Biogen Inc. or Galapagos NV: Who Manages SG&A Costs Better?

Biogen Inc. vs. Galapagos NV: A Decade of SG&A Management

In the competitive world of biotechnology, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Biogen Inc. and Galapagos NV have demonstrated contrasting approaches to SG&A cost management. Biogen, a leader in neuroscience, consistently reported higher SG&A expenses, peaking at approximately $2.67 billion in 2021. In contrast, Galapagos NV, a smaller player, maintained significantly lower expenses, with a high of around $239 million in 2022.

Despite Biogen's larger scale, its SG&A expenses grew by about 14% from 2014 to 2023, while Galapagos saw a staggering increase of over 2,500% in the same period. This dramatic rise for Galapagos reflects its aggressive expansion strategy. Investors and analysts should consider these trends when evaluating the operational efficiency and strategic direction of these biotech firms.