In the present article, the pure PbS and different concentrations of Gd doped PbS (Gd:PbS) films were developed using the spray pyrolysis route by growing thin films on the glass substrate. The estimated crystallite sizes were found from 15.5 to 20.8 nm for as-deposited films. The spherical shape morphology of grains was observed by FESEM. The obtained average grain sizes varied from 52.8 to 108.2 nm were obtained from the grain size distributions for 0.0, 0.5, 1.5, and 2.5 wt % Gd: PbS films, respectively. Extinction coefficients of as-deposited films were measured from 0.04 to 0.12 in the range of wavelength 200–2500 nm. Refractive indices of films were obtained from 5.4 to 1.22 in range of 200–2500 nm wavelength. The band gaps of 2.75, 2.64, 2.45, and 3.10 eV for 0.0, 0.5, 1.0 and 2.5 wt % Gd thin films were estimated using Tauc's relation respectively. The values of the dielectric constant, dielectric loss, and optical conductivity were recorded in the range of 1.32–29.6, 0.30–0.61, and 2.34 × 1014–3.08 × 1013 between 200 and 2500 nm wavelengths for as-deposited thin films respectively. The optimum values of linear susceptibility, non-linear susceptibility and refractive index were recorded in the range of 1.23–2.93, 5.21 × 10−10 - 120 × 10−10, 3.54 × 10−9 – 74.2 × 10−9 (esu) between 1.46 and 0.52 eV respectively for as-deposited thin films. The Gd: PbS thin films improve the physical properties and therefore, it becomes suitable candidature for the applications in optoelectronic devices. •Fabrication of PbS and Gd:PbS films on glass by nebulizer spray pyrolysis is reported.•Spherical grains with highly packed structure of PbS and Gd:PbS thin films.•Homogeneous doping of Gd in ZnO was detected by EDX/SEM mapping.•The band gaps is noticed in range of 2.45–3.10 eV for PbS and Gd:PbS thin films.•Values of linear/non-linear susceptibilities, and non-linear refractive index of Gd: PbS decreases as compared to pure.