By Kathryn Hardison
Gilead Sciences Inc. recorded a small boost in second-quarter revenue, exceeding Wall Street expectations, as demand for its HIV and oncology treatments offset decreased sales for its Covid-19 treatment and other therapies.
The biopharmaceutical company's net profit for the period was $1.14 billion, or 91 cents a share, compared with $1.52 billion, or $1.21 a share, a year ago. Adjusted earnings were $1.58 a share. Analysts polled by FactSet had expected adjusted earnings per share of $1.59.
Gilead's profit decline was from higher acquired in-process research and development expenses from an upfront payment of $300 million related to the Dragonfly Therapeutics Inc. collaboration, plus higher net unrealized losses from its strategic equity investments.
Total revenue increased 1% to $6.3 billion. Analysts had estimated $5.86 billion in revenue. The company said the slight revenue gain was primarily due to increased sales in HIV and oncology products, offset partially by decreased sales of Veklury and hepatitis C virus products.
Product sales, excluding Veklury, increased 7% to $5.7 billion.
Sales of Gilead's flagship HIV therapy, Biktarvy, rose 28% to $2.6 billion in the quarter. Sales of Descovy rose 6% in the quarter.
Veklury sales fell by 46% to $445 million for the second quarter, which the company said reflects rates for Covid-19 and severity of infections and hospitalizations, as well as the availability, uptake and effectiveness of vaccinations.
Write to Kathryn Hardison at kathryn.hardison@wsj.com
(END) Dow Jones Newswires
08-02-22 1635ET