SG&A Expenses: A Tale of Two Companies

A Decade of Financial Evolution

Over the past decade, the Selling, General, and Administrative (SG&A) expenses of Perrigo Company plc and Rhythm Pharmaceuticals, Inc. have painted a vivid picture of contrasting growth trajectories. Perrigo, a stalwart in the pharmaceutical industry, has seen its SG&A expenses grow by approximately 89% from 2014 to 2023, reflecting its expansive operations and market reach. In contrast, Rhythm Pharmaceuticals, a relatively newer player, has experienced a staggering increase of over 9,600% in the same period, indicative of its aggressive growth strategy and scaling efforts.

Insights and Implications

While Perrigo's expenses have remained relatively stable, Rhythm's rapid increase highlights its investment in market penetration and development. This divergence underscores the different strategic priorities of established versus emerging companies in the pharmaceutical sector. As we move forward, these trends offer valuable insights into the evolving dynamics of corporate financial management.