#5 Gilead Sciences
333 Lakeside Dr.
Foster City, CA 94404
Tel: (800) 445-3235
Fax: (650) 578-9264
www.gilead.com
| Headcount | 1,900 | |
| Year Established | 1987 | |
| Biopharma Revenues | $1,809 | +46% |
| Total Revenues | $2,026 | +53% |
| Royalty Revenues | $219 | +167% |
| Net Income | $814 | +81% |
| R&D Budget | $278 | +24% |
| Drugs Approved/Launched |
|
| Drug | Indication |
| viread + truvada combo |
HIV/AIDS |
| atripla (truvada + sustiva*) | HIV/AIDS |
| * manufactured by Bristol-Myers Squibb |
|
| Drugs in Phase IIb and Beyond | |
| Drug | Indication |
| tenofovir disoproxil fumarate |
chronic hepatitis B |
| Early Research Projects |
|
| Drug | Indication |
| gs 9132 |
hepatitis C |
| gs 9137 |
HIV/AIDS |
| protease and polymerase inhibitors |
hepatitis C |
| small molecule therapeutics |
viral infections, lymphatic diseases |
| Top Selling Drugs |
|||
| Drug | Indication |
Sales |
(+/-%) |
| viread |
HIV/AIDS |
$779 | -1% |
| truvada |
HIV/AIDS |
$567 | +734% |
| ambisome | fungal infection | $221 | +4% |
| hepsera |
hepatitis B |
$187 | +65% |
| emtriva |
HIV/AIDS |
$47 | -19% |
Account for 99% of total biopharma sales, same as in 2004.
PROFILE
Gilead Sciences moved up one spot to #5 on our list largely on the strength of Truvada. This drug for HIV—combining the company's Viread and Emtriva treatments -- posted a $500 million sales gain in 2005 (to be fair, it was the drug's first full year of sales), and posted $249 million in 1Q2006 figures, up 173% from 1Q2005. Another year of strong sales growth, and Gilead could pass Biogen Idec and Serono for the #3 spot.
The combo format could pay off for Gilead again if the FDA approves its Truvada/Sustiva drug developed with Bristol-Myers Squibb. The companies filed an NDA for the daily, single-tablet formulation in April 2006. The development of the unnamed combo-drug was difficult, with a pair of significant formulation failures before reaching successful bioequivalence with the new pill.
Gilead saw strong Phase I/II results from GS 9137, an HIV treatment in-licensed from Japan Tobacco, and is readying a full Phase II trial of the drug. The company has launched a pair of Phase III trials of Viread's API in the treatment of chronic hepatitis B, and started a Phase I study of GS 9132 on hepatitis C.
Outside of the HIV franchise, Gilead's other major move was settling its Tamiflu dispute with Roche in November 2005. Earlier in the year, Gilead moved to terminate its license with Roche, complaining that Roche was failing to market and manufacture the flu drug effectively, while also skimping on royalty payments.
After the avian flu panic, the companies elected to come to terms. Gilead and Roche will establish joint committees to oversee manufacturing, commercial and pandemic planning for the product. Gilead will also have the option to co-promote Tamiflu in specialized areas in the U.S. Gilead decided not to co-promote Tamiflu in 2006 but hasn't decided whether to do so in 2007 or beyond. The companies also restructured the royalty setup, eliminating a cost-of-goods adjustment.
Relying on HIV sales can be a dicey proposition in the international market (see Abbott), but Gilead is making a strong showing with its HIV franchise and is poised to make a major splash with its BMS partnership. If it can retain patent protection -- and if Roche can avoid any Tamiflu mishaps -- Gilead will be in great shape for years.
