Double-digit growth in sales of oncology treatments and HIV medicine Biktarvy pushed Gilead Sciences ahead of Wall Street estimates Tuesday afternoon.
Though the life sciences company posted $7.1 billion in quarterly revenues, which were flat year-over-year, Gilead recorded a 12% increase in sales of Biktarvy and a 33% increase in oncology sales over the same period.
Analysts had anticipated revenue closer to $6.8 billion.
Excluding sales of COVID-19 treatment Veklury (remdesivir), the organization’s total product sales increased 5% to $6.4 billion during the quarter, with HIV product sales rising 4% to $4.7 billion. Additionally, Gilead’s earnings per share (EPS) rose to $1.73, up from $1.42 in Q3 2022 thanks to a lower tax expense.
Gilead’s net income topped $2.1 billion, well-exceeding last year’s $1.7 billion, though its operating income slid from $2.8 billion to $2.6 billion.
Looking ahead, Gilead added that it expects its full-year earnings per share to be in the range of $6.65 to $6.85.
The company also raised its total product sales guidance to the range of $26.7 billion to $26.9 billion.
“Gilead has now delivered two years of consistent growth in our base business. In the third quarter, this continued growth was driven by both Virology and Oncology,” Gilead CEO Daniel O’Day said in a statement. “Our clinical momentum also remains strong, and highlights this quarter included new data on Trodelvy with pembrolizumab in first-line metastatic non-small cell lung cancer. In Virology, we completed enrollment for Phase 3 trials of lenacapavir for HIV prevention and oral obeldesivir for COVID-19. We are looking forward to advancing these and other potential new options for patients over the coming months.”
Gilead’s earnings were released a few weeks after the company inked a partnership with Assembly Biosciences to develop antiviral therapies for diseases like herpes, hepatitis B and hepatitis D.
As part of the 12-year deal, Gilead will pay $100 million upfront to Assembly, including $84.8 million upfront and $15.2 as an initial equity investment.
Ultimately, through a series of potential milestones payments, Assembly Bio is eligible to receive up to $330 million per candidate.