SG&A Efficiency Analysis: Comparing Exelixis, Inc. and Viking Therapeutics, Inc.

SG&A Efficiency: A Tale of Two Biotechs

In the competitive world of biotechnology, managing operational expenses is crucial for sustained growth. This analysis compares the Selling, General, and Administrative (SG&A) expenses of Exelixis, Inc. and Viking Therapeutics, Inc. from 2014 to 2023. Over this period, Exelixis has seen a staggering 967% increase in SG&A expenses, reflecting its aggressive expansion and investment in operational capabilities. In contrast, Viking Therapeutics, while also experiencing growth, has maintained a more conservative increase of approximately 2,873%, albeit from a much smaller base. By 2023, Exelixis's SG&A expenses were nearly 15 times higher than those of Viking Therapeutics, highlighting differing strategic approaches. This divergence underscores the importance of balancing growth with cost efficiency in the biotech sector. As these companies continue to evolve, their SG&A strategies will be pivotal in determining their competitive edge.