Zoetis Inc (NYSE:ZTS) stock fell 0.75% (As on May 6, 11:13:39 AM UTC-4, Source: Google Finance) after the company posted better than expected results for the first quarter of FY 22. Adjusted net income for the first quarter of 2022 was $625 million, an increase of 4%, on a reported basis. Revenue in the U.S. segment was $1.020 billion, an increase of 9% compared with the first quarter of 2021. Sales of companion animal products increased 18%, driven by growth across the company’s parasiticide portfolio, primarily from sales of Simparica Trio. The key dermatology portfolio also significantly contributed to growth across both the Apoquel and Cytopoint brands. Sales of livestock products declined 11% in the quarter. Sales of cattle products declined as a result of generic competition for Draxxin and unfavorable conditions in beef and dairy markets, including increased input costs and dry weather conditions. The company’s poultry portfolio declined due to the expanded use of lower cost alternatives and generic competition for Zoamix, the company’s alternative to antibiotics in medicated feed additives. Sales of swine products grew slightly as a result of favorable market conditions for producers and increased disease prevalence. Revenue in the International segment was $948 million, an increase of 3% on a reported basis and an increase of 8% operationally compared with the first quarter of 2021. Sales of companion animal products increased 17% on a reported basis and 23% operationally.

ZTS in the first quarter of FY 22 has reported the adjusted earnings per share of $1.32, beating the analysts’ estimates for the adjusted earnings per share of $1.23. The company had reported the adjusted revenue growth of 6 percent to $2 billion in the first quarter of FY 22, beating the analysts’ estimates for revenue of $1.98 billion.

Meanwhile, the company received approval in Australia for Solensia (frunevetmab), the first injectable monoclonal antibody (mAb) for the alleviation of pain associated with osteoarthritis (OA) in cats; it is also approved in the U.S., the European Union (EU), the U.K., Canada and Switzerland. Another mAb therapy, Cytopoint (lokivetmab), received a claim extension in Canada. Previously approved for the treatment of atopic dermatitis in dogs, the product is now approved for allergic dermatitis as well. On the livestock side of the business, Zoetis enhanced its cattle vaccine portfolio with approval in the U.S. of Protivity, the first modified live vaccine to offer protection against Mycoplasma bovis, providing cattle producers and veterinarians with broader overall protection against bovine respiratory disease (BRD).