Operational Costs Compared: SG&A Analysis of Eli Lilly and Company and Galapagos NV

A Decade of SG&A: Eli Lilly vs. Galapagos NV

In the ever-evolving pharmaceutical industry, operational efficiency is key. Over the past decade, Eli Lilly and Company and Galapagos NV have showcased contrasting strategies in managing their Selling, General, and Administrative (SG&A) expenses. Eli Lilly, a stalwart in the industry, consistently reported SG&A expenses averaging around $6.4 billion annually. In contrast, Galapagos NV, a rising biotech firm, maintained a much leaner profile with expenses averaging approximately $85 million per year.

Key Insights

From 2014 to 2023, Eli Lilly's SG&A expenses peaked in 2023, marking a 16% increase from its lowest point in 2018. Meanwhile, Galapagos NV saw a significant rise in 2022, with expenses reaching nearly $240 million, a stark contrast to its 2014 figures. This divergence highlights the differing scales and operational strategies of these two companies, offering a fascinating glimpse into their financial management over the years.