Gilead Sciences, Inc. (NASDAQ: GILD) shares remain under pressure even though the company reported strong fourth-quarter results last trading week.
Gilead has increased quarterly dividend
Gilead Sciences is an American biopharmaceutical company that focuses on researching and developing antiviral drugs used to treat HIV, hepatitis B, hepatitis C, and influenza.
The company reported strong fourth-quarter results on Tuesday; total revenue has decreased by -2.4% Y/Y to $7.24 billion, $600 million below expectations, while the Non- GAAP earnings per share were $1.87 (beats by $0.26).
Veklury continues to play a significant role in the pandemic environment, and total fourth-quarter Veklury sales were $1.4 billion. Veklury has demonstrated activity against the Omicron variant and has helped many patients with COVID-19 in the most recent surge.
The company’s management remains very optimistic about the upcoming quarters in terms of growth, and it expects total product sales between $23.8 billion and $24.3 billion for full-year 2022. Daniel O’Day, Chairman, and CEO of Gilead Sciences, added:
As we head into 2022, Gilead is coming off a year of positive clinical momentum and strong financial performance, mitigating the impact of the pandemic on some parts of our business.
Earnings per share between $4.70 and $5.20 while the company’s 2022 plans include a significant increase in clinical development studies across novel oncology portfolio.
The board of directors declared a $0.73/quarterly share dividend last week, which represents a 2.8% increase from the prior dividend of $0.71. The dividend will be payable on March 30 to stockholders of record as of March 15, 2022.
Gilead has a strong position in the market; the company continues to pay an attractive dividend and improve its business for long-term growth and advantage.
