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GILD · Q2 2026
Archived report (Q2 2026). Latest deep dive →
The quarter in brief
The biggest GAAP loss of this earnings season — $10.5B — is pure deal accounting: $11.2B of acquired IPR&D (Arcellx $7.0B, Tubulis $3.1B, Ouro $1.0B) and a $1.75B Immunomedics-related impairment landed in one quarter while the underlying business grew 10% ex-Veklury with HIV up 12%.
- Total Revenue +10.2% — higher HIV, Trodelvy and Livdelzi sales, plus higher revenues related to a previous intellectual property sale
Source
«Higher sales of HIV products, Trodelvy® (sacituzumab govitecan-hziy) and Livdelzi® (seladelpar), partially offset by lower sales of Veklury® (remdesivir) as well as Cell Therapy and chronic hepatitis C virus ("HCV") products; and ◦ Higher royalty, contract and other revenues related to a previous sale of intellectual property.»
press release, 8-K
All figures in $M.
| Line item | Amount and change |
|---|---|
| HIV | $5,693 · +11.9% |
| Liver Disease | $877 · +10.3% |
| Oncology | $873 · +2.8% |
| Other Products | $161 · -20.3% |
| Veklury | $23 · -81% |
| Royalty & Contract | $176 · +552% |
| Total Revenue | $7,803 · +10.2% |
| Other Income, net | $387 · vs $208 |
| Net Loss (GAAP) | $10,496 · vs +$1,960 |
| Cost of Goods Sold | $1,579 · +5.2% |
| R&D | $1,764 · +18.3% |
| Acquired IPR&D (Arcellx, Tubulis, Ouro) | $11,183 · vs $61 |
| IPR&D Impairment* | $1,750 · vs $190 |
| SG&A | $1,921 · +40.7% |
| Interest Expense | $247 · -2.8% |
| Income Tax | $242 · ETR −2.4% |
Verdict: the biggest GAAP loss of this earnings season — $10.5B — is pure deal accounting: $11.2B of acquired IPR&D (Arcellx $7.0B, Tubulis $3.1B, Ouro $1.0B) and a $1.75B Immunomedics-related impairment landed in one quarter while the underlying business grew 10% ex-Veklury with HIV up 12%.
Loss quarter (mirror layout): left side shows where the money came from — revenue, other income and the net loss itself; right side shows what it covered. Q2 operating cash flow $3.6B; dividends $1.0B, buybacks $355M; cash fell to $3.2B from $10.6B YE2025 after $11.3B YTD spent on acquisitions.
Source and notation
* marks non-cash / ≈ estimated. Source: Gilead Sciences press release 8-K EX-99.1 (SEC EDGAR).
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<figure> <a href="https://whoreportstoday.com/t/gild/q2-2026"><img src="https://whoreportstoday.com/t/gild/q2-2026/sankey.png" alt="GILD Q2 2026: where the revenue went" loading="lazy" style="max-width:100%;height:auto"></a> <figcaption>Source: <a href="https://whoreportstoday.com/t/gild/q2-2026">Who Reports Today</a>, licensed under <a href="https://creativecommons.org/licenses/by/4.0/">CC BY 4.0</a></figcaption> </figure>
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<a href="https://whoreportstoday.com/t/gild/q2-2026">GILD Q2 2026 earnings chart (Who Reports Today)</a>
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- Acquired IPR&D of $11,183M is the whole story: Arcellx $7.0B, Tubulis $3.1B and Ouro Medicines $1.0B (net of the Lakefront collaboration, which split the Ouro upfront equally) — all expensed at once, none tax-deductible.
- On top of that, a $1,750M in-process R&D impairment on assets previously acquired from Immunomedics (after the EVOKE-03 lung-cancer study with Keytruda was discontinued).
- Tax paradox: $242M of income tax EXPENSE on a $10,254M pretax LOSS — effective tax rate of −2.4% because the IPR&D charges carry no tax benefit.
- The operating business had a strong quarter: product sales ex-Veklury +10% to $7.6B; HIV +12% to $5,693M with Descovy +48% ($967M) on PrEP expansion and Biktarvy +7% ($3.8B); Trodelvy +26% ($457M).
- SG&A jumped 40.7% to $1,921M largely on acquisition integration costs; GAAP R&D +18.3% for the same reason.
- Other income of $387M (net) partially cushioned the loss — higher net gains from investments in equity securities.
- Cash and marketable securities fell from $10.6B to $3.2B in six months: $11.3B went to acquisitions, $2.8B to debt repayment, $2.1B to dividends; Q2 operating cash flow was $3.6B.
- FY2026 guidance now expects a GAAP LOSS per share of $(3.75)-$(3.40), including ~$9.08/share of the acquired IPR&D charges.
What distorts the picture in this report and what to watch beyond the headlines.
GILD — Gilead Sciences is a biopharmaceutical company focused on discovering, developing, and commercializing innovative medicines in areas such as antiviral, oncology, and inflammatory diseases.
It is headquartered in Foster City, California.
Heads-up
- a net loss in Q2 2026 ($10,496 · vs +$1,960)
Net loss for Q2 2026: $10,496M. In the report's figures: costs grew faster than revenue: sg&a +41% y/y, r&d +18% y/y. Based on the Q2 2026 report.
Company filings on SEC EDGAR ↗More reports: HCA · Q3 2026 · HSIC · Q2 2026 · HUM · Q2 2026 · IDXX · Q2 2026 · ILMN · Q3 2026 · INCY · Q2 2026 · IQV · Q3 2026 · ISRG · Q3 2026 · JNJ · Q3 2026 · LH · Q3 2026 · all reports