A Decade of SG&A Costs: Eli Lilly vs. Exelixis

In the ever-evolving pharmaceutical industry, managing operational costs is crucial for sustained growth. Over the past decade, Eli Lilly and Company and Exelixis, Inc. have demonstrated contrasting trends in their Selling, General, and Administrative (SG&A) expenses. Eli Lilly, a stalwart in the industry, has consistently maintained high SG&A costs, averaging around $6.4 billion annually. This reflects their expansive global operations and robust marketing strategies.

Conversely, Exelixis, a smaller biotech firm, has shown a remarkable upward trajectory in SG&A expenses, growing from a modest $50 million in 2014 to over $540 million by 2023. This tenfold increase underscores their aggressive expansion and investment in market presence. As Exelixis scales, their SG&A costs now represent a significant 20% of Eli Lilly's, highlighting their rapid growth. This comparison offers a fascinating glimpse into the strategic financial management of two distinct players in the pharmaceutical sector.