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 research and development (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 or 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.

•vaccines: biological preparations that help prevent diseases of the respiratory, gastrointestinal and reproductive tracts or induce a specific immune response;

•animal health diagnostics: blood, urine and fecal analysis testing capabilities, including point-of-care diagnostic products, instruments and reagents, rapid immunoassay tests, reference laboratory kits and services and blood glucose monitors; and

Our remaining revenue is derived from other non-pharmaceutical product categories, such as nutritionals and agribusiness, 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 food chain faces increased scrutiny, there is more focus on food quality, safety and reliability of supply.

Revenue by geographic area


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(MILLIONS OF DOLLARS)	2022		2021		2022		2021
United States	$	1,090	$	1,065	$	3,201	$	3,002
Australia	80		70		225		196
Brazil	70		78		233		227
Canada	56		56		172		169
Chile	31		32		106		100
China	92		72		291		289
France	28		31		91		98
Germany	43		47		132		135
Italy	24		30		86		87
Japan	37		43		137		140
Mexico	33		31		101		98
Spain	29		33		97		97
United Kingdom	59		61		174		173
Other developed markets	121		127		354		350
Other emerging markets	186		193		581		591
	1,979		1,969		5,981		5,752
Contract manufacturing & human health	23		21		59		57
Total Revenue	$	2,002	$	1,990	$	6,040	$	5,809

Revenue by major species


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(MILLIONS OF DOLLARS)	2022		2021		2022		2021
U.S.
Companion animal	$	819	$	775	$	2,488	$	2,227
Livestock	271		290		713		775
	1,090		1,065		3,201		3,002
International
Companion animal	452		427		1,412		1,280
Livestock	437		477		1,368		1,470
	889		904		2,780		2,750
Total
Companion animal	1,271		1,202		3,900		3,507
Livestock	708		767		2,081		2,245
Contract manufacturing & human health	23		21		59		57
Total Revenue	$	2,002	$	1,990	$	6,040	$	5,809

Revenue by species


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(MILLIONS OF DOLLARS)	2022		2021		2022		2021
Companion Animal:
Dogs and Cats	$	1,213	$	1,142	$	3,715	$	3,319
Horses	58		60		185		188
	1,271		1,202		3,900		3,507
Livestock:
Cattle	371		403		1,063		1,144
Swine	129		153		427		504
Poultry	116		124		361		389
Fish	60		56		151		132
Sheep and other	32		31		79		76
	708		767		2,081		2,245
Contract manufacturing & human health	23		21		59		57
Total Revenue	$	2,002	$	1,990	$	6,040	$	5,809

Revenue by major product category


	Three Months Ended				Nine Months Ended
	September 30,				September 30,
(MILLIONS OF DOLLARS)	2022		2021		2022		2021
Parasiticides	$	422	$	396	$	1,417	$	1,246
Vaccines	449		421		1,300		1,251
Dermatology	348		326		978		859
Anti-infectives	284		329		802		909
Other pharmaceuticals	252		243		771		717
Animal health diagnostics	83		95		268		283
Medicated feed additives	78		99		261		314
Other non-pharmaceuticals	63		60		184		173
	1,979		1,969		5,981		5,752
Contract manufacturing & human health	23		21		59		57
Total Revenue	$	2,002	$	1,990	$	6,040	$	5,809

Contract liabilities reflected within Other current liabilities as of December 31, 2021 and 2020, and subsequently recognized as revenue during the first nine months of 2022 and 2021 were approximately $3 million and $4 million, respectively. Contract liabilities as of September 30, 2022 and December 31, 2021 were approximately $16 million and $12 million, respectively.