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HIV, Livdelzi Fuel GILD's Q3 Top Line Amid Cell Therapy Sales Decline
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Key Takeaways
Gilead posted 3% year-over-year revenue growth in Q3 2025, led by higher product and royalty revenues.
HIV drugs Biktarvy and Descovy fueled gains, while Livdelzi lifted liver disease portfolio sales by 12%.
Veklury and Cell Therapy sales declined, but Yeztugo's early uptake and patent wins support future growth.
Gilead Sciences, Inc.’s (GILD - Free Report) posted 3% year-over-year growth in total revenues for the third quarter of 2025.
Total revenues comprise product sales and royalty, contract and other revenues.
While higher royalty, contract and other revenues propelled the growth in revenues, GILD’s HIV franchise and liver disease drug Livdelzi boosted product sales and partially offset the adverse impact of lower Veklury (remdesivir) and Cell Therapy sales.
Excluding Veklury, product sales increased 4% to $7.1 billion.
GILD’s Strong HIV Franchise Maintains Momentum
Gilead has a market-leading HIV franchise, led by flagship HIV therapies — Biktarvy and Descovy. Biktarvy sales and Descovy for pre-exposure prophylaxis (PrEP) have fueled GILD’s top-line growth year to date despite the Medicare Part D redesign.
Flagship HIV therapy Biktarvy is the top revenue generator for GILD. Biktarvy’s sales increased 6% year over year to $3.7 billion in the third quarter, driven by higher demand and favorable inventory dynamics. Per GILD, Biktarvy accounts for more than 52% share of the treatment market in the United States, and continues to be the market leader in major markets around the world.
GILD earlier announced settlement agreements to resolve Biktarvy patent litigation with generic manufacturers Lupin Ltd., Cipla Ltd. and Laurus Labs Ltd.
Per the terms of the settlement, the earliest date the three generic manufacturers can market a generic version of full dose Biktarvy in the United States is April 1, 2036, subject to standard acceleration provisions. GILD had earlier projected Biktarvy to lose exclusivity in December 2033.
Descovy (FTC 200 mg/TAF 25 mg) sales increased 20% year over year to $701 million, driven by higher demand. Roughly 75% of Descovy sales are for HIV prevention. Descovy accounts for more than 45% of the U.S. market share in pre-exposure prophylaxis (PrEP) market, which grew approximately 14% year over year.
The newly approved Yeztugo (lenacapavir) for PrEP raked in sales of $39 million in the third quarter. GILD stated that it achieved its 75% coverage goal for Yeztugo, nearly three months ahead of its target. Gilead continues to target achieving 90% coverage by the end of the first half of 2026.
Gilead now expects HIV revenue growth in 2025 to be approximately 5% (previous guidance: 3%), despite the $900 million headwind for this business associated with the Medicare Part D redesign.
GILD also plans to share progress on one of its next-generation HIV treatments before the end of the year with an update on the ARTISTRY-1 and ARTISTRY-2 studies. These studies are evaluating an investigational single-tablet regimen of bictegravir and lenacapavir and continues to target a product launch in early 2027.
Livdelzi Boosts Liver Disease Portfolio
The Liver Disease portfolio sales, which include chronic HCV, chronic hepatitis B virus (HBV) and chronic hepatitis delta virus (HDV), increased 12% to $819 million, primarily driven by higher demand for Livdelzi for the treatment of primary biliary cholangitis (PBC).
Livdelzi exceeded $100 million in quarterly sales for the first time and is already the first-line treatment for second-line PBC in the United States. It put up a stellar performance in the quarter, propelling growth in liver disease portfolio sales. Livdelzi’s performance gained on the back of strong commercial execution and some new launches outside the country. Per GILD, Livdelzi is now the market leader in second-line PBC in the United States.
GILD’s Cell-Therapy Franchise Continues to Decline
Cell Therapy product (comprising Yescarta and Tecartus) sales decreased 11% to $432 million due to competitive headwinds. The figure missed the Zacks Consensus Estimate of $476 million and our model estimate of $461 million.
Yescarta sales decreased 10% year over year to $349 million due to lower demand. Tecartus (adult acute lymphoblastic leukemia) sales decreased 15% to $83 million due to lower demand.
The Cell-Therapy franchise continues to face competitive headwinds.
Breast cancer drug Trodelvy’s sales increased 7% year over year to $357 million, driven by higher demand.
Final Thoughts on GILD’s Performance
While Veklury sales continue to pull down the top line, HIV franchise and Livdelzi’s outstanding performance were impressive.
Shares of the company have surged 32.2% year to date compared with the industry’s growth of 12.1%.
The initial uptake of Yeztugo looks good. Yeztugo has a competitive advantage as it needs to be taken only twice a year, unlike daily oral pills, and addresses a broad population.
Approval of better HIV treatments should strengthen the HIV franchise in the wake of increasing competition from the likes of GSK plc (GSK - Free Report) .
GSK continues to grow its HIV business, driven by strong patient demand for long-acting injectable medicines (Cabenuva and Apretude) and Dovato.
Positive data from the phase III ARTISTRY-1 and ARTISTRY-2 studies will be a significant boost for the company.
Alkermes’ earnings per share (EPS) estimates for 2025 have inched up from $1.82 to $1.96, while those for 2026 have risen from $1.70 to $1.77 in the past 30 days. The stock has gained nearly 7.1% year to date.
Alkermes’ earnings beat estimates in three of the trailing four quarters and missed the mark in one, delivering an average surprise of 4.58%.
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HIV, Livdelzi Fuel GILD's Q3 Top Line Amid Cell Therapy Sales Decline
Key Takeaways
Gilead Sciences, Inc.’s (GILD - Free Report) posted 3% year-over-year growth in total revenues for the third quarter of 2025.
Total revenues comprise product sales and royalty, contract and other revenues.
While higher royalty, contract and other revenues propelled the growth in revenues, GILD’s HIV franchise and liver disease drug Livdelzi boosted product sales and partially offset the adverse impact of lower Veklury (remdesivir) and Cell Therapy sales.
Excluding Veklury, product sales increased 4% to $7.1 billion.
GILD’s Strong HIV Franchise Maintains Momentum
Gilead has a market-leading HIV franchise, led by flagship HIV therapies — Biktarvy and Descovy. Biktarvy sales and Descovy for pre-exposure prophylaxis (PrEP) have fueled GILD’s top-line growth year to date despite the Medicare Part D redesign.
Flagship HIV therapy Biktarvy is the top revenue generator for GILD. Biktarvy’s sales increased 6% year over year to $3.7 billion in the third quarter, driven by higher demand and favorable inventory dynamics. Per GILD, Biktarvy accounts for more than 52% share of the treatment market in the United States, and continues to be the market leader in major markets around the world.
GILD earlier announced settlement agreements to resolve Biktarvy patent litigation with generic manufacturers Lupin Ltd., Cipla Ltd. and Laurus Labs Ltd.
Per the terms of the settlement, the earliest date the three generic manufacturers can market a generic version of full dose Biktarvy in the United States is April 1, 2036, subject to standard acceleration provisions. GILD had earlier projected Biktarvy to lose exclusivity in December 2033.
Descovy (FTC 200 mg/TAF 25 mg) sales increased 20% year over year to $701 million, driven by higher demand. Roughly 75% of Descovy sales are for HIV prevention. Descovy accounts for more than 45% of the U.S. market share in pre-exposure prophylaxis (PrEP) market, which grew approximately 14% year over year.
The newly approved Yeztugo (lenacapavir) for PrEP raked in sales of $39 million in the third quarter. GILD stated that it achieved its 75% coverage goal for Yeztugo, nearly three months ahead of its target. Gilead continues to target achieving 90% coverage by the end of the first half of 2026.
Gilead now expects HIV revenue growth in 2025 to be approximately 5% (previous guidance: 3%), despite the $900 million headwind for this business associated with the Medicare Part D redesign.
GILD also plans to share progress on one of its next-generation HIV treatments before the end of the year with an update on the ARTISTRY-1 and ARTISTRY-2 studies. These studies are evaluating an investigational single-tablet regimen of bictegravir and lenacapavir and continues to target a product launch in early 2027.
Livdelzi Boosts Liver Disease Portfolio
The Liver Disease portfolio sales, which include chronic HCV, chronic hepatitis B virus (HBV) and chronic hepatitis delta virus (HDV), increased 12% to $819 million, primarily driven by higher demand for Livdelzi for the treatment of primary biliary cholangitis (PBC).
Livdelzi exceeded $100 million in quarterly sales for the first time and is already the first-line treatment for second-line PBC in the United States. It put up a stellar performance in the quarter, propelling growth in liver disease portfolio sales. Livdelzi’s performance gained on the back of strong commercial execution and some new launches outside the country. Per GILD, Livdelzi is now the market leader in second-line PBC in the United States.
GILD’s Cell-Therapy Franchise Continues to Decline
Cell Therapy product (comprising Yescarta and Tecartus) sales decreased 11% to $432 million due to competitive headwinds. The figure missed the Zacks Consensus Estimate of $476 million and our model estimate of $461 million.
Yescarta sales decreased 10% year over year to $349 million due to lower demand. Tecartus (adult acute lymphoblastic leukemia) sales decreased 15% to $83 million due to lower demand.
The Cell-Therapy franchise continues to face competitive headwinds.
Breast cancer drug Trodelvy’s sales increased 7% year over year to $357 million, driven by higher demand.
Final Thoughts on GILD’s Performance
While Veklury sales continue to pull down the top line, HIV franchise and Livdelzi’s outstanding performance were impressive.
Shares of the company have surged 32.2% year to date compared with the industry’s growth of 12.1%.
The initial uptake of Yeztugo looks good. Yeztugo has a competitive advantage as it needs to be taken only twice a year, unlike daily oral pills, and addresses a broad population.
Approval of better HIV treatments should strengthen the HIV franchise in the wake of increasing competition from the likes of GSK plc (GSK - Free Report) .
GSK continues to grow its HIV business, driven by strong patient demand for long-acting injectable medicines (Cabenuva and Apretude) and Dovato.
Positive data from the phase III ARTISTRY-1 and ARTISTRY-2 studies will be a significant boost for the company.
GILD’s Zacks Rank and Stock to Consider
Gilead currently has a Zacks Rank #3 (Hold). A better-ranked biotech stock is Alkermes (ALKS - Free Report) , which currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
Alkermes’ earnings per share (EPS) estimates for 2025 have inched up from $1.82 to $1.96, while those for 2026 have risen from $1.70 to $1.77 in the past 30 days. The stock has gained nearly 7.1% year to date.
Alkermes’ earnings beat estimates in three of the trailing four quarters and missed the mark in one, delivering an average surprise of 4.58%.