Written by bassist Roger Waters, "Julia Dream" is characterised by the slow tempo, the airy, ambient Mellotron sounds from keyboardist Richard Wright and lush chorus vocals.
The song's lyrics include reference to an eiderdown, an item also mentioned in two other known Pink Floyd songs – Syd Barrett's "Flaming" and Gilmour/Waters's "A Pillow of Winds". The phrase "Am I really dying" would reappear in the version of the song "Mother" re-recorded for the film "Pink Floyd – The Wall".