Gilead Sciences (GILD) will report Q4 results after the close with a conference call to follow at 4:30pm ET. GILD is expected to report earnings at 4:01pm. 

Current Capital IQ consensus stands at EPS of $2.60 and Revenues of $7.175 bln.

FY17 revenue guidance is expected and will be a key driver 

Guidance

• FY16 Net Product Sales $29.5-30.5 mln
• • Non-GAAP Product Gross Margin 88-90%
  • R&D Expense $3.6-3.8 bln
  • SG&A Expense $3.1-3.3 bln
  • Effective Tax Rate 18-20%
• FY17 Guidance (Net Product Sales is expected to be provided in press release)
  • Net Product Sales Capital IQ consensus $27.98 bln.

Gilead Sciences beats by $0.10, beats on revs; guides FY17 revs below consensus

• Reports Q4 (Dec) earnings of $2.70 per share, excluding non-recurring items, $0.10 better than the Capital IQ Consensus of $2.60; revenues fell 13.9% year/year to $7.32 bln vs the $7.17 bln Capital IQ Consensus.
  • Total product sales for the fourth quarter of 2016 were $7.2 billion, compared to $8.4 billion for the same period in 2015. Product sales for the fourth quarter of 2016 were $4.9 billion in the United States, $1.4 billion in Europe, $314 million in Japan and $556 million in other locations. 
    • HIV and other antiviral product sales for the fourth quarter of 2016 were $3.4 billion, compared to $3.0 billion for the same period in 2015.
    • HCV product sales, which consist of Harvoni, Sovaldi and Epclusa, were $3.2 billion for the fourth quarter of 2016, down 34% compared to $4.9 billion for the same period in 2015
  • Gross Margin 88.1% compared to 87.6% in Q3.
• Co issues downside guidance for FY17, sees FY17 revs of $22.5-24.5 bln vs. $27.98 bln Capital IQ Consensus Estimate.
  • Non-HCV sales $15-15.5 bln
  • HCV Sales $7.5-9.0 bln
  • Non-GAAP Gross Margin 86-88%