Who Optimizes SG&A Costs Better? ADMA Biologics, Inc. or Evotec SE

Optimizing SG&A Costs: A Comparative Analysis

In the competitive landscape of biotechnology and pharmaceuticals, managing Selling, General, and Administrative (SG&A) expenses is crucial for financial health. Over the past decade, ADMA Biologics, Inc. and Evotec SE have demonstrated contrasting strategies in optimizing these costs. From 2014 to 2023, ADMA Biologics, Inc. saw a steady increase in SG&A expenses, growing from approximately $4.8 million to nearly $59 million, marking a twelvefold increase. In contrast, Evotec SE's expenses surged from $18 million to $170 million, a ninefold rise. Despite Evotec SE's higher absolute costs, their growth rate in SG&A expenses is relatively more controlled compared to ADMA Biologics, Inc. This data suggests that while both companies are expanding, Evotec SE might be leveraging economies of scale more effectively. Understanding these trends can provide valuable insights for investors and stakeholders in the biotech sector.