Who Optimizes SG&A Costs Better? Sanofi or ImmunityBio, 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. Over the past decade, Sanofi and ImmunityBio, Inc. have taken different paths in optimizing these costs. Sanofi, a global leader, consistently maintained high SG&A expenses, averaging around $9.8 billion annually from 2014 to 2023. This reflects their expansive global operations and robust marketing strategies. In contrast, ImmunityBio, Inc., a smaller biotech firm, averaged approximately $90 million in the same period, showcasing a leaner approach. Notably, ImmunityBio's SG&A expenses surged by over 2,900% from 2014 to 2023, indicating rapid growth and increased investment in administrative capabilities. Meanwhile, Sanofi's expenses grew by about 26%, reflecting steady expansion. This comparison highlights the diverse strategies in cost management between established giants and emerging innovators in the pharmaceutical industry.