Who Optimizes SG&A Costs Better? Bristol-Myers Squibb Company or Protagonist Therapeutics, Inc.

Optimizing SG&A Costs: A Tale of Two Companies

In the competitive world of pharmaceuticals, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Bristol-Myers Squibb Company (BMS) and Protagonist Therapeutics, Inc. offer a fascinating contrast in their approach to SG&A cost management over the past decade.

From 2014 to 2023, BMS consistently maintained high SG&A expenses, peaking in 2022 with a 37% increase from 2014. This reflects their expansive operations and robust market presence. In contrast, Protagonist Therapeutics, a smaller player, saw a staggering 1,700% rise in SG&A costs, indicative of their aggressive growth strategy and scaling efforts.

While BMS's expenses are significantly higher, their growth rate is more stable, suggesting a mature and controlled expansion. Protagonist's rapid increase, however, highlights their dynamic entry into the market, albeit with higher volatility. This comparison underscores the diverse strategies companies employ to optimize operational costs in the pharmaceutical industry.