SG&A Efficiency Analysis: Comparing Novartis AG and Viatris Inc.

SG&A Efficiency: A Tale of Two Giants

In the ever-evolving pharmaceutical landscape, understanding the efficiency of Selling, General, and Administrative (SG&A) expenses is crucial. Over the past decade, Novartis AG and Viatris Inc. have showcased contrasting trends in their SG&A expenditures.

Novartis AG: A Steady Decline

From 2014 to 2023, Novartis AG's SG&A expenses have seen a gradual decline, dropping from approximately $14.99 billion to $12.49 billion. This represents a reduction of around 17%, highlighting the company's strategic focus on cost efficiency and streamlined operations.

Viatris Inc.: A Rising Trend

Conversely, Viatris Inc. has experienced a significant increase in SG&A expenses, rising from $1.50 billion in 2014 to $4.65 billion in 2023. This nearly 210% surge reflects the company's aggressive expansion and investment in market presence.

Conclusion

These trends underscore the diverse strategies employed by these pharmaceutical giants, offering valuable insights into their operational priorities and market strategies.