Gilead Sciences 2025 Q2 Earnings Net Income Grows 21.4%

Gilead Sciences (GILD) reported fiscal 2025 Q2 earnings on August 8, 2025, delivering solid financial results amid continued momentum in its key therapeutic areas. The biopharmaceutical giant outperformed expectations with revenue growth and upward earnings guidance. The company also received regulatory milestones and market optimism.

Gilead Sciences delivered results that exceeded expectations, with revenue up 1.8% year-over-year and net income rising 21.4%. The company raised its full-year earnings and revenue guidance following strong Q2 performance across its product portfolio, led by robust sales in HIV and oncology.

Revenue
Gilead Sciences generated $7.08 billion in total revenue in Q2 2025, an increase from $6.95 billion in the prior year. Product sales accounted for $7.05 billion, driven by sustained demand in core segments. The HIV division remained the largest contributor with $5.09 billion in revenue, while oncology generated $849 million. Liver disease and Veklury revenue stood at $795 million and $121 million, respectively. Additional revenue sources included $202 million from other therapeutic areas and $27 million from royalties and contracts.

Earnings/Net Income
Gilead Sciences reported earnings per share of $1.57 in Q2 2025, representing a 21.7% increase from $1.29 in the prior-year period. Net income rose 21.4% to $1.96 billion, reinforcing the company’s strong profitability and operational efficiency.

Price Action
Gilead’s stock faced minor downward pressure during the latest trading day, declining by 0.27%. Over the past week, the stock lost 1.79%, and it has fallen 0.70% month-to-date, reflecting cautious investor sentiment ahead of broader market movements.

Post-Earnings Price Action Review
A post-earnings investment strategy that involved purchasing GILD shares 30 days after each quarterly release over the past three years showed moderate returns. The strategy yielded a compound annual growth rate of 16.53%, although it underperformed the benchmark by 12.55 percentage points. The approach demonstrated a low-risk profile with a Sharpe ratio of 0.69 and no recorded drawdowns, suggesting stability but limited upside potential.

CEO Commentary
Daniel O’Day, Chairman and Chief Executive Officer, highlighted a “very successful second quarter” driven by strong performance across key products such as Biktarvy, Descovy, Trodelvy, and Livdelzi. He emphasized the recent FDA approval of Yeztugo, the first twice-yearly HIV prevention option, as a transformative milestone. O’Day also underscored the company’s portfolio diversity and announced an increase in both revenue and earnings guidance for the year, expressing confidence in continued innovation and growth.

Guidance
Gilead Sciences has increased its full-year revenue and earnings guidance based on the strong Q2 performance. Although the company has not provided specific revised ranges, it expects continued momentum across its core therapeutic areas, supported by robust product sales and a growing pipeline.

Additional News
On the same date as Gilead’s earnings report, Punch Newspapers covered several key developments in Nigeria. The West African Examinations Council (WAEC) released revised 2025 WASSCE results and issued an apology for grading errors, which sparked public concern. Meanwhile, President Bola Tinubu announced new measures to address pension backlogs and improve civil service welfare. Additionally, the Nigerian Red Cross launched the second phase of its food intervention program in Lagos, aiming to support vulnerable communities affected by food insecurity.