Gilead's Q2 2025: Unpacking Contradictions in Yeztugo Launch, Tariff Impacts, and PrEP Market Dynamics

Yeztugo launch dynamics and access expectations, impact of tariffs on Gilead's business, launch timing and market dynamics of lenacapavir for PrEP, PrEP market growth and dynamics are the key contradictions discussed in Gilead Sciences' latest 2025Q2 earnings call.



Strong Base Business Growth:
- Gilead Sciences reported base business sales of $6.9 billion, growing 4% year-over-year, driven by robust growth in Biktarvy, Descovy, Livdelzi, and Trodelvy.
- This growth was offset by lower Veklury sales due to decreased COVID-19-related hospitalizations.

HIV Treatment and Prevention Expansion:
- HIV sales reached $5.1 billion, reflecting a 7% year-over-year growth, primarily driven by the strong performance of Biktarvy and Descovy.
- The growth was driven by increased demand and higher average realized price, as well as the recent FDA approval of Yeztugo for twice-yearly HIV prevention.

Trodelvy's Market Leadership:
- Trodelvy sales were $364 million, up 14% year-over-year, and 24% sequentially, primarily driven by its strength in metastatic breast cancer.
- Growth was supported by positive Phase III results, which demonstrated significant efficacy benefits, and is expected to expand into the first-line setting.

Cell Therapy Challenges and Progress:
- Sales in Kite's cell therapies, excluding Veklury, were $485 million, down 7% year-over-year, but up 5% sequentially.
- While facing competitive headwinds, progress was made through FDA regulatory changes to reduce barriers to adoption and potential new real-world data supporting outpatient delivery.