Who Optimizes SG&A Costs Better? Grifols, S.A. or Novavax, Inc.

Optimizing SG&A Costs: A Tale of Two Companies

In the competitive landscape of the pharmaceutical industry, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Grifols, S.A. and Novavax, Inc. have taken distinct paths in this regard over the past decade. From 2014 to 2023, Grifols consistently maintained higher SG&A expenses, peaking at approximately 1.25 billion in 2023. This reflects a steady increase of around 90% from 2014. In contrast, Novavax's SG&A expenses surged dramatically, especially post-2020, reaching nearly 470 million in 2023, a staggering 23-fold increase from 2014.

While Grifols' approach suggests a stable, incremental investment in administrative functions, Novavax's sharp rise indicates a strategic pivot, possibly linked to its COVID-19 vaccine development. Understanding these trends offers valuable insights into how these companies navigate financial strategies in a dynamic market.