Gilead Sciences Announces Second Quarter 2025 Financial Results

Product Sales Excluding Veklury Increased 4% Year-Over-Year to $6.9 billion

Biktarvy Sales Increased 9% Year-Over-Year to $3.5 billion

FOSTER CITY, Calif.--(BUSINESS WIRE)-- Gilead Sciences, Inc. (Nasdaq: GILD) announced today its second quarter 2025 results of operations.

“This was a very successful second quarter for Gilead, including the FDA approval for Yeztugo as the world’s first twice-yearly HIV prevention option,” said Daniel O’Day, Gilead’s Chairman and Chief Executive Officer. “Our strong growth this quarter was driven by Biktarvy, Descovy, Trodelvy and Livdelzi, reflecting the diversity of our portfolio. As we enter the third quarter, we are increasing revenue and earnings guidance for the year, and look forward to delivering continued innovation and growth across our core therapeutic areas.”

Second Quarter 2025 Financial Results

• Total second quarter 2025 revenue increased 2% to $7.1 billion compared to the same period in 2024, driven by higher HIV, Livdelzi® (seladelpar) and Trodelvy® (sacituzumab govitecan-hziy) sales, partially offset by lower chronic hepatitis C virus (“HCV”) and Veklury® (remdesivir) sales.
• Diluted earnings per share (“EPS”) was $1.56 in the second quarter 2025 compared to $1.29 in the same period in 2024. The increase was primarily driven by net unrealized gains on securities compared to net unrealized losses in 2024 and higher product sales, partially offset by a pre-tax in-process research and development (“IPR&D”) impairment charge of $190 million related to assets acquired as part of the MYR GmbH (“MYR”) acquisition and higher research and development (“R&D”) expenses.
• Non-GAAP diluted EPS of $2.01 in the second quarter 2025 remained flat compared to the same period in 2024, with higher product sales offset by higher R&D expenses.
• As of June 30, 2025, Gilead had $7.1 billion of cash, cash equivalents and marketable debt securities compared to $10.0 billion as of December 31, 2024.
• During the second quarter 2025, Gilead generated $827 million in operating cash flow, net of a final $1.3 billion transition tax payment associated with the Tax Cuts and Jobs Act of 2017.
• During the second quarter 2025, Gilead paid dividends of $994 million and repurchased $527 million of common stock.

Second Quarter 2025 Product Sales

Total second quarter 2025 product sales increased 2% to $7.1 billion compared to the same period in 2024. Total second quarter 2025 product sales excluding Veklury increased 4% to $6.9 billion compared to the same period in 2024, primarily due to higher HIV, Livdelzi and Trodelvy sales, partially offset by lower HCV sales.

HIV product sales increased 7% to $5.1 billion in the second quarter 2025 compared to the same period in 2024, primarily driven by increased demand and higher average realized price.

• Biktarvy® (bictegravir 50mg/emtricitabine (“FTC”) 200mg/tenofovir alafenamide (“TAF”) 25mg) sales increased 9% to $3.5 billion in the second quarter 2025 compared to the same period in 2024, primarily driven by higher demand.
• Descovy® (FTC 200mg/TAF 25mg) sales increased 35% to $653 million in the second quarter 2025 compared to the same period in 2024, primarily driven by higher average realized price and demand.

The Liver Disease portfolio sales decreased 4% to $795 million in the second quarter 2025 compared to the same period in 2024. This was primarily driven by lower HCV sales, partially offset by increased demand for Livdelzi, Hepcludex® (bulevirtide) and chronic hepatitis B virus (“HBV”) products.

Veklury sales decreased 44% to $121 million in the second quarter 2025 compared to the same period in 2024, primarily driven by lower rates of COVID-19-related hospitalizations.

Cell Therapy product sales decreased 7% to $485 million in the second quarter 2025 compared to the same period in 2024, reflecting ongoing competitive headwinds.

• Yescarta® (axicabtagene ciloleucel) sales decreased 5% to $393 million in the second quarter 2025 compared to the same period in 2024, primarily driven by lower demand, partially offset by higher average realized price.
• Tecartus® (brexucabtagene autoleucel) sales decreased 14% to $92 million in the second quarter 2025 compared to the same period in 2024, primarily reflecting lower demand, partially offset by higher average realized price.

Trodelvy sales increased 14% to $364 million in the second quarter 2025 compared to the same period in 2024, primarily driven by higher demand and inventory dynamics.

Second Quarter 2025 Product Gross Margin, Operating Expenses and Effective Tax Rate

• Product gross margin was 78.7% in the second quarter 2025 compared to 77.7% in the same period in 2024. Non-GAAP product gross margin was 86.9% in the second quarter 2025 compared to 86.0% in the same period in 2024. The increases were primarily driven by product mix.
• R&D expenses were $1.5 billion in the second quarter 2025 compared to $1.4 billion in the same period in 2024, primarily due to increased clinical manufacturing and study expenses, as well as valuation adjustments to the MYR-related contingent consideration. Non-GAAP R&D expenses were $1.5 billion in the second quarter 2025 compared to $1.3 billion in the same period in 2024, primarily due to increased clinical manufacturing and study activities.
• Acquired IPR&D expenses were $61 million in the second quarter 2025, primarily reflecting expenses related to the strategic partnership with Kymera Therapeutics, Inc. (“Kymera”) announced in June 2025.
• Selling, general and administrative (“SG&A”) expenses and non-GAAP SG&A expenses of $1.4 billion in the second quarter 2025 remained flat compared to the same period in 2024, with higher promotional expenses offset by lower corporate expenses.
• The effective tax rate (“ETR”) was 19.3% in the second quarter 2025 compared to 21.4% in the same period in 2024, primarily driven by lower non-taxable unrealized losses on securities, partially offset by a beneficial prior year settlement with a tax authority that did not repeat. The non-GAAP ETR was 18.8% in the second quarter 2025 compared to 17.8% in the same period in 2024, primarily reflecting the same non-recurring tax settlement in the prior year.

Guidance and Outlook

For the full-year, Gilead expects:

	August 7, 2025 Guidance
(in millions, except per share amounts)	Low End			High End			Comparison to Prior Guidance
Product sales	$	28,300		$	28,700		Previously $28,200 to $28,600
Product sales excluding Veklury	$	27,300		$	27,700		Previously $26,800 to $27,200
Veklury	$	1,000		$	1,000		Previously $1,400
Diluted EPS	$	5.85		$	6.15		Previously $5.65 to $6.05
Non-GAAP diluted EPS	$	7.95		$	8.25		Previously $7.70 to $8.10

Additional information and a reconciliation between GAAP and non-GAAP financial information for the 2025 guidance is provided in the accompanying tables. The financial guidance is subject to a number of risks and uncertainties. See the Forward-Looking Statements section below.

Key Updates Since Our Last Quarterly Release

Virology

• Received U.S. Food and Drug Administration (“FDA”) approval for Yeztugo® (lenacapavir) for pre-exposure prophylaxis (“PrEP”) to reduce the risk of sexually acquired HIV-1 in adults and adolescents weighing at least 35kg. Yeztugo is the first and only twice-yearly HIV PrEP option available in the United States.
• Received a positive opinion under accelerated review from the European Medicines Agency’s Committee for Medicinal Products for Human Use recommending lenacapavir for use as PrEP to reduce the risk of sexually acquired HIV-1 in adults and adolescents with increased HIV-1 acquisition risk. The recommendation will now be reviewed by the European Commission. Lenacapavir for HIV PrEP is not approved for use outside of the United States.
• Announced a strategic partnership agreement with the Global Fund to Fight AIDS, Tuberculosis and Malaria (“Global Fund”) to accelerate access, subject to regulatory approvals, to twice-yearly lenacapavir for HIV PrEP for up to two million people in primarily low- and lower-middle-income countries over three years, at no profit to Gilead.
• Presented new data at the International AIDS Society conference, including from the PURPOSE 1 and 2 trials evaluating twice-yearly lenacapavir for HIV PrEP in a broad range of populations, including pregnant and lactating women, adolescents, and young people.
• Announced that the World Health Organization released new guidelines recommending the use of twice-yearly lenacapavir for HIV PrEP, as well as new guidelines on HIV testing protocols for long-acting prevention medications.
• Announced that FDA had placed a clinical hold on the HIV treatment trials of GS-1720 and/or GS-4182, including the WONDERS-1 and WONDERS-2 trials. These drug candidates are investigational and not approved anywhere globally.
• Presented final data from the Phase 3 MYR301 study evaluating bulevirtide as a treatment for adults with chronic hepatitis delta virus (“HDV”) at the European Association for the Study of the Liver (“EASL”) Congress. Bulevirtide remains the only approved treatment for HDV in the EU and is not approved in the U.S. Additionally, presented clinical and real-world data on HBV and HCV programs.

Oncology

• Announced positive topline results from the Phase 3 ASCENT-03 trial evaluating Trodelvy in patients with 1L metastatic triple-negative breast cancer (“mTNBC”) who are not candidates for PD-1/PD-L1 checkpoint inhibitors. Additionally, presented results from the Phase 3 ASCENT-04 trial evaluating Trodelvy plus Keytruda® (pembrolizumab) in 1L PD-L1+ mTNBC at the American Society of Clinical Oncology (“ASCO”) meeting. Trodelvy is not approved in either of these settings.
• Presented new real-world data at ASCO supporting the use of Yescarta in outpatient care settings for patients with relapsed or refractory (“R/R”) large B-cell lymphoma (“LBCL”), as well as other early-stage investigational CAR T data in glioblastoma and LBCL.
• Presented data in partnership with Arcellx, Inc. (“Arcellx”) at the European Hematology Association congress from the iMMagine-1 trial evaluating investigational anitocabtagene-autoleucel (“anito-cel”) in R/R multiple myeloma.
• Entered into an exclusive option and license agreement with Kymera to develop novel oral molecular glue CDK2 degraders with broad oncology treatment potential.

Inflammation

• Presented new data from multiple analyses at EASL evaluating Livdelzi for the treatment of primary biliary cholangitis, including interim analysis from the open-label, long-term ASSURE study.

Corporate

• The Board declared a quarterly dividend of $0.79 per share of common stock for the third quarter of 2025. The dividend is payable on September 29, 2025, to stockholders of record at the close of business on September 15, 2025. Future dividends will be subject to Board approval.
• The Board authorized a new $6.0 billion stock repurchase program, with no fixed expiration, which will commence upon the completion of the previously approved program.
• Reached a final settlement agreement with the U.S. Department of Justice resolving a legacy compliance matter. This settlement was accrued in 2024 and reported under SG&A expenses.
• Named by TIME as a 2025 Most Influential Company.

Certain amounts and percentages in this press release may not sum or recalculate due to rounding.

Conference Call

At 1:30 p.m. Pacific Time today, Gilead will host a conference call to discuss Gilead’s results. A live webcast will be available on http://investors.gilead.com and will be archived on www.gilead.com for one year.

Non-GAAP Financial Information

The information presented in this document has been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”), unless otherwise noted as non-GAAP. Management believes non-GAAP information is useful for investors, when considered in conjunction with Gilead’s GAAP financial information, because management uses such information internally for its operating, budgeting and financial planning purposes. Non-GAAP information is not prepared under a comprehensive set of accounting rules and should only be used to supplement an understanding of Gilead’s operating results as reported under GAAP. Non-GAAP financial information generally excludes acquisition-related expenses including amortization of acquired intangible assets and other items that are considered unusual or not representative of underlying trends of Gilead’s business, fair value adjustments of equity securities and discrete and related tax charges or benefits associated with such exclusions as well as changes in tax-related laws and guidelines, transfers of intangible assets between certain legal entities, and legal entity restructurings. Although Gilead consistently excludes the amortization of acquired intangible assets from the non-GAAP financial information, management believes that it is important for investors to understand that such intangible assets were recorded as part of acquisitions and contribute to ongoing revenue generation. Non-GAAP measures may be defined and calculated differently by other companies in the same industry. Reconciliations of the non-GAAP financial measures to the most directly comparable GAAP financial measures are provided in the accompanying tables.

About Gilead Sciences

Gilead Sciences, Inc. is a biopharmaceutical company that has pursued and achieved breakthroughs in medicine for more than three decades, with the goal of creating a healthier world for all people. The company is committed to advancing innovative medicines to prevent and treat life-threatening diseases, including HIV, viral hepatitis, COVID-19, cancer and inflammation. Gilead operates in more than 35 countries worldwide, with headquarters in Foster City, California.

Forward-Looking Statements

Statements included in this press release that are not historical in nature are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Gilead cautions readers that forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially. These risks and uncertainties include those relating to: Gilead’s ability to achieve its full year 2025 financial guidance, including as a result of the uncertainty of the amount and timing of Veklury revenues, the impact of the Inflation Reduction Act, changes in U.S. regulatory or legislative policies, and changes in U.S. trade policies, including tariffs; Gilead’s ability to make progress on any of its long-term ambitions or priorities laid out in its corporate strategy; Gilead’s ability to accelerate or sustain revenues for its virology, oncology and other programs; Gilead’s ability to realize the potential benefits of acquisitions, collaborations or licensing arrangements, including the acquisitions of MYR, and the arrangements with Arcellx, Kymera and the Global Fund; patent protection and estimated loss of exclusivity for our products and product candidates; Gilead’s ability to initiate, progress or complete clinical trials within currently anticipated timeframes or at all, the possibility of unfavorable results from ongoing and additional clinical trials, including those involving Livdelzi, Trodelvy, Yescarta, Yeztugo (lenacapavir), anito-cel, bulevirtide, GS-1720, and GS-4182 (such as the ASCENT-03, ASCENT-04, ASSURE, iMMagine-1, MYR301, PURPOSE 1 PURPOSE 2, WONDERS-1, and WONDERS-2 studies), and the risk that safety and efficacy data from clinical trials may not warrant further development of Gilead’s product candidates or the product candidates of Gilead’s strategic partners; Gilead’s ability to resolve the issues cited by the FDA in the clinical hold on the GS-1720 and GS-4182 trials to the satisfaction of the FDA and the risk that FDA may not remove the clinical hold, in whole or in part, in a timely manner or at all; Gilead’s ability to submit new drug applications for new product candidates or expanded indications in the currently anticipated timelines; Gilead’s ability to receive or maintain regulatory approvals in a timely manner or at all, including for additional approvals for lenacapavir for HIV PrEP, and the risk that any such approvals, if granted, may be subject to significant limitations on use and may be subject to withdrawal or other adverse actions by the applicable regulatory authority; Gilead’s ability to successfully commercialize its products; the risk of potential disruptions to the manufacturing and supply chain of Gilead’s products; pricing and reimbursement pressures from government agencies and other third parties, including required rebates and other discounts; a larger than anticipated shift in payer mix to more highly discounted payer segments; market share and price erosion caused by the introduction of generic versions of Gilead products; the risk that physicians and patients may not see advantages of Gilead’s products over other therapies and may therefore be reluctant to prescribe the products, including Yeztugo; Gilead’s ability to effectively manage the access strategy relating to lenacapavir for HIV PrEP, subject to necessary regulatory approvals; and other risks identified from time to time in Gilead’s reports filed with the SEC, including annual reports on Form 10-K, quarterly reports on Form 10-Q and current reports on Form 8-K. In addition, Gilead makes estimates and judgments that affect the reported amounts of assets, liabilities, revenues and expenses and related disclosures. Gilead bases its estimates on historical experience and on various other market specific and other relevant assumptions that it believes to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. There may be other factors of which Gilead is not currently aware that may affect matters discussed in the forward-looking statements and may also cause actual results to differ significantly from these estimates. Further, results for the quarter ended June 30, 2025 are not necessarily indicative of operating results for any future periods. Gilead directs readers to its press releases, annual reports on Form 10-K, quarterly reports on Form 10-Q and other subsequent disclosure documents filed with the SEC. Gilead claims the protection of the Safe Harbor contained in the Private Securities Litigation Reform Act of 1995 for forward-looking statements.

The reader is cautioned that forward-looking statements are not guarantees of future performance and is cautioned not to place undue reliance on these forward-looking statements. All forward-looking statements are based on information currently available to Gilead and Gilead assumes no obligation to update or supplement any such forward-looking statements other than as required by law. Any forward-looking statements speak only as of the date hereof or as of the dates indicated in the statements.

Additional information is available on our Investor Relations website, https://investors.gilead.com. Among other things, an estimate of Acquired IPR&D expenses is expected to be made available on the Quarterly Results page within the first ten (10) days after the end of each quarter.

Gilead owns or has rights to various trademarks, copyrights and trade names used in its business, including the following: GILEAD®, GILEAD SCIENCES®, KITE™, AMBISOME®, ATRIPLA®, BIKTARVY®, CAYSTON®, COMPLERA®, DESCOVY®, DESCOVY FOR PREP®, EMTRIVA®, EPCLUSA®, EVIPLERA®, GENVOYA®, HARVONI®, HEPCLUDEX®, HEPSERA®, JYSELECA®, LIVDELZI®/LYVDELZI®, LETAIRIS®, ODEFSEY®, SOVALDI®, STRIBILD®, SUNLENCA® , TECARTUS®, TRODELVY®, TRUVADA®, TRUVADA FOR PREP®, TYBOST®, VEKLURY®, VEMLIDY®, VIREAD®, VOSEVI®, YESCARTA®, YEZTUGO® and ZYDELIG®. KEYTRUDA® is a registered trademark of Merck Sharp & Dohme LLC., a subsidiary of Merck & Co., Inc., Rahway, NJ, USA. Other trademarks and trade names are the property of their respective owners.

For more information on Gilead Sciences, Inc., please visit www.gilead.com or call the Gilead Public Affairs Department at 1-800-GILEAD-5 (1-800-445-3235).

GILEAD SCIENCES, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(unaudited)
		Three Months Ended								Six Months Ended
		June 30,								June 30,
(in millions, except per share amounts)		2025				2024				2025				2024
Revenues:
Product sales		$	7,054			$	6,912			$	13,668			$	13,559
Royalty, contract and other revenues			27				41				81				81
Total revenues			7,082				6,954				13,749				13,640
Costs and expenses:
Cost of goods sold			1,501				1,544				3,041				3,096
Research and development expenses			1,491				1,351				2,870				2,871
Acquired in-process research and development expenses			61				38				315				4,169
In-process research and development impairments			190				—				190				2,430
Selling, general and administrative expenses			1,365				1,377				2,623				2,752
Total costs and expenses			4,608				4,309				9,038				15,317
Operating income (loss)			2,474				2,644				4,711				(1,678	)
Interest expense			254				237				513				491
Other (income) expense, net			(208	)			355				120				265
Income (loss) before income taxes			2,429				2,053				4,077				(2,433	)
Income tax expense			468				438				802				123
Net income (loss)			1,960				1,614				3,275				(2,556	)
Net income attributable to noncontrolling interest			—				—				—				—
Net income (loss) attributable to Gilead		$	1,960			$	1,614			$	3,275			$	(2,556	)
Basic earnings (loss) per share attributable to Gilead		$	1.57			$	1.29			$	2.63			$	(2.05	)
Diluted earnings (loss) per share attributable to Gilead		$	1.56			$	1.29			$	2.61			$	(2.05	)
Shares used in basic earnings (loss) per share attributable to Gilead calculation			1,245				1,247				1,246				1,247
Shares used in diluted earnings (loss) per share attributable to Gilead calculation			1,255				1,251				1,257				1,247
Supplemental Information:
Cash dividends declared per share		$	0.79			$	0.77			$	1.58			$	1.54
Product gross margin			78.7	%			77.7	%			77.7	%			77.2	%
Research and development expenses as a % of revenues			21.1	%			19.4	%			20.9	%			21.0	%
Selling, general and administrative expenses as a % of revenues			19.3	%			19.8	%			19.1	%			20.2	%
Operating margin			34.9	%			38.0	%			34.3	%			(12.3	)%
Effective tax rate			19.3	%			21.4	%			19.7	%			(5.1	)%

GILEAD SCIENCES, INC.
TOTAL REVENUE SUMMARY
(unaudited)
		Three Months Ended									Six Months Ended
		June 30,									June 30,
(in millions, except percentages)		2025			2024			Change			2025			2024			Change
Product sales:
HIV		$	5,088		$	4,745		7	%		$	9,675		$	9,088		6	%
Liver Disease			795			832		(4	)%			1,553			1,569		(1	)%
Oncology			849			841		1	%			1,606			1,629		(1	)%
Other			202			280		(28	)%			410			504		(19	)%
Total product sales excluding Veklury			6,934			6,698		4	%			13,245			12,790		4	%
Veklury			121			214		(44	)%			423			769		(45	)%
Total product sales			7,054			6,912		2	%			13,668			13,559		1	%
Royalty, contract and other revenues			27			41		(34	)%			81			81		1	%
Total revenues		$	7,082		$	6,954		2	%		$	13,749		$	13,640		1	%

GILEAD SCIENCES, INC.
NON-GAAP FINANCIAL INFORMATION(1)
(unaudited)
		Three Months Ended											Six Months Ended
		June 30,											June 30,
(in millions, except percentages)		2025				2024				Change			2025				2024				Change
Non-GAAP:
Cost of goods sold		$	922			$	965			(4	)%		$	1,883			$	1,939			(3	)%
Research and development expenses		$	1,450			$	1,335			9	%		$	2,789			$	2,738			2	%
Acquired IPR&D expenses(2)		$	61			$	38			61	%		$	315			$	4,169			(92	)%
Selling, general and administrative expenses		$	1,358			$	1,351			—	%		$	2,580			$	2,646			(3	)%
Other (income) expense, net		$	(66	)		$	(37	)		82	%		$	(164	)		$	(141	)		17	%
Diluted earnings per share attributable to Gilead		$	2.01			$	2.01			—	%		$	3.82			$	0.70			NM
Shares used in non-GAAP diluted earnings per share attributable to Gilead calculation			1,255				1,251			—	%			1,257				1,254			—	%
Product gross margin			86.9	%			86.0	%		89 bps				86.2	%			85.7	%		52 bps
Research and development expenses as a % of revenues			20.5	%			19.2	%		128 bps				20.3	%			20.1	%		21 bps
Selling, general and administrative expenses as a % of revenues			19.2	%			19.4	%		-26 bps				18.8	%			19.4	%		-64 bps
Operating margin			46.5	%			47.0	%		-49 bps				45.0	%			15.7	%		NM
Effective tax rate			18.8	%			17.8	%		96 bps				17.6	%			51.4	%		NM

________________________________
NM - Not Meaningful
(1)		Refer to Non-GAAP Financial Information section above for further disclosures on non-GAAP financial measures. A reconciliation between GAAP and non-GAAP financial information is provided in the tables below.
(2)		Equal to GAAP financial information.

GILEAD SCIENCES, INC.
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION
(unaudited)
		Three Months Ended								Six Months Ended
		June 30,								June 30,
(in millions, except percentages and per share amounts)		2025				2024				2025				2024
Cost of goods sold reconciliation:
GAAP cost of goods sold		$	1,501			$	1,544			$	3,041			$	3,096
Acquisition-related – amortization(1)			(579	)			(579	)			(1,158	)			(1,158	)
Restructuring			—				—				—				1
Non-GAAP cost of goods sold		$	922			$	965			$	1,883			$	1,939
Product gross margin reconciliation:
GAAP product gross margin			78.7	%			77.7	%			77.7	%			77.2	%
Acquisition-related – amortization(1)			8.2	%			8.4	%			8.5	%			8.5	%
Restructuring			—	%			—	%			—	%			—	%
Non-GAAP product gross margin			86.9	%			86.0	%			86.2	%			85.7	%
Research and development expenses reconciliation:
GAAP research and development expenses		$	1,491			$	1,351			$	2,870			$	2,871
Acquisition-related – other costs(2)			(35	)			(3	)			(37	)			(70	)
Restructuring			(6	)			(13	)			(44	)			(63	)
Non-GAAP research and development expenses		$	1,450			$	1,335			$	2,789			$	2,738
IPR&D impairment reconciliation:
GAAP IPR&D impairment		$	190			$	—			$	190			$	2,430
IPR&D impairment			(190	)			—				(190	)			(2,430	)
Non-GAAP IPR&D impairment		$	—			$	—			$	—			$	—
Selling, general and administrative expenses reconciliation:
GAAP selling, general and administrative expenses		$	1,365			$	1,377			$	2,623			$	2,752
Acquisition-related – other costs(2)			—				(17	)			—				(84	)
Restructuring			(7	)			(8	)			(43	)			(22	)
Non-GAAP selling, general and administrative expenses		$	1,358			$	1,351			$	2,580			$	2,646
Operating income (loss) reconciliation:
GAAP operating income (loss)		$	2,474			$	2,644			$	4,711			$	(1,678	)
Acquisition-related – amortization(1)			579				579				1,158				1,158
Acquisition-related – other costs(2)			35				21				37				153
Restructuring			13				21				88				84
IPR&D impairment			190				—				190				2,430
Non-GAAP operating income		$	3,290			$	3,265			$	6,183			$	2,148
Operating margin reconciliation:
GAAP operating margin			34.9	%			38.0	%			34.3	%			(12.3	)%
Acquisition-related – amortization(1)			8.2	%			8.3	%			8.4	%			8.5	%
Acquisition-related – other costs(2)			0.5	%			0.3	%			0.3	%			1.1	%
Restructuring			0.2	%			0.3	%			0.6	%			0.6	%
IPR&D impairment			2.7	%			—	%			1.4	%			17.8	%
Non-GAAP operating margin			46.5	%			47.0	%			45.0	%			15.7	%
Other (income) expense, net reconciliation:
GAAP other (income) expense, net		$	(208	)		$	355			$	120			$	265
Gain (loss) from equity securities, net			142				(392	)			(284	)			(405	)
Non-GAAP other (income) expense, net		$	(66	)		$	(37	)		$	(164	)		$	(141	)
Income (loss) before income taxes reconciliation:
GAAP income (loss) before income taxes		$	2,429			$	2,053			$	4,077			$	(2,433	)
Acquisition-related – amortization(1)			579				579				1,158				1,158
Acquisition-related – other costs(2)			35				21				37				153
Restructuring			13				21				88				84
IPR&D impairment			190				—				190				2,430
(Gain) loss from equity securities, net			(142	)			392				284				405
Non-GAAP income before income taxes		$	3,103			$	3,065			$	5,834			$	1,798

GILEAD SCIENCES, INC.
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL INFORMATION - (Continued)
(unaudited)
		Three Months Ended								Six Months Ended
		June 30,								June 30,
(in millions, except percentages and per share amounts)		2025				2024				2025				2024
Income tax expense reconciliation:
GAAP income tax expense		$	468			$	438			$	802			$	123
Income tax effect of non-GAAP adjustments:
Acquisition-related – amortization(1)			120				121				241				242
Acquisition-related – other costs(2)			—				7				—				37
Restructuring			2				7				15				16
IPR&D impairment			51				—				51				611
(Gain) loss from equity securities, net			(11	)			33				10				(6	)
Discrete and related tax charges(3)			(48	)			(60	)			(90	)			(100	)
Non-GAAP income tax expense		$	583			$	546			$	1,029			$	923
Effective tax rate reconciliation:
GAAP effective tax rate			19.3	%			21.4	%			19.7	%			(5.1	)%
Income tax effect of above non-GAAP adjustments and discrete and related tax adjustments(3)			(0.5	)%			(3.5	)%			(2.0	)%			56.4	%
Non-GAAP effective tax rate			18.8	%			17.8	%			17.6	%			51.4	%
Net income (loss) attributable to Gilead reconciliation:
GAAP net income (loss) attributable to Gilead		$	1,960			$	1,614			$	3,275			$	(2,556	)
Acquisition-related – amortization(1)			459				458				917				916
Acquisition-related – other costs(2)			35				14				37				117
Restructuring			11				14				72				68
IPR&D impairment			139				—				139				1,819
(Gain) loss from equity securities, net			(131	)			359				275				412
Discrete and related tax charges(3)			48				60				90				100
Non-GAAP net income attributable to Gilead		$	2,521			$	2,519			$	4,806			$	874
Diluted earnings (loss) per share reconciliation:
GAAP diluted earnings (loss) per share		$	1.56			$	1.29			$	2.61			$	(2.05	)
Acquisition-related – amortization(1)			0.37				0.37				0.73				0.73
Acquisition-related – other costs(2)			0.03				0.01				0.03				0.09
Restructuring			0.01				0.01				0.06				0.05
IPR&D impairment			0.11				—				0.11				1.46
(Gain) loss from equity securities, net			(0.10	)			0.29				0.22				0.33
Discrete and related tax charges(3)			0.04				0.05				0.07				0.08
Non-GAAP diluted earnings per share		$	2.01			$	2.01			$	3.82			$	0.70
Non-GAAP adjustment summary:
Cost of goods sold adjustments		$	579			$	579			$	1,158			$	1,157
Research and development expenses adjustments			41				16				81				133
IPR&D impairment adjustments			190				—				190				2,430
Selling, general and administrative expenses adjustments			7				26				43				106
Total non-GAAP adjustments to costs and expenses			817				620				1,472				3,826
Other (income) expense, net, adjustments			(142	)			392				284				405
Total non-GAAP adjustments before income taxes			675				1,012				1,757				4,231
Income tax effect of non-GAAP adjustments above			(162	)			(168	)			(316	)			(900	)
Discrete and related tax charges(3)			48				60				90				100
Total non-GAAP adjustments to net income attributable to Gilead		$	560			$	905			$	1,530			$	3,431

________________________________
(1)		Relates to amortization of acquired intangibles.
(2)		Adjustments include integration expenses and contingent consideration fair value adjustments associated with Gilead’s recent acquisitions.
(3)		Represents discrete and related deferred tax charges or benefits primarily associated with acquired intangible assets and transfers of intangible assets from a foreign subsidiary to Ireland and the United States.

GILEAD SCIENCES, INC.
RECONCILIATION OF GAAP TO NON-GAAP 2025 FULL-YEAR GUIDANCE(1)
(unaudited)
(in millions, except percentages and per share amounts)		Provided February 11, 2025		Updated April 24, 2025		Updated August 7, 2025
Projected product gross margin GAAP to non-GAAP reconciliation:
GAAP projected product gross margin		77.0% - 78.0%		77.0% - 78.0%		~ 78.0%
Acquisition-related expenses		~ 8.0%		~ 8.0%		~ 8.0%
Non-GAAP projected product gross margin		85.0% - 86.0%		85.0% - 86.0%		~ 86.0%
Projected operating income GAAP to non-GAAP reconciliation:
GAAP projected operating income		$10,200 - $10,700		$10,200 - $10,700		$10,300 - $10,700
Acquisition-related, IPR&D impairment and restructuring expenses		~ 2,500		~ 2,500		~ 2,700
Non-GAAP projected operating income		$12,700 - $13,200		$12,700 - $13,200		$13,000 - $13,400
Projected effective tax rate GAAP to non-GAAP reconciliation:
GAAP projected effective tax rate		~ 20%		~ 21%		~ 21%
Income tax effect of above non-GAAP adjustments and fair value adjustments of equity securities, and discrete and related tax adjustments		(~ 1%)		(~ 2%)		(~ 2%)
Non-GAAP projected effective tax rate		~ 19%		~ 19%		~ 19%
Projected diluted EPS GAAP to non-GAAP reconciliation:
GAAP projected diluted EPS		$5.95 - $6.35		$5.65 - $6.05		$5.85 - $6.15
Acquisition-related, IPR&D impairment and restructuring expenses, fair value adjustments of equity securities and discrete and related tax adjustments		~ 1.75		~ 2.05		~ 2.10
Non-GAAP projected diluted EPS		$7.70 - $8.10		$7.70 - $8.10		$7.95 - $8.25

________________________________
(1)		Our full-year guidance excludes the potential impact of any (i) acquisitions or business development transactions that have not been executed, (ii) future fair value adjustments of equity securities and (iii) discrete tax charges or benefits associated with changes in tax related laws and guidelines that have not been enacted, as Gilead is unable to project such amounts. The non-GAAP full-year guidance includes non-GAAP adjustments to actual current period results as well as adjustments for the known future impact associated with events that have already occurred, such as future amortization of our intangible assets and the future impact of discrete and related deferred tax charges or benefits primarily associated with acquired intangible assets and in-process research and development, transfers of intangible assets from a foreign subsidiary to Ireland and the United States, and legal entity restructurings.

GILEAD SCIENCES, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(unaudited)
		June 30,			December 31,
(in millions)		2025			2024
Assets
Cash, cash equivalents and marketable debt securities		$	7,126		$	9,991
Accounts receivable, net			4,781			4,420
Inventories(1)			3,913			3,589
Property, plant and equipment, net			5,459			5,414
Intangible assets, net			18,566			19,948
Goodwill			8,314			8,314
Other assets			7,563			7,319
Total assets		$	55,721		$	58,995
Liabilities and Stockholders’ Equity
Current liabilities		$	11,189		$	12,004
Long-term liabilities			24,942			27,744
Stockholders’ equity(2)			19,590			19,246
Total liabilities and stockholders’ equity		$	55,721		$	58,995

________________________________
(1)		Includes current and long-term inventories, which are disclosed separately in the notes to our financial statements in Form 10-K and Form 10-Q.
(2)		As of June 30, 2025 and December 31, 2024, there were 1,242 and 1,246 shares of common stock issued and outstanding, respectively.

GILEAD SCIENCES, INC.
SELECTED CASH FLOW INFORMATION
(unaudited)
		Three Months Ended								Six Months Ended
		June 30,								June 30,
(in millions)		2025				2024				2025				2024
Net cash provided by operating activities		$	827			$	1,325			$	2,584			$	3,544
Net cash used in investing activities			(2,116	)			(307	)			(2,531	)			(2,514	)
Net cash used in financing activities			(1,566	)			(2,953	)			(4,993	)			(4,314	)
Effect of exchange rate changes on cash and cash equivalents			73				(11	)			92				(29	)
Net change in cash and cash equivalents			(2,782	)			(1,947	)			(4,848	)			(3,313	)
Cash and cash equivalents at beginning of period			7,926				4,718				9,991				6,085
Cash and cash equivalents at end of period		$	5,144			$	2,772			$	5,144			$	2,772

		Three Months Ended								Six Months Ended
		June 30,								June 30,
(in millions)		2025				2024				2025				2024
Net cash provided by operating activities		$	827			$	1,325			$	2,584			$	3,544
Purchases of property, plant and equipment			(107	)			(130	)			(211	)			(235	)
Free cash flow(1)		$	720			$	1,195			$	2,373			$	3,309

________________________________
(1)		Free cash flow is a non-GAAP liquidity measure. Please refer to our disclosures in the Non-GAAP Financial Information section above.

GILEAD SCIENCES, INC.
PRODUCT SALES SUMMARY
(unaudited)
		Three Months Ended						Six Months Ended
		June 30,						June 30,
(in millions)		2025			2024			2025			2024
HIV
Biktarvy – U.S.		$	2,799		$	2,585		$	5,272		$	4,900
Biktarvy – Europe			429			370			804			735
Biktarvy – Rest of World			302			277			603			542
			3,530			3,232			6,679			6,177
Descovy – U.S.			601			434			1,139			805
Descovy – Europe			24			25			45			51
Descovy – Rest of World			28			26			55			55
			653			485			1,239			911
Genvoya – U.S.			322			372			627			704
Genvoya – Europe			40			45			79			95
Genvoya – Rest of World			16			23			35			44
			377			440			741			843
Odefsey – U.S.			221			233			436			457
Odefsey – Europe			66			72			123			148
Odefsey – Rest of World			11			10			20			21
			298			315			579			626
Symtuza - Revenue share(1) – U.S.			88			131			170			236
Symtuza - Revenue share(1) – Europe			33			34			62			67
Symtuza - Revenue share(1) – Rest of World			3			3			6			6
			124			168			238			309
Other HIV(2) – U.S.			65			65			115			125
Other HIV(2) – Europe			33			25			63			70
Other HIV(2) – Rest of World			9			15			19			27
			107			105			198			222
Total HIV – U.S.			4,096			3,821			7,760			7,226
Total HIV – Europe			624			571			1,177			1,167
Total HIV – Rest of World			368			353			738			695
			5,088			4,745			9,675			9,088
Liver Disease
Sofosbuvir / Velpatasvir(3) – U.S.			184			267			351			515
Sofosbuvir / Velpatasvir(3) – Europe			81			84			161			163
Sofosbuvir / Velpatasvir(3) – Rest of World			76			126			175			203
			342			476			687			881
Vemlidy – U.S.			122			117			222			212
Vemlidy – Europe			13			11			24			22
Vemlidy – Rest of World			117			115			257			233
			252			243			504			467
Other Liver Disease(4) – U.S.			106			47			175			89
Other Liver Disease(4) – Europe			76			47			152			94
Other Liver Disease(4) – Rest of World			19			19			35			38
			201			113			362			221
Total Liver Disease – U.S.			413			431			748			816
Total Liver Disease – Europe			170			142			338			279
Total Liver Disease – Rest of World			211			259			467			474
			795			832			1,553			1,569
Veklury
Veklury – U.S.			51			76			250			391
Veklury – Europe			19			53			41			123
Veklury – Rest of World			50			85			132			255
			121			214			423			769

GILEAD SCIENCES, INC.
PRODUCT SALES SUMMARY - (Continued)
(unaudited)
		Three Months Ended						Six Months Ended
		June 30,						June 30,
(in millions)		2025			2024			2025			2024
Oncology
Cell Therapy
Tecartus – U.S.			41			63			82			118
Tecartus – Europe			41			37			72			73
Tecartus – Rest of World			9			7			17			16
			92			107			171			207
Yescarta – U.S.			162			186			321			357
Yescarta – Europe			154			169			304			327
Yescarta – Rest of World			77			58			154			110
			393			414			779			794
Total Cell Therapy – U.S.			203			250			403			475
Total Cell Therapy – Europe			196			206			376			400
Total Cell Therapy – Rest of World			86			66			171			126
			485			521			949			1,001
Trodelvy
Trodelvy – U.S.			224			224			405			429
Trodelvy – Europe			96			69			171			137
Trodelvy – Rest of World			44			26			81			62
			364			320			657			628
Total Oncology – U.S.			427			474			808			904
Total Oncology – Europe			291			275			547			537
Total Oncology – Rest of World			131			92			252			188
			849			841			1,606			1,629
Other
AmBisome – U.S.			7			17			13			31
AmBisome – Europe			65			69			132			139
AmBisome – Rest of World			56			65			123			124
			129			151			268			294
Other(5) – U.S.			44			98			91			156
Other(5) – Europe			8			8			16			18
Other(5) – Rest of World			21			24			35			36
			73			130			143			209
Total Other – U.S.			52			115			104			188
Total Other – Europe			73			77			149			156
Total Other – Rest of World			77			88			158			160
			202			280			410			504
Total product sales – U.S.			5,038			4,916			9,669			9,525
Total product sales – Europe			1,178			1,118			2,251			2,262
Total product sales – Rest of World			838			878			1,747			1,772
		$	7,054		$	6,912		$	13,668		$	13,559

________________________________
(1)		Represents Gilead’s revenue from cobicistat (“C”), FTC and TAF in Symtuza (darunavir/C/FTC/TAF), a fixed dose combination product commercialized by Janssen Sciences Ireland Unlimited Company.
(2)		Includes Atripla, Complera/Eviplera, Emtriva, Sunlenca, Stribild, Truvada, Tybost and Yeztugo.
(3)		Includes Epclusa and the authorized generic version of Epclusa sold by Gilead’s separate subsidiary, Asegua Therapeutics LLC (“Asegua”).
(4)		Includes ledipasvir/sofosbuvir (Harvoni and the authorized generic version of Harvoni sold by Asegua), Hepcludex, Hepsera, Livdelzi/Lyvdelzi, Sovaldi, Viread and Vosevi.
(5)		Includes Cayston, Jyseleca, Letairis and Zydelig.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250807368619/en/

Investors:

Jacquie Ross, CFA

investor_relations@gilead.com

Media:

Ashleigh Koss

public_affairs@gilead.com

Source: Gilead Sciences, Inc.