XML 45 R33.htm IDEA: XBRL DOCUMENT
v3.25.2

Financial Instruments (Tables) | 6 Months Ended
--- | ---
Jun. 30, 2025
Financial Instruments [Abstract] |
Schedule of Long-term Debt Instruments | The components of our long-term debt are as follows:
|  | June 30, |  | December 31,
(MILLIONS OF DOLLARS) |  | 2025 |  | 2024
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 |  |  | 6,650 |
Unamortized debt discount / debt issuance costs |  | (51) |  |  | (54) |
Less current portion of long-term debt |  | 1,350 |  |  | 1,350 |
Cumulative fair value adjustment for interest rate swap contracts |  | (18) |  |  | (26) |
Long-term debt, net of discount and issuance costs |  | $ | 5,231 |  |  | $ | 5,220 |
Schedule of Maturities of Long-term Debt | The following table provides the principal amount of debt outstanding, as of June 30, 2025, by scheduled maturity date:
|  |  |  |  |  |  |  |  |  |  |  | After |  |
(MILLIONS OF DOLLARS) |  | 2025 |  | 2026 |  | 2027 |  | 2028 |  | 2029 |  | 2029 |  | Total
Maturities |  | $ | 1,350 |  |  | $ | — |  |  | $ | 750 |  |  | $ | 500 |  |  | $ | — |  |  | $ | 4,050 |  |  | $ | 6,650 |
Schedule of Derivative Instruments | The aggregate notional amount of derivative instruments are as follows:
|  | Notional
|  | June 30, |  | December 31,
(MILLIONS) |  | 2025 |  | 2024
Derivatives not Designated as Hedging Instruments: |  |  |  |
Foreign currency forward-exchange contracts |  | $ | 2,123 |  |  | $ | 2,070 |
Derivatives Designated as Hedging Instruments: |  |  |  |
Foreign exchange derivative instruments (in foreign currency): |  |  |  |
Euro |  | 925 |  |  | 800 |
Danish krone |  | 400 |  |  | 475 |
Swiss franc |  | 25 |  |  | 25 |
Forward-starting interest rate swaps |  | $ | 600 |  |  | $ | 300 |
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
|  | June 30, |  | December 31,
(MILLIONS OF DOLLARS) | Balance Sheet Location | 2025 |  | 2024
Derivatives Not Designated as Hedging Instruments: |  |  |  |
Foreign currency forward-exchange contracts | Other current assets | $ | 6 |  |  | $ | 18 |
Foreign currency forward-exchange contracts | Other current liabilities | (11) |  |  | (6) |
Total derivatives not designated as hedging instruments |  | $ | (5) |  |  | $ | 12 |
Derivatives Designated as Hedging Instruments: |  |  |  |
Forward-starting interest rate swap contracts | Other current assets | $ | 19 |  |  | $ | — |
Forward-starting interest rate swap contracts | Other noncurrent assets | — |  |  | 26 |
Forward-starting interest rate swap contracts | Other current liabilities | (10) |  |  | — |
Foreign exchange derivative instruments | Other current assets | 7 |  |  | 55 |
Foreign exchange derivative instruments | Other noncurrent assets | — |  |  | 4 |
Foreign exchange derivative instruments | Other current liabilities | (31) |  |  | — |
Foreign exchange derivative instruments | Other noncurrent liabilities | (58) |  |  | — |
Fixed-to-floating interest rate swap contracts | Other noncurrent liabilities | (18) |  |  | (26) |
Total derivatives designated as hedging instruments |  | (91) |  |  | 59 |
Total derivatives |  | $ | (96) |  |  | $ | 71 |
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location | The amounts of net gains on derivative instruments not designated as hedging instruments, recorded in Other (income)/deductions—net, are as follows:
|  | Three Months Ended |  | Six Months Ended
|  | June 30, |  | June 30,
(MILLIONS OF DOLLARS) |  | 2025 |  | 2024 |  | 2025 |  | 2024
Foreign currency forward-exchange contracts |  | $ | 55 |  |  | $ | 2 |  |  | $ | 39 |  |  | $ | 1 |
Schedule of Net Investment Hedges in Accumulated Other Comprehensive Income (Loss) | The amounts of unrecognized net (losses)/gains on interest rate swap contracts, recorded, net of tax, in Accumulated other comprehensive loss, are as follows:
|  | Three Months Ended |  | Six Months Ended
|  | June 30, |  | June 30,
(MILLIONS OF DOLLARS) |  | 2025 |  | 2024 |  | 2025 |  | 2024
Forward-starting interest rate swap contracts |  | $ | (2) |  |  | $ | 1 |  |  | $ | (13) |  |  | $ | 3 |
Foreign exchange derivative instruments |  | $ | (74) |  |  | $ | 2 |  |  | $ | (107) |  |  | $ | 18 |
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:
|  | Three Months Ended |  | Six Months Ended
|  | June 30, |  | June 30,
(MILLIONS OF DOLLARS) |  | 2025 |  | 2024 |  | 2025 |  | 2024
Foreign exchange derivative instruments |  | $ | 5 |  |  | $ | 4 |  |  | $ | 10 |  |  | $ | 8 |

X
- Definition Tabular disclosure of long-debt instruments or arrangements, including identification, terms, features, collateral requirements and other information necessary to a fair presentation. These are debt arrangements that originally required repayment more than twelve months after issuance or greater than the normal operating cycle of the entity, if longer. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section S99 -Paragraph 1 -Subparagraph (SX 210.5-02(22)) -SubTopic 10 -Topic 210 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480566/210-10-S99-1 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 942 -SubTopic 235 -Name Accounting Standards Codification -Section S99 -Paragraph 2 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477314/942-235-S99-2 Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S50 -Paragraph 4 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480738/235-10-S50-4 Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 235 -SubTopic 10 -Name Accounting Standards Codification -Section S99 -Paragraph 3 -Subparagraph (SX 210.12-04(a)) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480678/235-10-S99-3 Reference 5: http://www.xbrl.org/2003/role/exampleRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 55 -Paragraph 69B -Publisher FASB -URI https://asc.fasb.org/1943274/2147481568/470-20-55-69B Reference 6: http://www.xbrl.org/2003/role/exampleRef -Topic 470 -SubTopic 20 -Name Accounting Standards Codification -Section 55 -Paragraph 69E -Publisher FASB -URI https://asc.fasb.org/1943274/2147481568/470-20-55-69E Reference 7: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 835 -SubTopic 30 -Name Accounting Standards Codification -Section 45 -Paragraph 2 -Publisher FASB -URI https://asc.fasb.org/1943274/2147482925/835-30-45-2 Reference 8: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 3 -Publisher FASB -URI https://asc.fasb.org/1943274/2147481112/505-10-50-3 Reference 9: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 942 -SubTopic 470 -Section 50 -Paragraph 3 -Publisher FASB -URI https://asc.fasb.org/1943274/2147477734/942-470-50-3 Reference 10: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 505 -SubTopic 10 -Section 50 -Paragraph 8 -Publisher FASB -URI https://asc.fasb.org/1943274/2147481112/505-10-50-8 Reference 11: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 505 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 6 -Publisher FASB -URI https://asc.fasb.org/1943274/2147481112/505-10-50-6 Reference 12: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 505 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 7 -Publisher FASB -URI https://asc.fasb.org/1943274/2147481112/505-10-50-7 + Details
Name: | us-gaap_ScheduleOfDebtInstrumentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the location and fair value amounts of derivative instruments (and nonderivative instruments that are designated and qualify as hedging instruments) reported in the statement of financial position. + References Reference 1: http://www.xbrl.org/2003/role/exampleRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 55 -Paragraph 182 -Publisher FASB -URI https://asc.fasb.org/1943274/2147480401/815-10-55-182 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4A Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4E -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4E Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4B -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4B + Details
Name: | us-gaap_ScheduleOfDerivativeInstrumentsInStatementOfFinancialPositionFairValueTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of pertinent information about a derivative or group of derivatives on a disaggregated basis, such as for individual instruments, or small groups of similar instruments. May include a combination of the type of instrument, risks being hedged, notional amount, hedge designation, related hedged item, inception date, maturity date, or other relevant item. + References No definition available. + Details
Name: | us-gaap_ScheduleOfDerivativeInstrumentsTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of maturity and sinking fund requirement for long-term debt. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Section 50 -Paragraph 1 -SubTopic 10 -Topic 470 -Publisher FASB -URI https://asc.fasb.org/1943274/2147481544/470-10-50-1 + Details
Name: | us-gaap_ScheduleOfMaturitiesOfLongTermDebtTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the effective portion of gains and losses on derivative instruments (and nonderivative instruments) designated and qualifying in net investment hedges recorded in accumulated other comprehensive income (loss) during the term of the hedging relationship and reclassified into earnings during the current period. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4E -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4E Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4A Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4CCC -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4CCC + Details
Name: | us-gaap_ScheduleOfNetInvestmentHedgesInAccumulatedOtherComprehensiveIncomeLossTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure for net investment hedges of (a) the location and amount of gains and losses reported in the statement of financial performance and (b) the location and fair value amounts of the instruments reported in the statement of financial position. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4E -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4E Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4A Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4B -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4B + Details
Name: | us-gaap_ScheduleOfNetInvestmentHedgesStatementsOfFinancialPerformanceAndFinancialPositionLocationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of derivative instrument not designated or qualifying as hedging instrument. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4CC -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4CC Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4E -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4E Reference 3: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4A -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4A Reference 4: http://www.xbrl.org/2009/role/commonPracticeRef -Topic 815 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 4B -Publisher FASB -URI https://asc.fasb.org/1943274/2147480434/815-10-50-4B + Details
Name: | us-gaap_ScheduleOfOtherDerivativesNotDesignatedAsHedgingInstrumentsStatementsOfFinancialPerformanceAndFinancialPositionLocationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Financial Instruments [Abstract] + References No definition available. + Details
Name: | zts_FinancialInstrumentsAbstract
Namespace Prefix: | zts_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration