Operational Costs Compared: SG&A Analysis of Novo Nordisk A/S and Perrigo Company plc

A Decade of SG&A: Novo Nordisk vs. Perrigo

In the ever-evolving pharmaceutical landscape, operational efficiency is paramount. Over the past decade, Novo Nordisk A/S and Perrigo Company plc have showcased contrasting trajectories in their Selling, General, and Administrative (SG&A) expenses. Novo Nordisk, a leader in diabetes care, has seen its SG&A expenses surge by over 130% from 2014 to 2023, reflecting its aggressive expansion and marketing strategies. In contrast, Perrigo, known for its over-the-counter health products, has maintained a relatively stable SG&A expenditure, with a modest increase of about 89% over the same period.

This divergence highlights the strategic differences between the two companies. While Novo Nordisk invests heavily in market penetration and brand positioning, Perrigo focuses on cost efficiency and steady growth. As the pharmaceutical industry continues to face challenges, these insights offer a glimpse into how giants navigate operational costs to sustain their market positions.