Regeneron Pharmaceuticals, Inc. or Perrigo Company plc: Who Manages SG&A Costs Better?

SG&A Cost Management: Regeneron vs. Perrigo

In the competitive landscape of pharmaceuticals, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Regeneron Pharmaceuticals, Inc. and Perrigo Company plc have demonstrated contrasting approaches to SG&A cost management. From 2014 to 2023, Regeneron's SG&A expenses surged by approximately 420%, peaking at $2.63 billion in 2023. In contrast, Perrigo's expenses grew by about 89%, reaching $1.27 billion in the same year. This stark difference highlights Regeneron's aggressive investment in administrative and sales functions, possibly reflecting its rapid expansion and innovation strategies. Meanwhile, Perrigo's more conservative increase suggests a focus on cost efficiency. As investors and industry analysts evaluate these trends, the question remains: does higher spending translate to better market positioning, or does cost control offer a competitive edge? Understanding these dynamics is key to predicting future performance in the pharmaceutical sector.