Cost Management Insights: SG&A Expenses for AbbVie Inc. and Pfizer Inc.

Navigating SG&A Expenses: A Tale of Two Giants

In the competitive landscape of pharmaceuticals, effective cost management is crucial. Over the past decade, AbbVie Inc. and Pfizer Inc. have demonstrated contrasting strategies in managing their Selling, General, and Administrative (SG&A) expenses. From 2014 to 2023, AbbVie saw a significant increase of approximately 66% in SG&A expenses, peaking in 2022. This rise reflects strategic investments in marketing and administration, crucial for maintaining its market position. Meanwhile, Pfizer's SG&A expenses remained relatively stable, with a modest 5% fluctuation, indicating a consistent approach to cost management. Notably, in 2020, both companies experienced a shift, with AbbVie's expenses surpassing Pfizer's for the first time, highlighting a pivotal moment in their financial strategies. As the pharmaceutical industry evolves, understanding these trends offers valuable insights into the financial health and strategic priorities of these industry leaders.

Key Insights

• AbbVie's SG&A expenses increased by 66% from 2014 to 2023.
• Pfizer maintained a stable SG&A expense trend with only a 5% fluctuation.