Analyst Conference Summary

biotechnology

conference date: February 10, 2026 @ 1:30 PM Pacific Time
for quarter ending: December 31, 2025 (fourth quarter, Q4 2025)

Forward-looking statements

Overview: Solid quarter despite slowing Veklury (for Covid) sales.

Basic data (GAAP):

Revenue was $7.93 billion, up 2% sequentially from $7.77 billion and up 5% from $7.57 billion in the year-earlier quarter.

Net income was $2.18 billion, down 29% sequentially from $3.05 billion and up 22% from $1.78 billion year-earlier.

Earnings per share (EPS, diluted) were $1.74, down 28% sequentially from $2.43, and up 23% from $1.42 in the year-earlier quarter.

Guidance:

For full year 2026, product sales estimated $29.6 to $30.0 billion, including just $600 million of Veklury. GAAP diluted EPS $6.75 to $7.15. Non-GAAP diluted EPS $8.45 to $8.85.

Conference Highlights:

Daniel O'Day, CEO, said "Our fourth quarter and full-year results close out a very strong year for Gilead overall, including the successful U.S. launch of Yeztugo, the world’s first twice-yearly HIV prevention therapy, and continued growth for Biktarvy and Descovy. In 2026, our potential new launches include two cancer therapies and an additional HIV treatment option, and we look forward to building on the launches of Yeztugo and Livdelzi for liver disease. As we continue to increase our positive impact on healthcare, Gilead is well positioned for continued growth in 2026 and beyond." Gilead now has no major LOEs (loss of exclusivity) until 2036. Expects four new indication launches in 2026.

The dividend increased to $0.82 per share, is to be paid on March 30, 2026 to shareholders of record as of March 13, 2026.

Seeing some competitive headwinds in cell therapies Yescarta and Tecartus. Acquired IPRD expense in Q4 was $539 million, mainly from acquiring Interius in Q3 and collaborating with Shenzhen Pregene.

In Q4 2025 the bictegravir/lenacapavir Phase 3 HIV trial met it primary endpoints.

In Q4 2025 Gilead licensed ABI-1179 and ABI0-5366 from Assembly Biosciences, for herpes inhibition.

In Q4 2025 the Trodelvy Phase 3 trial in first-line post-endicrine HR+/HER2- metastatic breast cancer had negative results. The partnership with Arcus on domvanalimab, an anti-TIGIT, antibody, was discontinued after negative interim trial data.

In Q4 2025 the Livdelzi Phase 3 study for primary biliary cholangitis had positive results.

Made agreements with the government to lower some therapy costs in 2026 in the U.S.

Anito-cel for multiple myeloma FDA filing acceptence expected Q1 2026, with a decision in 2H.

In Q3 2025 Gilead announced ground-breaking on a new Pharmaceutical Development and Manufacturing Technical Development Center in Foster City, California, part of a planned $32 billion investment in the U.S. through 2030.

Livdelzi (seladelpar) has become the #1 product for second linee PBC (primary biliary cholangitis) liver diesease. Q3 sales rose to $105 million.

Yeztugo, for PrEP approved by the FDA in June, 2025. Six royalty-free licensing agreements were signed with manufacturers for sale in resource-limited nations. Believes Yeztugo could bend the arc of the HIV epidemic. In Q3/Q4 received strong recommendation from U.S. CDC, partnered with PEPFAR, and received EU marketing authorization as Yeytuo. Q3 sales were $39 million.

In Q2 2025 Trodelvy for 1L metastatic triple-negative breast cancer (mTNBC) who are not candidates for PD-1/PD-L1 checkpoint inhibitors presented positive Phase 3 data. Presented positive Phase 3 data in combo with Keytruda for first line PD-L1+ MTNBC as ASCO. Data was highly statistically and clinically meaningful. Filings planned for 2H 2025.

Non-GAAP numbers: Net income was $2.33 billion, down 25% sequentially from $3.10 billion and down 3% from $2.39 billion year-earlier. Non-GAAP EPS was $1.86, down 28% sequentially from $2.57 and down 2% from $1.90 year-earlier.

Product sales were $7.9 billion, up 7% sequentially from $7.35 billion and up 5% from $7.53 billion in the year-earlier quarter.

Royalty, contract and other revenue was $22 million, down sequentially from $424 million, and up from $33 million year-earlier.

Cash and equivalents ended at $10.0 billion, up sequentially from $9.35 billion. $3.3 billion cash flow from operations. Capital expense $205 million. $3.12 billion free cash flow. $230 million was used to repurchase shares. $1.0 billion paid in dividends. Long term liabilities were $ billion.

Numerous other studies are underway or planned; see Gilead pipeline.

Expenses were $5.94 billion, consisting of $1.62 billion for cost of goods sold; $1.58 billion for R&D; $539 million acquired in-process R&D; $1.79 billion SG&A. Leaving income from operations of $1.98 billion. Interest expense $255 million. Other income $349 million. Income tax benefit $105 million.

Capital allocation priorities are to grow the dividend and pay down debt.

Full year 2025 revenue was $29.4 billion, up 2% y/y. Diluted GAAP EPS was $6.78, up from $0.38 in 2024. Non-GAAP diluted EPS was $8.15, up rom 44.62.

Q&A selective summary:

Yeztugo guidance, refill rates? All major payers are covering Yeztugo, launch is going well. Some logistics to switch to injectible in pill market. Consumer friendly campaign. Expect durable growth. Too early to comment on refill rates.

Share gains in Anito-Cel? Expect 2H 2026 launch. 4th line market is $3.5 billion market. Believes modest 2026, believes should become market leaders longer term.

Yeztugo cannibalization of Descovy for PreP? Strong momentum coming into 2026, and should accelerate. Hope to expand the market, should become the market leader. But expects Descovy to continue to grow in 2026 as awareness of PreP continues, but later will erode.

The 2L metastic endometrial cancer Trodelvy indication is incremental for revenue, but very important because of lack of alternatives.

We want to do more BD, but in a disciplined manner, since we are in good shape with no near-terms loss of exclusivity, plus a strong current pipeline.

For Anito-cel we will know if we get priority review when we get the FDA acceptance.

OpenIcon Analyst Conference Summaries Main Page

Gilead Investor Relations page

More Gilead analyst conference summaries

Search

More Analyst Conference Pages: