Gilead Sciences Inc
Q1 2026 Earnings
Market Reaction
S&P 500 over the same 30 days: −1.65%.
Did GILD Beat Earnings? Q1 2026 Results
Gilead Sciences delivered a mixed first quarter for fiscal 2026, beating on the bottom line while falling short on revenue. The Foster City-based drugmaker posted non-GAAP diluted EPS of $2.03, clearing the $1.94 consensus by 4.60%, though total revenues of $6.96 billion came in 5.87% below estimates and slipped 1.7% from a year earlier, weighed down by a 52% collapse in Veklury sales to $144.00 million as COVID-19 hospitalizations declined. The more telling story was the underlying base business, where the HIV franchise grew 10% to $5.03 billion, anchored by Biktarvy at $3.36 billion and bolstered by $166.00 million in first-quarter sales from newly launched Yeztugo. Non-GAAP product gross margins expanded 200 basis points to 87.5%, helping drive a 12% year-over-year EPS gain. Looking ahead, Gilead raised full-year product sales guidance to $30.00 to $30.40 billion, but guided to a non-GAAP loss of $0.65 to $1.05 per share, reflecting roughly $11.50 billion in anticipated IPR&D charges tied to the Arcellx, Ouro Medicines, and Tubulis acquisitions.
- HIV product sales grew 10% driven by higher demand and average realized price
- Biktarvy sales increased 7% on higher demand and pricing
- Descovy sales surged 38% on higher average realized price and demand
- Successful Yeztugo launch contributing $166 million in first quarter of sales
- Trodelvy grew 37% on higher demand, favorable inventory dynamics and pricing
- Livdelzi ramped to $133 million from $40 million a year ago
- Non-GAAP product gross margin expanded 200 bps to 87.5% due to royalty obligation expiration and product mix
- Lower acquired IPR&D expenses ($107 million vs $253 million year-over-year)
“Gilead teams have delivered another strong quarter with 8% year-over-year growth in our base business and 10% growth in HIV, supported by the successful launch of Yeztugo. We have raised our full year revenue guidance as a reflection of our performance.”
Gilead Sciences CEO, on the earnings call
Forward Guidance & Outlook
Gilead raised its full-year 2026 product sales guidance to $30.0–$30.4 billion (previously $29.6–$30.0 billion), with product sales excluding Veklury now expected at $29.4–$29.8 billion (previously $29.0–$29.4 billion). Veklury guidance is unchanged at $600 million. However, full-year GAAP diluted EPS guidance was sharply reduced to a loss of $(3.25)–$(2.85) per share (previously $6.75–$7.15), and non-GAAP diluted EPS to a loss of $(1.05)–$(0.65) per share (previously $8.45–$8.85), reflecting approximately $11.5 billion in anticipated acquired IPR&D charges plus financing costs from the Arcellx, Ouro Medicines, and Tubulis transactions. GAAP projected operating income swung to a loss of $(1.0)–$(0.5) billion from a prior expectation of $11.4–$11.9 billion. Key upcoming catalysts include a PDUFA target action date of August 27, 2026 for BIC/LEN in HIV and December 23, 2026 for anito-cel in multiple myeloma, with up to four potential launches and five Phase 3 updates anticipated in 2026.
GILD YoY Financials
GILD Revenue by Segment
GILD Revenue by Geography
Figures from SEC filings and company reports. Not investment advice.