Gilead Sciences, Inc. GILD used its second-quarter 2026 call to emphasize stronger base-business growth, led by HIV, PrEP, Trodelvy and Livdelzi, while outlining a busy second-half launch calendar.
Non-GAAP loss per share was $6.75, better than the Zacks Consensus Estimate for a loss of $7.07. Revenues of $7.8 billion also topped the $7.37 billion consensus and increased 10% year over year.
GILD Raises Base Business Outlook
Executive vice president and chief financial officer Andrew Dickinson said GILD now expects 2026 product sales excluding Veklury of $29.8 billion to $30.1 billion, up $350 million at the midpoint from May guidance.
Dickinson said full-year HIV sales are now expected to rise 9% to 10% compared with the prior 8% outlook, reflecting strength in Biktarvy, Yeztugo and Descovy.
Moreover, Dickinson raised the lower end of total product sales guidance to $30.1 billion, leaving the high end at $30.4 billion. Veklury expectations fell to approximately $300 million from about $600 million.
Gilead Leans on HIV and PrEP Momentum
Chairman and chief executive officer Daniel O'Day said HIV sales increased 12% and quarterly PrEP sales exceeded $1 billion for the first time, putting the prevention business at a $4 billion annual run rate.
Chief commercial and corporate affairs officer Johanna Mercier said Biktarvy sales rose 7% to $3.8 billion, while Yeztugo generated $232 million. Gilead maintained its approximately $1 billion full-year Yeztugo sales target.
Mercier also said more than 70% of Yeztugo users returned for reinjection at six months. She expects HIV treatment market growth to return to its typical 2% to 3% annual rate after softer second-quarter trends.
GILD Pushes Oncology and Cell Therapy Launches
O'Day said Trodelvy sales rose 26% year over year, supported by breast cancer demand and new first-line metastatic triple-negative breast cancer approvals.
Mercier said cell therapy sales declined 14% amid ongoing competitive pressure, while launch preparations are underway for anito-cel ahead of its Dec. 23 regulatory decision.
Chief medical officer Dietmar Berger highlighted GS-8824 data in platinum-resistant ovarian cancer, including a 61% confirmed objective response rate and 11-month median progression-free survival across select doses. Registrational development could begin as early as 2027.
Gilead Defends PrEP Breadth and Diversification
A BMO Capital Markets analyst asked whether development of once-weekly oral PrEP reflected weaker enthusiasm for twice-yearly injections. Mercier said the strategy instead addresses patients who prefer oral therapy.
Mercier noted that roughly 80% to 85% of the market remains on daily oral options. She described weekly oral lenacapavir as complementary to Yeztugo rather than a substitute.
A Citigroup analyst asked whether reducing HIV concentration remains a long-term objective. O'Day replied that diversification remains a goal both within virology and through expansion in oncology and immunology.
GILD Shifts From Deals to Integration
Dickinson said Gilead does not currently anticipate additional sizable M&A in 2026 after completing the Arcellx, Tubulis and Ouro Medicines acquisitions.
Dickinson also said near-term priorities center on integrating the acquired programs and platforms. Acquired IPR&D expenses totaled $11.2 billion in the second quarter, primarily reflecting the three transactions.
Dickinson added that GILD returned nearly $1.4 billion to shareholders during the quarter, including $355 million of share repurchases, while operating cash flow totaled $3.6 billion.
Gilead Enters Back Half With Launch Focus
O'Day said the second half could bring two additional commercial launches, BIC/LEN in HIV treatment and anito-cel in multiple myeloma, alongside continued clinical execution.
Management's focus coming out of the call centers on sustaining base-business growth, integrating recent acquisitions and advancing a broader pipeline across HIV, oncology and inflammation.
GILD Zacks Signals Show Mixed Near-Term Profile
GILD carries a Zacks Rank #3 (Hold), with a Value Score of C, Growth Score of C, Momentum Score of A and VGM Score of B. The Style Score framework places A and B grades above C, making momentum the strongest individual style signal.
You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks framework treats the Rank as the primary short-term indicator, while Style Scores complement it over a similar one-to-three-month horizon. The Zacks Rank can change as analysts revise earnings estimates following the just-reported results.
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