SG&A Efficiency Analysis: Comparing AbbVie Inc. and CRISPR Therapeutics AG

SG&A Efficiency: A Tale of Two Biotech Giants

In the ever-evolving biotech landscape, understanding operational efficiency is crucial. AbbVie Inc. and CRISPR Therapeutics AG, two titans in the industry, showcase contrasting approaches to managing Selling, General, and Administrative (SG&A) expenses. From 2014 to 2023, AbbVie consistently demonstrated a robust SG&A strategy, with expenses peaking at approximately $15.3 billion in 2022, reflecting a 98% increase from 2016. In contrast, CRISPR Therapeutics AG, a pioneer in gene editing, maintained a leaner approach, with expenses reaching around $102 million in 2021, marking a 20-fold increase since 2014. This disparity highlights AbbVie's expansive operational scale compared to CRISPR's focused innovation-driven model. As the biotech sector continues to grow, these insights into SG&A efficiency offer valuable lessons for emerging companies aiming to balance growth with cost management.