Dec 31, 2019

Gilead Sciences Q4 2019 Earnings Report

Gilead Sciences' financial results for Q4 2019 were announced, with total revenues of $5.9 billion and diluted EPS of $2.12.

Key Takeaways

Gilead Sciences announced its Q4 and full year 2019 financial results. The total revenues for the fourth quarter of 2019 were $5.9 billion, and the net income was $2.7 billion, or $2.12 per diluted share.

Fourth Quarter Product Sales reached $5.8 billion.

Full Year 2019 Product Sales amounted to $22.1 billion.

Full Year 2019 Diluted EPS was $4.22 per share.

Full Year 2019 Non-GAAP Diluted EPS was $6.63 per share.

Total Revenue
$5.88B
Previous year: $5.8B
+1.4%
EPS
$1.3
Previous year: $1.44
-9.7%
Product gross margin
71%
Non-GAAP product gross margin
75.7%
Gross Profit
$4.2B
Previous year: $4.23B
-0.7%
Cash and Equivalents
$11.6B
Previous year: $17.9B
-35.2%
Free Cash Flow
$2.38B
Previous year: $2.1B
+13.4%
Total Assets
$61.6B
Previous year: $63.7B
-3.2%

Gilead Sciences

Gilead Sciences

Gilead Sciences Revenue by Segment

Gilead Sciences Revenue by Geographic Location

Forward Guidance

Gilead provided full year 2020 guidance, projecting product sales between $21.8 billion and $22.2 billion and diluted EPS between $6.05 and $6.45.

Positive Outlook

  • Product Sales: $21,800 - $22,200 million
  • Non-GAAP Product Gross Margin: 86% - 87%
  • R&D Expenses: Mid-single digit percentage growth
  • SG&A Expenses: Mid-single digit percentage growth
  • Operating Income: $10,100 - $10,800 million

Challenges Ahead

  • Effective Tax Rate: ~21%
  • Diluted EPS: $6.05 - $6.45
  • GAAP Diluted EPS: $5.15 - $5.55

Revenue & Expenses

Visualization of income flow from segment revenue to net income