Foster City’s Gilead slashes 2020 sales outlook as Remdesivir sales disappoint

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Foster City’s Gilead slashes 2020 sales outlook as Remdesivir sales disappoint

Late on Wednesday, the Foster City, California-based manufacturer of the pandemic drug Remdesivir, Gilead Sciences Inc., had beaten Wall St. estimates for its third quarter revenues, however, the American drugmaker had trimmed its 2020 revenue forecast citing a lower-than-expected demand of its pandemic drug Remdesivir, the only approved pandemic-drug across the globe that could successfully handle pandemic infections in early stages, though late-stage trial of Remdesivir showed little or no impact on critically ill patients.

On top of that, Gilead Sciences Inc.’s blockbuster pandemic drug Remdesivir, which was expected to outperform amid a flu-like outbreak at large, generated a lump-sum of $873 million in revenues over the third quarter of the year, missing Wall St.

estimates of $960 million, data from Refinitiv had revealed.

Gilead trims 2020 sales outlook as Remdesivir sales fall short

Besides, in the latest flashpoint of an utter reluctancy among the pandemic-infected patients to go through a costly treatment regimen of Remdesivir unless they were severely ill, a stage where a majority of anti-viral drugs could barely make an impact, the Californian drugmaker had trimmed its full-year sales forecast to $23.5 billion, below an analysts’ estimate of $24.1 billion, while the shares’ prices of Gilead Sciences Inc.

fell over 1.5 per cent in post-market trading following release of its quarterly earnings’ report. Nonetheless, according to Gilead Sciences Inc.’s quarterly earnings’ report for Q3, 2020, the Californian pharmaceutical reported $6.6 billion in third-quarter revenues alongside earnings of $2.11 per share on an adjusted basis, surpassing Wall St.

estimates of $1.90 per share. Besides, Gilead’s sales of its flagship HIV drug rose 8 per cent to $4.55 billion over Q3, 2020, compared to the same time a year earlier, as patients’ demands appeared to have restored followed by pandemic-led disruptions over the second quarter of the year.

Meanwhile, addressing that the number of hospitalization rates had dropped dramatically after Summer with many younger people having been infected, Gilead Chief Commercial Officer, Johanna Mercier said in a post earnings’ call with the reporters, “Our assumption is in light of the surge this fall both in Europe and the U.S., those numbers will pop back up”.