SG&A Expense Trends: A Tale of Two Biotechs

In the competitive world of biotechnology, managing expenses is crucial for success. This analysis compares the Selling, General, and Administrative (SG&A) expenses of Madrigal Pharmaceuticals, Inc. and Galapagos NV from 2014 to 2023. Over this period, Galapagos NV's SG&A expenses surged by over 2,500%, peaking in 2022, while Madrigal Pharmaceuticals saw a more modest increase of approximately 590%, with a significant spike in 2023.

Key Insights

• Galapagos NV: The company experienced a dramatic rise in SG&A expenses, particularly between 2019 and 2022, reflecting strategic investments in growth and expansion.
• Madrigal Pharmaceuticals, Inc.: Despite a slower growth rate, the company saw a notable jump in 2023, indicating a potential shift in strategy or increased operational activities.

These trends highlight the dynamic nature of the biotech industry and the varying strategies companies employ to navigate it.