Goodwill [Roll Forward]
Beginning balance	$ 2,746	$ 2,682
Additions / Adjustments	38	105
Goodwill, Transfers	(9)
Other	(16)	(41)
Ending balance	2,759	2,746
United States
Goodwill [Roll Forward]
Beginning balance	1,485	1,424
Additions / Adjustments	24	61
Goodwill, Transfers	25
Other	(2)	0
Ending balance	1,532	1,485
International
Goodwill [Roll Forward]
Beginning balance	1,261	1,258
Additions / Adjustments	14	44
Goodwill, Transfers	(34)
Other	(14)	(41)
Ending balance	$ 1,227	$ 1,261

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets (Narrative) (Details) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022
Goodwill and Intangible Assets Disclosure [Abstract]
Gross goodwill	$ 3,295	$ 3,282
Accumulated goodwill impairment losses	$ 536

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets (Finite-lived and Indefinite-lived Intangible Assets) (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Finite Lived and Indefinite Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Gross Carrying Amount	$ 2,639	$ 2,650
Finite-lived intangible assets, Accumulated Amortization	(1,537)	(1,445)
Finite-lived intangible assets, Identifiable Intangible Assets, Less Accumulated Amortization	1,102	1,205
Indefinite-lived intangible assets:	236	175
Intangible Assets, Gross Carrying Amount	2,875	2,825
Identifiable Intangible Assets, Less Accumulated Amortization	$ 1,338	1,380
Weighted average life our finite lived intangible assets	9 years
Amortization expense of finite-lived intangible assets	$ 185	193	$ 204
2019	171
2020	159
2021	153
2022	148
2023	119
Brands and tradenames
Finite Lived and Indefinite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets:	88	91
In Process Research and Development
Finite Lived and Indefinite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets:	141	77
Product rights
Finite Lived and Indefinite Lived Intangible Assets [Line Items]
Indefinite-lived intangible assets:	7	7
Developed Technology Rights
Finite Lived and Indefinite Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Gross Carrying Amount	1,986	1,918
Finite-lived intangible assets, Accumulated Amortization	(1,101)	(975)
Finite-lived intangible assets, Identifiable Intangible Assets, Less Accumulated Amortization	885	943
Brands and tradenames
Finite Lived and Indefinite Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Gross Carrying Amount	383	395
Finite-lived intangible assets, Accumulated Amortization	(246)	(237)
Finite-lived intangible assets, Identifiable Intangible Assets, Less Accumulated Amortization	137	158
Other Intangible Assets
Finite Lived and Indefinite Lived Intangible Assets [Line Items]
Finite-lived intangible assets, Gross Carrying Amount	270	337
Finite-lived intangible assets, Accumulated Amortization	(190)	(233)
Finite-lived intangible assets, Identifiable Intangible Assets, Less Accumulated Amortization	$ 80	$ 104

Benefit Plans (Details)

Benefit Plans (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Defined Benefit Plan Disclosure [Line Items]
Employee benefit plan contribution from Pfizer Inc.	$ 0
Pension and other postretirement benefit expense	6	$ 12	$ 14
Actuarial losses	4	6
Actuarial losses, net of tax	4	3
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract]
Service cost	5	6	8
Interest cost	5	2	2
Expected return on plan assets	(4)	(3)	(3)
Amortization of net losses	0	1	1
Net periodic benefit cost	6	6	8
Company contributions	6	4
Contribution expense	$ (69)	(57)	(54)
Matching percentage	100%
Maximum matching percentage	5%
Additional contribution percentage, minimum	0%
Additional contribution percentage, maximum	8%
Other Pension Plan, Postretirement or Supplemental Plans
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract]
2020	$ 5
Contribution expense	(11)	(9)	(12)
Defined Benefit Plan, Expected Future Benefit Payment, Thereafter	46
United States
Defined Benefit Plan Disclosure [Line Items]
Total cost of service credit continuation	$ 38
Installment period	10 years
Pension and other postretirement benefit expense	$ 0	0
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract]
Postretirement benefit expense	0	$ 0	$ 0
United States | Pfizer
Defined Benefit Plan Disclosure [Line Items]
Remaining total cost	$ 25
Foreign Plan
Defined Benefit Plan Disclosure [Line Items]
Period of amortization	10 years 1 month 6 days
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract]
Expected contribution in 2020	$ 7
2020	7
2021	6
2022	11
2023	7
2024	7
Thereafter	$ 53

Benefit Plans Changes in Projec

Benefit Plans Changes in Projected Benefit Obligations, Fair Value of Plan Assets, and Funded Status of Plan (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023		Dec. 31, 2022		Dec. 31, 2021
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward]
Projected benefit obligation, beginning		$ 122		$ 159
Service cost		5		6		$ 8
Interest cost		5		2		2
Changes in actuarial assumptions and other		(4)		(27)
Settlements and curtailments		0		(3)
Benefits paid		(3)		(1)
Adjustments for foreign currency translation		5		(13)
Other––net		(1)		(1)
Benefit obligation, ending		129		122		159
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward]
Fair value of plan assets, beginning		78	[1]	92
Actual return on plan assets		3		(4)
Company contributions		6		4
Settlements and curtailments		0		(3)
Benefits paid		(3)		(1)
Adjustments for foreign currency translation		2		(9)
Other––net		0		(1)
Fair value of plan assets, ending		86	[1]	78	[1]	$ 92
Funded status—Projected benefit obligation in excess of plan assets at end of year	[2]	$ (43)		$ (44)
[1] Fair values are determined based on valuation inputs categorized as Level 1, 2 or 3 (see Note 3. Significant Accounting Policies—Fair Value ). Investment plan assets are valued using Level 1 or Level 2 inputs. .

Benefit Plans Schedule of Benef

Benefit Plans Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets (Details) - USD ($) $ in Millions	Dec. 31, 2023	Dec. 31, 2022
Pension plans with an accumulated benefit obligation in excess of plan assets:
Fair value of plan assets	$ 8	$ 7
Accumulated benefit obligation	45	40
Pension plans with a projected benefit obligation in excess of plan assets:
Projected benefit obligation	109	103
Pension Plan [Member]
Pension plans with a projected benefit obligation in excess of plan assets:
Fair value of plan assets	$ 64	$ 58

Benefit Plans Schedule of Assum

Benefit Plans Schedule of Assumptions Used (Details)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Weighted average assumptions used to determine benefit obligations: [Abstract]
Discount rate	4.20%	3.70%	1.40%
Rate of compensation increase	3.60%	3.50%	3.40%
Cash balance credit interest rate	1.60%	1.70%	1.50%
Weighted average assumptions used to determine net benefit cost for the year ended December 31:
Discount rate	3.70%	1.40%	1.20%
Expected return on plan assets	4.70%	3.30%	3.80%
Rate of compensation increase	3.50%	3.40%	3.10%
Cash balance credit interest rate	1.70%	1.50%	1.50%

Benefit Plans Schedule of Alloc

Benefit Plans Schedule of Allocation of Plan Assets (Details) - USD ($) $ in Millions	Dec. 31, 2023		Dec. 31, 2022		Dec. 31, 2021
Defined Benefit Plan Disclosure [Line Items]
Plan assets	$ 86	[1]	$ 78	[1]	$ 92
Cash and cash equivalents
Defined Benefit Plan Disclosure [Line Items]
Plan assets	1		2
Equity securities: Equity commingled funds
Defined Benefit Plan Disclosure [Line Items]
Plan assets	34		29
Debt securities: Government bonds
Defined Benefit Plan Disclosure [Line Items]
Plan assets	40		38
Other investments
Defined Benefit Plan Disclosure [Line Items]
Plan assets	$ 11		$ 9
[1] Fair values are determined based on valuation inputs categorized as Level 1, 2 or 3 (see Note 3. Significant Accounting Policies—Fair Value ). Investment plan assets are valued using Level 1 or Level 2 inputs.

Benefit Plans Schedule Of Perce

Benefit Plans Schedule Of Percentage Of Allocation Of Plan Assets Table (Details)	Dec. 31, 2023	Dec. 31, 2022
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	100%
Cash and cash equivalents, percentage	1.70%	2.30%
Equity securities, percentage	39.40%	37.70%
Debt securities, percentage	46.90%	48%
Other investments, percentage	12%	12%
Total, percentage	100%	100%
Maximum | Cash and cash equivalents
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	10%
Maximum | Equity securities: Equity commingled funds
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	60%
Maximum | Debt securities: Government bonds
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	100%
Maximum | Other investments
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	100%
Minimum | Cash and cash equivalents
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	0%
Minimum | Equity securities: Equity commingled funds
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	0%
Minimum | Debt securities: Government bonds
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	15%
Minimum | Other investments
Defined Benefit Plan Disclosure [Line Items]
Total, percentage	0%

Share-Based Payments (Narrative

Share-Based Payments (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares of stock approved and registered with the SEC		30,000,000
Shares available for future grant		14,000,000
Period following separation service		60 days
Expected stock price volatility	[1]	28.63%	27.64%	27.94%
Stock Options
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Exercise price percentage of the fair market value price at date of grant		100%
Award vesting period (in years)		3 years
Contractual term (in years)		10 years
Total compensation cost related to nonvested RSU awards not yet recognized, pre-tax		$ 10
Weighted-average period over which RSU cost is expected to be recognized (in years)		9 months
Restricted Stock Units (RSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Award vesting period (in years)		3 years
Total compensation cost related to nonvested RSU awards not yet recognized, pre-tax		$ 45
Weighted-average period over which RSU cost is expected to be recognized (in years)		10 months
Granted (in shares)		275,664
Shares outstanding		201,011
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value		$ 162.63
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number		655,851	620,598
Share-Based Compensation Arrangement by Share-Based Payment Award, Award Graded Vesting Period		3 years
Deferred Stock Units (DSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)		0
Shares outstanding		65,654	65,071
PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Total compensation cost related to nonvested RSU awards not yet recognized, pre-tax		$ 25
Weighted-average period over which RSU cost is expected to be recognized (in years)		1 year 2 months 12 days
Granted (in shares)		99,626
Shares outstanding		65,578
Expected stock price volatility		38.10%	28.40%
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Grants in Period, Weighted Average Grant Date Fair Value		$ 238.24
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number		251,780	253,044
PSUs | Peer Companies
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Expected stock price volatility		40.90%	38.10%
PSUs | Minimum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of target units		0%
PSUs | Maximum
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Percentage of target units		200%
[1]Determined using an equal weighting between historical volatility of the Zoetis stock price and implied volatility. The selection of the blended historical and implied volatility approach was based on our assessment that this calculation of expected volatility is more representative of future stock price trends.

Share-Based Payments (Component

Share-Based Payments (Components of share-based compensation expense) (Details) - USD ($) $ / shares in Units, $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense—total	[1]	$ 60	$ 62	$ 58
Tax benefit for share-based compensation expense		(8)	(8)	(7)
Share-based compensation expense, net of tax		52	54	51
Share-based compensation expense capitalized (less than)		$ 1	1	1
Share-based Compensation Arrangements by Share-based Payment Award, Options, Grants in Period, Weighted Average Exercise Price		$ 162.12
Deferred Stock Units (DSUs)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)		0
Stock options / stock appreciation rights
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense		$ 8	10	9
RSUs / DSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based compensation expense	[2]	$ 37	34	33
PSUs
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Granted (in shares)		99,626
Share-based compensation expense		$ 15	$ 18	$ 16
[1]For each of the years ended December 31, 2023, 2022 and 2021, we capitalized up to $1 million of share-based compensation expense to inventory[2]

Share-Based Payments (Stock opt

Share-Based Payments (Stock option valuation assumptions) (Details)		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Share-Based Payment Arrangement [Abstract]
Expected dividend yield	[1]	0.92%	0.64%	0.62%
Risk-free interest rate	[2]	3.84%	1.81%	0.53%
Expected stock price volatility	[3]	28.63%	27.64%	27.94%
Expected term (in years)	[4]	4 years 2 months 12 days	4 years 10 months 24 days	5 years
[1]Determined using a constant dividend yield during the expected term of the Zoetis stock option.[2]Determined using the interpolated yield on U.S. Treasury zero-coupon issues.[3]Determined using an equal weighting between historical volatility of the Zoetis stock price and implied volatility. The selection of the blended historical and implied volatility approach was based on our assessment that this calculation of expected volatility is more representative of future stock price trends.[4]Determined using expected exercise and post-vesting termination patterns.

Share-Based Payments (Stock o_2

Share-Based Payments (Stock option activity) (Details) - USD ($) $ / shares in Units, $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Shares
Outstanding, Beginning Balance (in shares)		2,067,606
Granted (in shares)		271,150
Exercised (in shares)		(695,987)
Forfeited (in shares)		(116,267)
Outstanding, Ending Balance (in shares)		1,526,502	2,067,606
Weighted-average Exercise Price Per Share
Outstanding, Beginning Balance (in dollars per share)		$ 95.32
Granted (in dollars per share)		162.12
Exercised (in dollars per share)		59.89
Forfeited (in dollars per share)		150.66
Outstanding, Ending Balance (in dollars per share)		$ 119.13	$ 95.32
Outstanding, Weighted-average Remaining Contractual Term (in years)		5 years 6 months
Outstanding, Aggregate Intrinsic Value	[1]	$ 120
Exercisable, December 31, 2023		858,314
Exercisable, Weighted Average Exercise Price Per Share		$ 77.31
Exercisable, Weighted Average Remaining Contractual Term (in years)		3 years 6 months
Vested and expected to vest, Aggregate Intrinsic Value	[1]	$ 103
Weighted-average grant date fair value per stock option		$ 43.56	$ 51.13	$ 37.81
Aggregate intrinsic value on exercise		$ 81	$ 31	$ 87
Cash received upon exercise		42	15	36
Share-based Payment Arrangement, Exercise of Option, Tax Benefit		$ 17	$ 19	$ 34
[1]Market price of underlying Zoetis common stock less exercise price.

Share-Based Payments (Nonvested

Share-Based Payments (Nonvested restricted stock activity) (Details) - Restricted Stock Units (RSUs)	12 Months Ended
	Dec. 31, 2023 $ / shares shares
RSUs
Nonvested, Beginning Balance (in shares) | shares	620,598
Granted (in shares) | shares	275,664
Vested (in shares) | shares	(201,011)
Reinvested dividend equivalents (in shares) | shares	6,036
Forfeited (in shares) | shares	(45,436)
Nonvested, Ending Balance (in shares) | shares	655,851
Weighted Average Grant Date Fair Value Per Share
Nonvested, Beginning Balance (in dollars per share) | $ / shares	$ 169.24
Granted (in dollars per share) | $ / shares	162.63
Vested (in dollars per share) | $ / shares	145.80
Reinvested dividend equivalents (in dollars per share) | $ / shares	171.21
Forfeited (in dollars per share) | $ / shares	171.72
Nonvested, Ending Balance (in dollars per share) | $ / shares	$ 173.49

Share-Based Payments (Performan

Share-Based Payments (Performance Share Awards (PSAs) Activity) (Details) - PSUs	12 Months Ended
	Dec. 31, 2023 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares, Issued | shares	64,673
RSUs
Nonvested, Beginning Balance (in shares) | shares	253,044
Granted (in shares) | shares	99,626
Vested (in shares) | shares	(65,578)
Reinvested dividend equivalents (in shares) | shares	2,392
Forfeited (in shares) | shares	(37,704)
Nonvested, Ending Balance (in shares) | shares	251,780
Weighted Average Grant Date Fair Value Per Share
Nonvested, Beginning Balance (in dollars per share) | $ / shares	$ 221.59
Granted (in dollars per share) | $ / shares	238.24
Vested (in dollars per share) | $ / shares	217.66
Reinvested dividend equivalents (in dollars per share) | $ / shares	226.48
Forfeited (in dollars per share) | $ / shares	223.30
Nonvested, Ending Balance (in dollars per share) | $ / shares	228.99
Share-based Compensation Arrangement by Share-based Payment Award, Per Share Weighted Average Price of Shares Purchased | $ / shares	$ 217.49

Stockholders' Equity - Changes

Stockholders' Equity - Changes in Common Shares and Treasury Stock (Details) - USD ($)	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Class of Stock [Line Items]
Common stock, shares authorized	6,000,000,000
Preferred stock, authorized (in shares)	1,000,000,000
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Beginning Balance	501,900,000	501,900,000	501,900,000
Stock-based compensation		0	0
Share repurchase program		0	0
Treasury Stock	(900,000)	(700,000)	(1,300,000)
Ending Balance	501,891,243	501,900,000	501,900,000
Stock Repurchase Program, Remaining Number of Shares Authorized to be Repurchased	1,500,000,000
December 2021 Share Repurchase Program [Member]
Class of Stock [Line Items]
Shares authorized under repurchase program	$ 3,500,000,000
Share Repurchase Program
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Treasury Stock	(6,300,000)	(9,500,000)	(4,000,000)

Stockholders' Equity - Accumula

Stockholders' Equity - Accumulated other comprehensive income/ (loss) (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	$ (817)
Other comprehensive gain/(loss), net of tax	(22)	$ (53)	$ (34)
Ending balance	(839)	(817)
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	4,991	4,403	4,544	$ 3,773
Accumulated Other Comprehensive (Loss)/ Income
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Other comprehensive gain/(loss), net of tax	(22)	(53)	(34)
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	(839)	(817)	(764)	(730)
Derivatives Net Unrealized Losses
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Other comprehensive gain/(loss), net of tax	(5)	86	19
Stockholders' Equity, Including Portion Attributable to Noncontrolling Interest	85	90	4	$ (15)
Accumulated Other Comprehensive Income (Loss), Derivative Qualifying as Hedge, Excluded Component, Including Portion Attributable to Noncontrolling Interest [Member]
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	41	5	(37)
Other comprehensive gain/(loss), net of tax	(23)	36	42
Ending balance	18	41	5
Currency Translation Adjustment, Net Unrealized Losses
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	(944)	(756)	(655)
Other comprehensive gain/(loss), net of tax	0	(188)	(101)
Ending balance	(944)	(944)	(756)
Benefit Plans, Actuarial Gains/ (Losses)
Accumulated Other Comprehensive Income (Loss) [Roll Forward]
Beginning balance	(4)	(17)	(23)
Other comprehensive gain/(loss), net of tax	6	13	6
Ending balance	$ 2	$ (4)	$ (17)

Earnings Per Share (Details)

Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Numerator
Net income before allocation to noncontrolling interests	$ 2,340	$ 2,111	$ 2,034
Less: net loss attributable to noncontrolling interests	(4)	(3)	(3)
Net income attributable to Zoetis Inc.	$ 2,344	$ 2,114	$ 2,037
Denominator
Weighted-average common shares outstanding	461,172	468,891	474,348
Common stock equivalents: stock options, RSUs, DSUs and PSUs	1,097	1,494	2,369
Weighted-average common and potential dilutive shares outstanding	462,269	470,385	476,717
Earnings per share attributable to Zoetis Inc. stockholders—basic (in dollars per share)	$ 5.08	$ 4.51	$ 4.29
Earnings per share attributable to Zoetis stockholders—diluted (in dollars per share)	$ 5.07	$ 4.49	$ 4.27

Commitments and Contingencies (

Commitments and Contingencies (Details) $ in Millions	1 Months Ended	6 Months Ended
	Apr. 30, 2012	Jun. 30, 2016 USD ($)	Feb. 29, 2012 defendant
Ulianopolis, Brazil
Loss Contingencies [Line Items]
Number of additional defendants			5
Number of claims seeking damages			6
Number of years lawsuit suspended	1 year
European Commission
Loss Contingencies [Line Items]
Income Tax Examination, Penalties and Interest Expense | $		$ 35

Commitments and Contingencies -

Commitments and Contingencies - Purchase Commitments (Details) $ in Millions	Dec. 31, 2023 USD ($)
Long-Term Purchase Commitment [Line Items]
Purchase Obligation, to be Paid, Year One	$ 200
Purchase Obligation	336
Long Term Purchase Commitment
Long-Term Purchase Commitment [Line Items]
Purchase Obligation	$ 136

Segment Information (Details)

Segment Information (Details) $ in Millions	12 Months Ended
	Dec. 31, 2023 USD ($) segment	Dec. 31, 2022 USD ($)	Dec. 31, 2021 USD ($)
Segment Reporting Information [Line Items]
Number of Operating Segments | segment	2
Assets	$ 14,286	$ 14,925
Impairment Charges [Member]
Segment Reporting Information [Line Items]
Restructuring and Other Cost Productivity Charges	24	47	$ 46
Segment Reconciling Items | Zoetis Initiatives
Segment Reporting Information [Line Items]
Restructuring and Other Cost Productivity Charges	$ 43	$ 4	$ 24

Segment Information - Income St

Segment Information - Income Statement (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Segment Reporting Information [Line Items]
Revenues		$ 8,544	$ 8,080	$ 7,776
Cost of Sales	[1]	2,561	2,454	2,303
Other (income)/deductions-net		(159)	40	48
Earnings	[2]	2,936	2,656	2,488
Depreciation and Amortization	[2],[3]	491	465	448
Property, plant and equipment, less accumulated depreciation		3,204	2,753
Other business activities
Segment Reporting Information [Line Items]
Earnings		(496)	(424)	(406)
Depreciation and Amortization	[3]	33	28	28
United States
Segment Reporting Information [Line Items]
Revenues		4,555	4,313	4,042
Property, plant and equipment, less accumulated depreciation		2,092	1,820
International
Segment Reporting Information [Line Items]
Property, plant and equipment, less accumulated depreciation		1,112	933
Operating Segments
Segment Reporting Information [Line Items]
Earnings		4,900	4,753	4,517
Depreciation and Amortization	[3]	172	141	128
Operating Segments | United States Segment
Segment Reporting Information [Line Items]
Revenues		4,555	4,313	4,042
Cost of Sales		900	803	788
Gross Profit		$ 3,655	$ 3,510	$ 3,254
Gross Margin		80.20%	81.40%	80.50%
Operating Expenses		$ 786	$ 765	$ 681
Other (income)/deductions-net		6	18	(4)
Earnings		2,863	2,763	2,569
Depreciation and Amortization	[3]	80	55	54
Operating Segments | International Segment
Segment Reporting Information [Line Items]
Revenues	[4]	3,911	3,681	3,652
Cost of Sales		1,234	1,083	1,106
Gross Profit		$ 2,677	$ 2,598	$ 2,546
Gross Margin		68.40%	70.60%	69.70%
Operating Expenses		$ 638	$ 611	$ 602
Other (income)/deductions-net		(2)	3	4
Earnings		2,037	1,990	1,948
Operating Segments | International
Segment Reporting Information [Line Items]
Depreciation and Amortization	[3]	92	86	74
Corporate, Non-Segment
Segment Reporting Information [Line Items]
Earnings		(1,042)	(1,073)	(1,052)
Depreciation and Amortization	[3]	128	132	115
Segment Reconciling Items
Segment Reporting Information [Line Items]
Depreciation and Amortization	[3]	0	0	0
Purchase accounting adjustments, earnings		(159)	(160)	(175)
Purchase accounting adjustments, depreciation and amortization	[3]	153	159	175
Acquisition-related costs, earnings		(9)	(5)	(12)
Certain significant items, earnings	[5]	33	(56)	(73)
Certain significant items, depreciation and amortization	[3],[5]	0	0	0
Other unallocated, earnings		(291)	(379)	(311)
Other unallocated, deprecation and amortization	[3]	$ 5	$ 5	$ 2
[1] Exclusive of amortization of intangible assets, except as disclosed in Note 3. Significant Accounting Policies—Amortization of Intangible Assets, Depreciation and Certain Long-Lived Assets. Revenue denominated in euros was $853 million in 2023, $774 million in 2022 and $814 million in 2021. For 2023, certain significant items primarily consisted of a gain on the sale of a majority interest in our pet insurance business of $101 million, partially offset by employee termination and exit costs related to organizational structure refinements of $43 million and certain asset impairment charges primarily related to our precision animal health and diagnostics businesses of $24 million. For 2022, certain significant items primarily represents inventory and asset impairment charges related to customer relationships, developed technology rights and property, plant and equipment in our diagnostics, poultry, cattle and swine businesses and the consolidation of manufacturing sites in China of $47 million, as well as employee termination and exit costs associated with cost-reduction and productivity initiatives in certain international markets of $4 million. For 2021, certain significant items primarily included certain asset impairment charges of $46 million, as well as employee termination costs associated with our international operations and other costs associated with cost-reduction and productivity initiatives of $24 million.

Segment Information - Income _2

Segment Information - Income Statement Narrative (Details) - USD ($) $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Segment Reporting Information [Line Items]
Revenues		$ 8,544	$ 8,080	$ 7,776
CHINA
Segment Reporting Information [Line Items]
Revenues		320	382	357
Segment Reconciling Items | Zoetis Initiatives
Segment Reporting Information [Line Items]
Restructuring and Other Cost Productivity Charges		43	4	24
International Segment | Operating Segments
Segment Reporting Information [Line Items]
Revenues	[1]	3,911	3,681	3,652
International Segment | Euro Member Countries, Euro | Operating Segments
Segment Reporting Information [Line Items]
Revenues		$ 853	$ 774	$ 814
[1] Revenue denominated in euros was $853 million in 2023, $774 million in 2022 and $814 million in 2021.

Selected Quarterly Financial Da

Selected Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Millions		12 Months Ended
		Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
Quarterly Financial Information Disclosure [Abstract]
Revenues		$ 8,544	$ 8,080	$ 7,776
Total Restructuring charges and certain acquisition-related costs		53	11	43
Income (Loss) from Continuing Operations before Income Taxes, Noncontrolling Interest	[1]	2,936	2,656	2,488
Provision for taxes on income		596	545	454
Net Income (Loss), Including Portion Attributable to Noncontrolling Interest		2,340	2,111	2,034
Less: net loss attributable to noncontrolling interests		(4)	(3)	(3)
Net Income (Loss) Attributable to Parent		$ 2,344	$ 2,114	$ 2,037
Earnings Per Share, Basic		$ 5.08	$ 4.51	$ 4.29
Earnings Per Share, Diluted		$ 5.07	$ 4.49	$ 4.27
[1]Defined as income before provision for taxes on income.

Schedule II - Valuation and Q_2

Schedule II - Valuation and Qualifying Accounts (Details) - USD ($) $ in Millions	12 Months Ended
	Dec. 31, 2023	Dec. 31, 2022	Dec. 31, 2021
SEC Schedule, 12-09, Movement in Valuation Allowances and Reserves [Roll Forward]
Balance, Beginning of Period	$ 19	$ 17	$ 20
Additions	0	4	1
Deductions	(1)	(2)	(4)
Balance, End of Period	$ 18	$ 19	$ 17