Analyzing Cost of Revenue: Novartis AG and Viatris Inc.

Analyzing Cost of Revenue: Novartis AG vs. Viatris Inc.

In the ever-evolving pharmaceutical industry, understanding the cost of revenue is crucial for assessing a company's financial health. This analysis compares Novartis AG and Viatris Inc. over a decade, from 2014 to 2023. Novartis AG, a Swiss multinational, consistently maintained a higher cost of revenue, peaking in 2018 with a 14% increase from 2014. However, a notable decline of 32% was observed by 2023. In contrast, Viatris Inc., an American global healthcare company, showed a remarkable upward trend, with a 121% increase in cost of revenue from 2014 to 2021, before a slight dip in 2023. This divergence highlights the strategic differences in managing operational costs. Investors and stakeholders should consider these trends when evaluating the companies' long-term profitability and market strategies.