GILD · 10-Q · 2026Q2 · Full report

Income Tax Rate Changes

GILEAD SCIENCES, INC. · 2026-08-06 · Importance 59 · Surprise 82

The effective tax rate declined to negative 2.4% in the second quarter of 2026 from 19.3% in the prior-year quarter. For the first six months, the effective tax rate declined to negative 10.4% from 19.7%. The change was primarily caused by non-deductible acquired IPR&D expenses from the Arcellx, Tubulis and Ouro Medicines acquisitions. Gilead stated that OECD Pillar Two requirements are not expected to materially affect results, liquidity or capital resources.

Key facts

• Our effective tax rate for the three months ended June 30, 2026 was (2.4)%, compared to 19.3% in the same period in 2025. source
• Our effective tax rate for the six months ended June 30, 2026 was (10.4)%, compared to 19.7% in the same period in 2025. source
• We do not expect Pillar Two (OECD global minimum tax of 15%) to have a material impact on our results of operations, liquidity or capital resources. source