SG&A Efficiency Analysis: Comparing Johnson & Johnson and Perrigo Company plc

SG&A Efficiency: A Tale of Two Giants

In the competitive landscape of the healthcare industry, understanding the efficiency of Selling, General, and Administrative (SG&A) expenses is crucial. Over the past decade, Johnson & Johnson and Perrigo Company plc have showcased contrasting trends in their SG&A expenditures.

Johnson & Johnson: A Steady Giant

From 2014 to 2023, Johnson & Johnson's SG&A expenses have shown a slight decline, with a peak in 2018. Despite a 13% drop from 2018 to 2022, the company maintains a robust financial structure, reflecting its strategic cost management.

Perrigo Company plc: A Rising Contender

Conversely, Perrigo has experienced a 47% increase in SG&A expenses over the same period, indicating aggressive expansion and investment in growth. This rise, particularly notable from 2014 to 2023, highlights Perrigo's commitment to scaling its operations.

These insights reveal the distinct strategies of these industry leaders, offering a glimpse into their operational priorities.