Breaking Down SG&A Expenses: Cummins Inc. vs Ferguson plc

A Comparative Analysis of SG&A Expenses: Cummins Inc. vs Ferguson plc

In the ever-evolving landscape of global business, understanding the financial dynamics of industry giants is crucial. This analysis delves into the Selling, General, and Administrative (SG&A) expenses of Cummins Inc. and Ferguson plc from 2014 to 2023. Over this decade, Ferguson plc consistently outpaced Cummins Inc. in SG&A expenses, with a notable increase of approximately 1,900% from 2015 to 2023. In contrast, Cummins Inc. saw a more modest rise of around 53% during the same period.

The year 2023 marked a significant peak for both companies, with Ferguson plc reaching nearly $6 billion, while Cummins Inc. approached $3.2 billion. This trend highlights Ferguson's aggressive expansion and operational strategies compared to Cummins' steady growth. However, the data for 2024 is incomplete, leaving room for speculation on future trajectories.