Gilead Sciences (GILD) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenues rose 4% year-over-year to $7.0 billion, with base business sales up 8% to $6.8 billion, driven by HIV (+10%), oncology (+37% Trodelvy), and liver disease (+230% Livdelzi), offset by declines in Veklury and cell therapy.

• Net income increased 54% to $2.0 billion, with non-GAAP diluted EPS up 12% to $2.03, reflecting higher product sales and net unrealized gains from equity securities.

• Major acquisitions (Arcellx, Tubulis, Ouro Medicines) were completed or announced, expanding oncology and inflammation portfolios and strengthening the pipeline.

• FDA accepted key filings for new HIV and oncology therapies, with full approval for Tecartus in mantle cell lymphoma and multiple regulatory milestones expected in 2026.

• Full-year 2026 revenue guidance was raised by $400M to $30.0–$30.4B, reflecting robust commercial execution and product launches.

Financial highlights

• Q1 2026 total product sales were $6.9 billion, up 5% year-over-year; excluding Veklury, sales were $6.8 billion, up 8%.

• HIV sales reached $5.0 billion (+10% YoY), led by Biktarvy ($3.4B, +7%) and Descovy ($807M, +38%).

• Trodelvy sales rose 37% to $402 million; Livdelzi contributed to a 1% increase in liver disease sales.

• Product gross margin improved to 87% (non-GAAP) and 79.2% (GAAP); operating margin reached 47% (non-GAAP) and 37.2% (GAAP).

• Returned over $1.4B to shareholders in Q1, including $1B in dividends and $419M in share repurchases.

Outlook and guidance

• Full-year 2026 product sales guidance raised to $30.0–$30.4 billion; base business expected to grow 5–6% YoY.

• HIV sales expected to grow 8% YoY; YEZTUGO 2026 sales guidance raised to $1B.

• Non-GAAP diluted EPS guidance reduced by ~$9.50 to $(1.05)–$(0.65) due to $11.5B in anticipated IPR&D charges and acquisition costs; excluding these, EPS would be $8.45–$8.85.

• R&D expenses expected to grow at low single digits; SG&A at mid-single digits.

• Guidance subject to risks from Veklury revenue, policy reforms, and integration of recent acquisitions.