Elanco Reports Strong Growth in U.S. Pet Health Business

Elanco Animal Health reported strong growth in its U.S. Pet Health business, driven by innovative products that address the expanding "tick and itch season." As climate change and changing weather patterns create year-round conditions for parasites, Elanco is capitalizing on the growing demand for year-round protection.

The company's U.S. Pet Health business is expected to achieve high-single to low-double-digit growth in the second half of 2026, according to Elanco. This growth is fueled by the acceleration of price gains, which have been particularly pronounced in the first half of the year. Elanco attributes this success to its robust innovation portfolio, which includes new products that offer broader coverage and faster tick kill.

Pet Health at Elanco. "Pets are increasingly part of the family, and their health is a top priority. Our innovation is not just about clinical efficacy; it's about providing peace of mind for pet owners."

Modi highlighted the importance of speed of kill, noting that it is a critical safety requirement. Elanco's products are designed to address the growing threat of tick-borne diseases, which have seen a significant increase in emergency room visits. According to the Centers for Disease Control and Prevention (CDC), tick-related ER visits reached their highest level since tracking began in 2017, with a notable spike in the fall season.

Elanco's strong performance is also reflected in its market share gains. In the first half of 2026, the company increased its overall U.S. market share, driven by robust share gains from its new blockbusters and the stabilization of its base business. The company's U.S. Pet Health business has reported significant momentum, with organic constant currency revenue up 9% year over year.

The expansion of "tick and itch season" has also led to increased compliance among pet owners. Home delivery and auto-ship programs are becoming more popular, ensuring that pets are protected year-round. Vet home delivery sales have grown nearly twice as fast as in-clinic sales, with compliance historically increasing by about 50% when pet owners shift to delivery.

Elanco's global execution is driving acceleration in year-over-year price gains, led by the U.S. Pet Health business. The company's innovation portfolio includes a broad parasiticide portfolio and the fastest-expanding dermatology portfolio in the industry. Key products like Credelio Quattro have seen continued adoption, with approximately 1,100 new clinics added in the second quarter.

Internationally, Elanco's dermatology market has grown 9% in the first half of 2026, with Zenrelia leading the way. Zenrelia gained 10 share points in Europe, outpacing the competitive entrant by five times, driven by high customer satisfaction. The company's strong performance is a testament to its commitment to delivering differentiated, high-impact innovation.

Elanco's momentum is driven by its innovation, stabilized base business, and strong execution from the company's team. The expansion of "tick and itch season" has created a significant opportunity for Elanco to meet the growing demand for year-round protection. As the threat of tick-borne diseases continues to rise, Elanco is well-positioned to deliver on its commitment to pet owners and the industry.

Overall, Elanco's strong performance in the U.S. Pet Health market is a reflection of its ability to innovate and meet the evolving needs of pet owners. The company's focus on year-round protection and its commitment to delivering high-quality products are key factors in its continued growth and success.