Gilead Sciences (GILD) Q2 2024 earnings summary

Executive summary

• Q2 2024 total revenue rose 5% year-over-year to $7.0B, driven by strong growth in HIV, Liver Disease, and Oncology portfolios, with disciplined expense management supporting bottom-line gains.

• Product sales excluding Veklury increased 6% to $6.7B; Biktarvy sales up 8% to $3.2B, and Oncology sales up 15% to $841M.

• Net income for Q2 2024 was $1.6B, up 55% year-over-year; non-GAAP diluted EPS grew 50% to $2.01.

• Raised full-year non-GAAP operating income and EPS guidance based on robust first-half results and expense control.

• Notable clinical milestones include 100% efficacy in the phase 3 PURPOSE 1 trial for lenacapavir in HIV prevention and progress in oncology and liver disease pipelines.

Financial highlights

• Q2 2024 product sales were $6.9B, up 5% year-over-year; excluding Veklury, sales were $6.7B, up 6%.

• HIV sales were $4.7B, up 3% year-over-year; Biktarvy sales rose 8% to $3.2B, with a 49%+ US market share.

• Oncology sales grew 15% to $841M; Trodelvy sales up 23% to $320M; Cell Therapy sales increased 11% to $521M.

• Liver Disease sales rose 17% to $832M, driven by higher demand and pricing.

• Product gross margin was 86% (non-GAAP); GAAP gross margin was 77.7%.

Outlook and guidance

• Full-year 2024 product sales expected at $27.1B–$27.5B; excluding Veklury, $25.8B–$26.2B.

• Non-GAAP operating income guidance raised to $7.2B–$7.6B; non-GAAP EPS guidance increased to $3.60–$3.90.

• HIV product sales expected to grow ~4% for the year; seladelpar anticipated as an incremental revenue contributor upon approval.