Item 6. Selected Financial Data.

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Item 6. Selected Financial Data.

The following table sets forth our selected historical consolidated and combined financial data for the periods indicated.

The selected consolidated statements of income data for the years ended December 31, 2019, 2018 and 2017, and the selected consolidated balance sheet data as of December 31, 2019 and 2018 presented below have been derived from our audited consolidated financial statements included in Item 8. Financial Statements and Supplementary Data. The selected historical consolidated statements of income data for the years ended December 31, 2016 and 2015, and the selected historical consolidated balance sheet data as of December 31, 2017, 2016 and 2015 presented below has been derived from our audited financial statements not included in this 2019 Annual Report.

You should read the selected historical consolidated and combined financial data set forth below in conjunction with Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations and our consolidated financial statements and notes thereto included in Item 8. Financial Statements and Supplementary Data.



	Year Ended December 31,(a)
(MILLIONS, EXCEPT PER SHARE AMOUNTS)		2019		2018		2017		2016		2015
Statement of income data:
Revenue		$	6,260	$	5,825	$	5,307	$	4,888	$	4,765
Net income attributable to Zoetis		1,500		1,428		864		821		339
Balance sheet data:
Total assets		$	11,545	$	10,777	$	8,586	$	7,649	$	7,913
Long-term obligations		5,947		6,443		4,953		4,468		4,463
Other data (unaudited):
Adjusted net income(b)		$	1,755	$	1,525	$	1,185	$	975	$	889
Earnings per share attributable to Zoetis Inc. stockholders:
Basic		$	3.14	$	2.96	$	1.76	$	1.66	$	0.68
Diluted		$	3.11	$	2.93	$	1.75	$	1.65	$	0.68

Dividends declared per common share		$	0.692	$	0.542	$	0.441	$	0.390	$	0.344

Weighted average shares outstanding (in thousands):
Basic		478,128		483,063		489,918		495,715		499,707
Diluted		481,787		486,898		493,161		498,225		502,019


(a)	Starting in August 2018, includes the acquisition of Abaxis. Starting in February 2015, includes the acquisition of certain assets from Abbott Animal Health and starting in November 2015, includes the acquisition of Pharmaq.


(b)	Adjusted net income (a non-GAAP financial measure) is defined as reported net income attributable to Zoetis excluding purchase accounting adjustments, acquisition-related costs and certain significant items. Management uses adjusted net income, among other factors, to set performance goals and to measure the performance of the overall company, as described in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Non-GAAP financial measures and Adjusted net income. We believe that investors’ understanding of our performance is enhanced by disclosing this performance measure. Reconciliations of U.S. GAAP reported net income attributable to Zoetis to non-GAAP adjusted net income for the years ended December 31, 2019, 2018 and 2017 are provided in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Adjusted net income. The adjusted net income measure is not, and should not be viewed as, a substitute for U.S. GAAP reported net income attributable to Zoetis.

(b)

Adjusted net income (a non-GAAP financial measure) is defined as reported net income attributable to Zoetis excluding purchase accounting adjustments, acquisition-related costs and certain significant items. Management uses adjusted net income, among other factors, to set performance goals and to measure the performance of the overall company, as described in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Non-GAAP financial measures and Adjusted net income. We believe that investors’ understanding of our performance is enhanced by disclosing this performance measure. Reconciliations of U.S. GAAP reported net income attributable to Zoetis to non-GAAP adjusted net income for the years ended December 31, 2019, 2018 and 2017 are provided in Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations—Adjusted net income. The adjusted net income measure is not, and should not be viewed as, a substitute for U.S. GAAP reported net income attributable to Zoetis.

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