According to the latest news released yesterday (November 18, 2024), Gilead will lay off 104 employees at its headquarters (Foster City), effective March 14, 2025.

About a few days ago (November 14, 2024), Gilead also announced that it would close its office in Seattle, and 75 employees in the office would be laid off as a result (effective January 17, 2025). In addition, Gilead will also close a Kite factory in Philadelphia by mid-2024, and the specific number of layoffs is unknown.

This was a decision made shortly after Gilead released its third-quarter financial report. According to the report, the revenue for the quarter was US$7.5 billion, a year-on-year increase of 7%. The total revenue for the first three quarters was US$21.185 billion, a year-on-year increase of 6%. Its cell therapy segment seems to show a trend of weak growth, with a total sales revenue of US$485 million in Q3 2024, the same as last year. Its top-selling CAR-T, Yescarta, has shown a downward trend, which is quite disturbing.

Although Gilead is a leader in CAR-T commercialization, it has successfully expanded Yescarta's indications and successfully advanced to the front line (from third-line to second-line), but with the intensification of market competition, Yescarta's future sales growth space is still relatively limited.

In Gilead's third-quarter financial report, Yescarta has shown a trend of weak sales growth. In Q3 2024, Yescarta's revenue was US$387 million, a year-on-year decrease of 1% and a month-on-month decrease of 7%. The sales growth of the second listed CAR-T, Tecartus, also seems to be very difficult. In Q3 2024, sales were US$98 million, a year-on-year increase of 2% and a month-on-month decrease of 8%.
So far, this huge acquisition has not brought blood back to Gilead. The two listed CAR-T therapies have brought Gilead a total of US$7.038 billion in sales revenue. Currently, Yescarta's sales are still showing a downward trend, and Tecartus' sales growth is also very slow. At present, it seems that the expected time to recover the investment will be longer.

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