Biogen Inc. or Pharming Group N.V.: Who Manages SG&A Costs Better?

Managing SG&A Costs: Biogen Inc. vs. Pharming Group N.V.

In the competitive world of pharmaceuticals, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Biogen Inc. and Pharming Group N.V. have taken different paths in this regard over the past decade. From 2014 to 2023, Biogen's SG&A expenses have consistently been higher, averaging around $2.3 billion annually. In contrast, Pharming Group N.V. has maintained a leaner approach, with expenses averaging approximately $56 million per year.

Biogen's expenses peaked in 2021, reaching nearly $2.7 billion, while Pharming's highest was in 2022 at about $132 million. Despite the disparity in absolute numbers, both companies have shown a commitment to strategic cost management. Biogen's expenses grew by about 14% over the period, whereas Pharming's increased by over 300%, reflecting its rapid expansion strategy. This comparison highlights the diverse strategies in managing operational costs within the pharmaceutical industry.