Gilead posts higher profit on demand for HIV drugs, but overall sales dip

Core Insights - Gilead Sciences reported a 4% increase in HIV drug sales to $5.3 billion in Q3, aided by the new prevention drug Yeztugo, while overall product sales fell 2% to $7.3 billion due to decreased COVID-19 and cell therapy sales [1][4] - The company achieved a quarterly profit of $2.43 per share, significantly up from $1.00 a year earlier, with total revenue rising 3% to $7.77 billion, surpassing Wall Street estimates [4] - Gilead raised its lower end of adjusted earnings estimate for the full year to $8.05 per share and slightly increased the low end of its 2025 product sales expectations to $28.4 billion [5][6] Sales Performance - Sales of the liver disease portfolio increased by 12% to $819 million, while COVID treatment Veklury saw a 60% decline to $277 million due to lower hospitalization rates [5] - Cell therapy product sales decreased by 11% to $432 million, attributed to increased competition, whereas cancer drug Trodelvy sales rose by 7% to $357 million [5] Yeztugo Launch - The launch of Yeztugo is progressing well, with 75% of U.S. payers agreeing to cover the drug, expected to rise to 90% by mid-2026 [3] - Yeztugo, priced at approximately $28,000 annually, generated $39 million in sales, falling short of Wall Street's expectations of $37.5 million [2][3]