Operational Costs Compared: SG&A Analysis of Merck & Co., Inc. and Soleno Therapeutics, Inc.

A Tale of Two Companies: SG&A Expenses in Focus

In the world of pharmaceuticals and biotechnology, operational efficiency is key. Over the past decade, Merck & Co., Inc. and Soleno Therapeutics, Inc. have showcased contrasting approaches to managing Selling, General, and Administrative (SG&A) expenses. Merck, a pharmaceutical giant, consistently reported SG&A expenses averaging around $10 billion annually, with a peak in 2014. This reflects its expansive global operations and robust marketing strategies. In contrast, Soleno Therapeutics, a smaller biotech firm, maintained a leaner structure with SG&A expenses averaging just over $8 million, peaking in 2023. This stark difference highlights the diverse operational scales and strategic priorities of these companies. As Merck focuses on broad market penetration, Soleno emphasizes targeted innovation. Understanding these dynamics offers valuable insights into the financial strategies that drive success in the healthcare sector.