Gilead Sciences, Inc. (GILD) J.P. Morgan Annual Healthcare Conference (Transcript)

Summary of Gilead Sciences, Inc. Conference Call Company Overview - Company: Gilead Sciences, Inc. (NASDAQ:GILD) - Event: J.P. Morgan Annual Healthcare Conference - Date: January 9, 2023 - Participants: - Daniel O'Day - Chairman and CEO - Johanna Mercier - Chief Commercial Officer - Merdad Parsey - Chief Medical Officer - Andrew Dickinson - CFO - Chris Schott - JPMorgan Key Points Company Transformation and Strategy - Gilead has successfully transformed its business over the past three years, focusing on creating a diverse and sustainable portfolio while maintaining its legacy in virology [4][5][6] - The company aims to maximize near-term revenue growth, particularly in HIV and oncology, with a focus on long-acting therapies and expanding oncology programs [8][9][10] HIV Business - Gilead's HIV business is expected to see a positive compound annual growth rate (CAGR) through 2030, driven by the success of Biktarvy and new long-acting therapies [29][30] - Biktarvy holds a 45% market share in the U.S. and continues to grow, with expectations for further growth in 2023 [34] - The long-acting HIV therapy Sunlenca is anticipated to transform HIV prevention, with ongoing trials for both treatment and prevention [14][15] Oncology Portfolio - Gilead's oncology business is now at a $2 billion annual run rate, with strong momentum in cell therapy and promising results from Trodelvy in breast cancer [10][11][17] - Trodelvy is positioned as a preferred agent in second-line metastatic triple-negative breast cancer, with ongoing trials to expand its use in earlier lines of therapy [42][44] - The company is exploring various cancer types with magrolimab and has 14 late-stage trials ongoing across its oncology portfolio [22][23][17] COVID-19 Response - Gilead's antiviral drug Veklury has been used in over 12 million patients globally and continues to be a standard of care for COVID-19 [12] - The company is developing a novel oral COVID medicine, with trials expected to start in the U.S. for non-hospitalized patients [13] M&A and Capital Allocation Strategy - Gilead plans to focus on smaller tuck-in acquisitions rather than large deals, reflecting confidence in its existing portfolio [26][62] - The company repurchased $1.4 billion in shares in 2022, indicating a commitment to returning value to shareholders while investing in its pipeline [26][66] Financial Outlook - Gilead expects significant growth in both top-line and bottom-line performance over the next decade, leveraging its existing infrastructure [68] - The company will provide guidance for 2023 and key clinical milestones in the upcoming year-end results presentation [70] Additional Insights - The company emphasizes the importance of health equity, particularly in developing countries, as it continues to innovate in HIV prevention and treatment [15] - Gilead's leadership in cell therapy is highlighted by its partnerships and ongoing studies, which are expected to expand its market reach [24][25] This summary encapsulates the key insights and strategic directions discussed during the conference call, reflecting Gilead's commitment to innovation and growth in the biopharmaceutical sector.