Selling, General, and Administrative Costs: Novartis AG vs Zoetis Inc.

A Comparative Analysis of SG&A Expenses: Novartis AG vs. Zoetis Inc.

In the ever-evolving pharmaceutical landscape, understanding the financial dynamics of industry giants like Novartis AG and Zoetis Inc. is crucial. Over the past decade, from 2014 to 2023, Novartis AG's Selling, General, and Administrative (SG&A) expenses have shown a slight decline, averaging around $14.5 billion annually. In contrast, Zoetis Inc., a leader in animal health, has seen a steady increase in its SG&A expenses, growing by approximately 61% over the same period.

Key Insights

• Novartis AG: Despite fluctuations, Novartis maintained a relatively stable SG&A expenditure, peaking in 2018.
• Zoetis Inc.: Demonstrated consistent growth, with expenses rising from $1.6 billion in 2014 to over $2.1 billion in 2023.

This financial trajectory highlights Zoetis's aggressive expansion strategy, while Novartis focuses on optimizing its operational costs.