Operational Costs Compared: SG&A Analysis of Oracle Corporation and Applied Materials, Inc.

A Decade of SG&A: Oracle vs. Applied Materials

In the ever-evolving tech landscape, operational efficiency is paramount. Over the past decade, Oracle Corporation and Applied Materials, Inc. have showcased distinct strategies in managing their Selling, General, and Administrative (SG&A) expenses. Oracle, a titan in enterprise software, consistently reported SG&A expenses averaging around $9.36 billion annually, peaking at $10.41 billion in 2023. This reflects a steady growth of approximately 21% from 2014. In contrast, Applied Materials, a leader in semiconductor manufacturing, demonstrated a more dynamic trajectory. Starting at $890 million in 2014, their SG&A expenses surged by 102% to $1.80 billion by 2024. This stark contrast highlights Oracle's stable yet high operational costs, while Applied Materials' expenses reflect aggressive expansion and adaptation in a competitive market. As these giants continue to innovate, their financial strategies offer valuable insights into their operational priorities and market positioning.