Comparing Cost of Revenue Efficiency: Eli Lilly and Company vs Amgen Inc.

A Decade of Cost Efficiency: Eli Lilly vs. Amgen

In the competitive landscape of the pharmaceutical industry, cost efficiency is a critical factor for success. Over the past decade, Eli Lilly and Company and Amgen Inc. have demonstrated varying strategies in managing their cost of revenue. From 2014 to 2023, Eli Lilly's cost of revenue increased by approximately 43%, peaking in 2021, while Amgen saw a more dramatic rise of nearly 90%, with a significant spike in 2023. This trend highlights Eli Lilly's relatively stable cost management compared to Amgen's more volatile approach. Notably, in 2021, Eli Lilly's cost of revenue was 13% higher than Amgen's, showcasing its aggressive investment in production capabilities. As the industry evolves, these insights into cost efficiency provide a window into the strategic priorities of these pharmaceutical giants, offering valuable lessons for stakeholders and investors alike.