Gilead Sciences, Inc.

Company facts

Industry

Biological Products, (No Diagnostic Substances)

Headquarters

Foster City, California

Most recent report

10-Q, filed Oct 30, 2026

Incorporated

Delaware

Filings on record

1,005+ filings

On EDGAR

CIK 882095

Fiscal year ends

December

Filer status

Large accelerated filer

What to read: Sep 2026 10-Q

SECSift found 3 of 13 sections worth reading, with 3 positive, 11 notable, and 12 negative flags.

• Financial Statements (Item 1)

  Massive acquisition spend, debt raise, $1.75B impairment, and litigation details all in the notes.
  Notable

  • Lakefront paid $860M for 50% of Ouro upfront cost, reducing Gilead's net acquisition expense.
  • $654M of pre-commercial Trodelvy inventory held for which FDA has not yet approved the manufacturing process.
  • Antitrust appeal of Phase I verdict heard Oct 2025; Phase II stayed. Aetna trial set for Jan 2027.
  • California Supreme Court ruled for Gilead in product liability cases; federal cases remain with trial set for Sep 2027.
  Negative

  • Sold all $3B of marketable debt securities to help fund acquisitions; none left as of Sep 30, 2026.
  • Recorded $1.75B impairment on Trodelvy's NSCLC program after discontinuing Phase 3 study in Q2 2026.

• Management's Discussion (Item 2)

  Core MD&A with revenue, profit, pipeline, and acquisition details. Net loss and large impairment are key.
  Positive

  • Total revenue up 7% to $8.3B (Q3 2026) and $23.1B (nine months), driven by HIV and Trodelvy growth.
  • Trodelvy sales up 42% (Q3) and 35% (nine months) to $506M and $1.4B, driven by higher demand.
  • Operating cash flow rose 67% to $11.2B for nine months ended September 30, 2026, due to higher collections and lower tax payments.
  Notable

  • Biktarvy faces Medicare price negotiation; Maximum Fair Price set October 2026, effective January 2028.
  • Product gross margin improved to 81.0% (Q3) and 79.9% (nine months) due to expiration of a royalty obligation.
  Negative

  • Net loss of $6.0B for nine months ended September 30, 2026, vs net income of $6.3B in 2025, due to $11.3B in acquired IPR&D and $1.75B impairment.
  • Cell Therapy sales fell 18% (Q3) and 15% (nine months) due to competitive headwinds; Veklury down 69% and 64%.

• Risk Factors (Item 1A)

  Company-specific risks: IRA price negotiation on Biktarvy, MFN deal, tariffs, 340B litigation, cell therapy challenges.
  Notable

  • Veklury sales depend on COVID-19 infection rates, vaccine uptake, and alternative treatments; significant forecasting uncertainty.
  • IRA redesigns Part D discount program; manufacturers must pay 10% discount in initial coverage phase and 20% in catastrophic phase.
  • GLOBE Model (April 2027) implements MFN-benchmarked Medicare Part B rebates; Gilead's GENEROUS Model participation may waive requirements.
  • BIOSECURE Act and ABC Safe Drug Act could restrict use of Chinese contract manufacturers for clinical trials and commercial supply.
  • Gilead committed to invest $32 billion in U.S. through 2030 to expand manufacturing and R&D; subject to delays and cost overruns.
  Negative

  • HIV products provide a 'substantial portion' of revenue; market share loss to generics or competition could force scaling back operations.
  • Cell therapy manufacturing faces quality, speed, and capacity risks; apheresis centers may decline certification.
  • Biktarvy selected for Medicare price negotiation; Maximum Fair Price set for Jan 2028 is 'substantially lower' than current Medicare prices.
  • OBBBA (July 2025) eliminates enhanced ACA subsidies, reduces health coverage for patients taking Gilead medicines.
  • 100% tariffs on patented pharmaceuticals began July 2026; long-term impact uncertain, could raise costs and disrupt supply chain.
  • 340B contract pharmacy integrity initiative faces legal challenges; HHS enforcement and qui tam False Claims Act risk.
  • Counterfeit Gilead medicines seized; unauthorized distributors sold counterfeit drugs to independent pharmacies nationwide.
  • Phase 3 EVOKE-03 study discontinued in June 2026; impairment charge recorded in Q2 2026.

What changed: Sep 2026 vs. Jun 2026

About 4% of GILD's Sep 2026 10-Q is new information. 20 paragraphs were added, 158 changed, and 21 removed. Below are the most important lines SECSift identified.

• Item 2 63
• Item 1 51
• Item 1A 15
• Item 5 3
• Item 4 2
• Item 6 2