GILEAD SCIENCES, INC.

Gilead Sciences is a biopharmaceutical company that discovers, develops and commercializes medicines for viral diseases, oncology and inflammation. Its core model combines internal R&D, in‑licensing and acquisitions to build marketed franchises and generate product sales, royalties and contract revenues from global distribution of prescription therapies. The company monetizes patented drugs through direct sales, partnerships and licensing.^[1]

Business Segments

• HIV therapies: flagship antiretroviral portfolio (e.g., Biktarvy, Descovy) — the largest revenue driver, representing roughly 68% of product sales.^[2]
• Liver disease and antivirals: hepatitis C and B treatments plus related products — about 10–11% of product sales.^[2]
• Oncology and cell therapy: Trodelvy and CAR‑T therapies (Yescarta, Tecartus) — mid‑single to low‑teens percentage of sales when combined with other oncology revenues.^[2]
• Other/royalty & contract revenue: COVID‑19 antiviral (Veklury), specialty products and licensing/royalty streams comprise the remainder of revenues.^[2]

Competitive Position

• Scale and portfolio depth: Gilead’s large, established HIV franchise and broad antiviral pipeline give it scale advantages in R&D, manufacturing and payer negotiations versus smaller rivals.^[3]
• Intellectual property and M&A capabilities: sustained revenues rely on patented products and strategic acquisitions that replenish the pipeline and expand therapeutic areas (notably oncology and cell therapy).^[4]

Investment Considerations

• Durable cash flow from core franchises: a concentrated, high‑margin HIV portfolio provides predictable product sales and supports dividends and buybacks, but concentration increases exposure to competitive or patent risk.^[2]
• Pipeline and portfolio diversification: successful expansion into oncology and cell therapy can reduce single‑product dependency, but outcomes depend on clinical and regulatory success.^[5]
• Pricing, reimbursement and gross‑to‑net pressures: product revenues are materially affected by rebates, government pricing rules and payer negotiations; these structural pressures can compress net realized prices.^[2]
• Operational and execution risks: manufacturing, clinical trial failures, legal/regulatory actions and integration of acquisitions are persistent risks that can materially affect results.^[2]