Gilead 4Q Revenues up 26%

Gilead

4Q Revenues: $7.4 billion (+26%)

4Q Earnings: $1.5 billion (-43%)

YTD Revenues: $24.7 billion (+10%)

YTD Earnings: $123 million (earnings were $5.4 billion FY19)

Comments: Revenue growth for the quarter and full year was primarily due to the launch of Veklury (remdesivir) in 2020. Product sales excluding Veklury for the quarter and full year 2020 decreased 7% and 3%, respectively, due to the continued effects of COVID-19 on Gilead’s HIV and hepatitis C virus franchises, as well as the expected decline in sales of Truvada and tenofovir disoproxil fumarate-based products due to the loss of exclusivity of Truvada and Atripla in the U.S. in October 2020. Veklury sales were $1.9 billion and $2.8 billion, for the quarter and full year, respectively, reflecting higher hospitalization and treatment rates due to the most recent COVID-19 surge. HIV product sales were down 7% to $4.3 billion in the quarter, and up 3% to $16.9 billion for the year. HCV product sales were down 33% to $423 million in the quarter and 30% to $2.1 billion for the year. R&D expenses for the quarter and full year increased 44% to $1.6 billion, and 24% to $5 billion, respectively.