Gilead disappoints, with 1st-qtr sales and earnings falling short of expectations

US biotech giant Gilead Sciences (Nasdaq: GILD) posted financial results for the first-quarter of 2016 late Thursday which missed analysts’ expectations, sending the firm’s stock down 6.25% to $90.95 in after-hours trading.

Total revenues were $7.8 billion in 2016 just 1% higher compared to $7.6 billion in 2015, and sharply missing analysts’ forecasts of $8.12 billion in revenue, according to a consensus estimate from Thomson Reuters.

Net income was $3.6 billion or $2.53 per diluted share in 2016, down 16.3% compared to $4.3 billion or $2.76 per diluted share in 2015. Non-generally accepted accounting principles (GAAP) net income, which excludes acquisition-related, up-front collaboration, stock-based compensation and other expenses, was $4.3 billion or $3.03 per diluted share in 2016, down 6.5% compared to $4.6 billion or $2.94 per diluted share in 2015. Analysts expected earnings of about $3.15 a share.