R&D spending for growth 

A five-year analysis of R&D spending across a group of high-growth public biotechs found that they are spending an average of 73% of operating expenses on research and development before launching a product, dropping to 42% after marketing. 

A common complaint among investors is the bloated spend on G&A relative to R&D, in particular during the market downturn. Using a group of 17 public biotechs identified for Back to School 2023 that either jumped a tier in market cap or grew it by more than 200%, BioCentury analyzed the average spend across these companies by phase of development and pipeline strategy (see “Formulas for success from biotechs that leaped in value despite the downturn”)...