Elanco's 2025 boom: Pet and farm health drive record revenue growth
Elanco Animal Health has reported strong financial results for 2025, driven by growth in both its farm animal and pet health divisions. The company saw a 9% rise in organic revenue, with notable gains in the US stock market for livestock and companion animals. Key products like ZENRELIA and Credelio Quattro led the expansion, while financial improvements included a reduced net leverage ratio and increased earnings.
The US farm animal sector grew by 17%, while international markets rose by 4%. Products such as Experior, Pradalex, and solutions for ruminants, swine, and poultry contributed to this performance. Meanwhile, the pet health division expanded by 10% in the US and 8% internationally, boosted by Credelio Quattro's penetration into a third of US vet clinics by year-end.
ZENRELIA achieved significant market share, securing double-digit figures in the US JAK market, over 30% in Japan, and 40% in Brazil. Strong reorder rates supported its growth, helping Elanco exceed 2025 innovation revenue targets. The company raised its 2026 innovation revenue guidance to $1.15 billion, up from $892 million in 2025.
Financially, Elanco improved its net leverage ratio to 3.6 times by year-end, with a target of 3.1-3.3 times for 2026. Adjusted EBITDA reached $189 million for the quarter and $901 million for the year, meeting expectations. Adjusted earnings per share came in at $0.13 for the quarter and $0.94 for the full year.
Looking ahead, Bifrenna received USDA approval, with a phased launch planned for 2026. The company's focus on innovation and market expansion continues to drive its growth strategy.
Elanco's 2025 results highlight strong performance in key segments, with ZENRELIA and Credelio Quattro leading revenue growth. The company's improved financial position and upcoming product launches position it for further expansion. Guidance for 2026 reflects confidence in sustained momentum across its business divisions.
