Salesforce, Inc. or ASML Holding N.V.: Who Manages SG&A Costs Better?

Salesforce vs. ASML: A Decade of SG&A Management

In the competitive landscape of global business, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Over the past decade, Salesforce, Inc. and ASML Holding N.V. have demonstrated contrasting approaches to SG&A cost management. From 2014 to 2023, Salesforce's SG&A expenses surged by approximately 480%, reflecting its aggressive growth strategy. In contrast, ASML's expenses increased by about 250%, showcasing a more conservative expansion.

Salesforce's SG&A costs peaked in 2023, reaching nearly 16 billion, while ASML's expenses were just over 1 billion. This stark difference highlights Salesforce's focus on scaling operations and market penetration, whereas ASML maintains a leaner cost structure. The data for 2024 is incomplete, but the trend suggests Salesforce continues to invest heavily in its growth. Understanding these strategies offers valuable insights into how these industry giants navigate financial management.