Merck & Co., Inc. or argenx SE: Who Manages SG&A Costs Better?

SG&A Cost Management: Merck & Co., Inc. vs. argenx SE

In the competitive landscape of pharmaceuticals, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Merck & Co., Inc. and argenx SE have demonstrated contrasting approaches to SG&A cost management.

Merck, a giant in the industry, consistently reported SG&A expenses averaging around $10 billion annually from 2014 to 2023. Despite fluctuations, Merck's expenses remained relatively stable, showcasing their ability to manage costs effectively in a volatile market.

In contrast, argenx SE, a rising star, saw its SG&A expenses grow exponentially, from a modest $4 million in 2014 to over $700 million by 2023. This 16,000% increase reflects argenx's aggressive expansion strategy and investment in growth.

While Merck's steady approach highlights its operational efficiency, argenx's rapid increase underscores its commitment to scaling and innovation.