Key facts
- Gilead's third-quarter earnings of $2.55 per share beat estimates of $2.19.
- Gilead's third-quarter revenue of $8.3 billion beat estimates of $7.8 billion.
- Biktarvy sales rose 10% to $4.1 billion in the third quarter.
- Medicare will reduce the price paid for Biktarvy by 38% starting January 1, 2028.
- Gilead now expects 2026 product sales of $31 billion to $31.3 billion.
Gilead Sciences raised its full-year sales outlook on Thursday, driven by a strong performance in its HIV drug franchise. The company reported third-quarter earnings of $2.55 per share and revenue of $8.3 billion, surpassing analysts' expectations. Sales of its flagship HIV drug, Biktarvy, increased by 10% to $4.1 billion. However, Gilead announced that the US Centers for Medicare & Medicaid Services will implement a 38% price reduction for Biktarvy starting January 1, 2028, under the Inflation Reduction Act. This negotiation is expected to reduce annual Biktarvy sales by approximately $1.5 billion, though the company anticipates continued overall HIV revenue growth.