Early Access

10-QPeriod: Q1 FY2021

GILEAD SCIENCES, INC. Quarterly Report for Q1 Ended Mar 31, 2021

Filed May 6, 2021For Securities:GILD

Summary

Gilead Sciences, Inc. (GILD) reported solid financial results for the first quarter of 2021, with total revenues increasing by 16% year-over-year to $6.4 billion. This growth was primarily driven by significant sales of Veklury (remdesivir), its treatment for COVID-19, which generated $1.5 billion in revenue, a substantial increase from the prior year's first quarter where Veklury sales were not yet recognized. Net income attributable to Gilead also saw a healthy increase of 11% to $1.7 billion, resulting in diluted earnings per share of $1.37, up 12% from the prior year. The company's strategic acquisitions, including Immunomedics and MYR, are beginning to contribute to revenue, particularly in the oncology (Trodelvy) and viral disease (Hepcludex) segments. However, traditional HIV product sales experienced a 12% decline, primarily due to generic competition following the loss of exclusivity for Truvada and Atripla. Investors should monitor the ongoing impact of Veklury sales volatility, the continued integration of acquired assets, and the performance of key therapeutic areas in light of competitive pressures.

Financial Highlights

57 data points
Beta

Revenue

$6.42B

0.8% Gross Margin

Net Income

$1.73B

0.3% Net Margin

EPS (Diluted)

$1.37

Total Assets

$67.49B

Cash & Equivalents

$4.07B

Free Cash Flow

$2.44B

Financial Statements
Beta
Revenue$6.42B
Cost of Revenue$1.36B
Gross Profit$5.06B
SG&A Expenses$1.05B
Operating Expenses$3.53B
Operating Income$2.89B
Interest Expense$257.00M
Net Income$1.73B
EPS (Basic)$1.38
EPS (Diluted)$1.37
Shares Outstanding (Basic)1.26B
Shares Outstanding (Diluted)1.26B

Key Highlights

  • 1Total revenues increased 16% to $6.4 billion, driven by a 16% increase in product sales, largely due to $1.5 billion in Veklury (COVID-19 treatment) sales.
  • 2Net income attributable to Gilead rose 11% to $1.7 billion, with diluted EPS increasing 12% to $1.37.
  • 3HIV product sales decreased 12% to $3.7 billion, impacted by generic competition for Truvada and Atripla.
  • 4Veklury (remdesivir) generated $1.5 billion in sales, compared to negligible sales in Q1 2020, highlighting its significant contribution during the COVID-19 pandemic.
  • 5Cell Therapy product sales grew 36% to $191 million, driven by Tecartus and Yescarta.
  • 6The acquisition of MYR GmbH contributed $6 million in Hepcludex sales, expanding the HBV/HDV portfolio.
  • 7The company repurchased $309 million of common stock in the quarter, with $6.5 billion remaining authorization for future repurchases.

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