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

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

In the competitive landscape of the pharmaceutical industry, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Merck & Co., Inc. and Catalent, Inc. have shown distinct approaches to handling these costs. From 2014 to 2023, Merck's SG&A expenses have consistently been higher, averaging around 10 times more than Catalent's. However, Catalent has demonstrated a significant upward trend, with a 179% increase in SG&A expenses from 2014 to 2024. In contrast, Merck's expenses have shown more stability, with a slight decrease of about 10% over the same period. This data suggests that while Merck maintains a larger scale of operations, Catalent is rapidly expanding its administrative capabilities. The missing data for 2024 for Merck indicates a potential shift or strategic change in their financial reporting.

Conclusion

Understanding these trends can provide valuable insights into each company's strategic priorities and operational efficiencies.