Who Optimizes SG&A Costs Better? Pfizer Inc. or Pharming Group N.V.

Optimizing SG&A Costs: A Tale of Two Pharmaceutical Giants

In the competitive world of pharmaceuticals, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. From 2014 to 2023, Pfizer Inc. and Pharming Group N.V. have shown contrasting strategies in optimizing these costs. Pfizer, a global leader, consistently maintained SG&A expenses around $14 billion annually, with a notable dip to $11.6 billion in 2020, likely due to pandemic-related adjustments. In contrast, Pharming Group N.V., a smaller player, exhibited a significant increase in SG&A expenses, rising from $4 million in 2014 to $132 million in 2022, reflecting a growth strategy. Despite the disparity in scale, both companies demonstrate unique approaches to cost management, with Pfizer focusing on stability and Pharming on expansion. This analysis highlights the diverse strategies within the pharmaceutical industry, offering insights into how companies navigate financial challenges to maintain competitive edges.