RTX Corporation or Stanley Black & Decker, Inc.: Who Manages SG&A Costs Better?

Managing SG&A Costs: A Tale of Two Giants

In the competitive landscape of industrial manufacturing, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. RTX Corporation and Stanley Black & Decker, Inc. have been at the forefront of this challenge since 2014. Over the past decade, RTX Corporation has consistently managed higher SG&A expenses, peaking in 2019 with a 40% increase from 2014. However, they achieved a significant reduction by 2023, bringing expenses down by 37% from their 2019 high. In contrast, Stanley Black & Decker, Inc. maintained a more stable SG&A cost structure, with a modest 30% increase over the same period. Notably, 2023 saw a dip in their expenses, reflecting a strategic shift. This analysis highlights the dynamic strategies employed by these industry leaders in managing operational costs, offering valuable insights into their financial stewardship.