Operational Costs Compared: SG&A Analysis of Paychex, Inc. and L3Harris Technologies, Inc.

A Decade of SG&A: Paychex vs. L3Harris Technologies

In the ever-evolving landscape of corporate finance, understanding operational costs is crucial. Over the past decade, Paychex, Inc. and L3Harris Technologies, Inc. have demonstrated contrasting trends in their Selling, General, and Administrative (SG&A) expenses. From 2014 to 2023, L3Harris saw a dramatic rise, peaking in 2020 with expenses nearly quadrupling from 2014 levels. This surge reflects strategic expansions and acquisitions. Conversely, Paychex maintained a steady growth, with a 90% increase over the same period, indicating consistent operational scaling. Notably, 2023 marked a pivotal year where Paychex's SG&A expenses surpassed L3Harris for the first time, highlighting a shift in financial dynamics. Missing data for L3Harris in 2024 suggests potential reporting delays or strategic changes. This analysis underscores the importance of SG&A management in sustaining competitive advantage.