SG&A Efficiency Analysis: Comparing Pfizer Inc. and Summit Therapeutics Inc.

SG&A Efficiency: A Tale of Two Companies

In the world of pharmaceuticals, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Pfizer Inc. and Summit Therapeutics Inc. have showcased contrasting approaches to SG&A efficiency.

Pfizer Inc.: A Steady Giant

From 2014 to 2023, Pfizer's SG&A expenses have remained relatively stable, averaging around $14 billion annually. This consistency reflects Pfizer's robust operational strategies, allowing it to maintain a competitive edge in the global market.

Summit Therapeutics Inc.: A Dynamic Challenger

In contrast, Summit Therapeutics has seen a more dynamic trend, with SG&A expenses growing from approximately $6.8 million in 2014 to $28 million in 2023. This growth, a staggering 312% increase, highlights Summit's aggressive expansion and investment in administrative capabilities.

Both companies illustrate different paths to managing SG&A expenses, offering valuable insights into strategic financial management in the pharmaceutical industry.