SG&A Efficiency Analysis: Comparing Amgen Inc. and Biogen Inc.

SG&A Efficiency: A Tale of Two Biotech Giants

In the competitive landscape of biotechnology, understanding operational efficiency is crucial. Amgen Inc. and Biogen Inc., two industry titans, have shown distinct trends in their Selling, General, and Administrative (SG&A) expenses over the past decade. From 2014 to 2023, Amgen's SG&A expenses have grown by approximately 31%, peaking in 2023. In contrast, Biogen's expenses increased by about 14% over the same period. This divergence highlights Amgen's aggressive investment in administrative capabilities, while Biogen maintains a more conservative approach. Notably, Amgen's expenses surged in 2023, reaching a high of $6.18 billion, compared to Biogen's $2.55 billion. This analysis provides a window into the strategic priorities of these companies, reflecting their differing approaches to scaling operations and managing costs. As the biotech sector evolves, these insights offer valuable lessons in balancing growth with efficiency.