SAP SE or Monolithic Power Systems, Inc.: Who Manages SG&A Costs Better?

Managing SG&A Costs: A Tale of Two Companies

In the competitive landscape of global business, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. SAP SE, a German multinational software corporation, and Monolithic Power Systems, Inc., a leading semiconductor company, offer a fascinating study in contrasts. Over the past decade, SAP SE's SG&A expenses have consistently been around 30 times higher than those of Monolithic Power Systems. However, Monolithic Power Systems has shown a remarkable growth trajectory, with its SG&A costs increasing by over 300% from 2014 to 2023. In contrast, SAP SE's expenses grew by approximately 88% during the same period. This data highlights the different scales and growth strategies of these companies. While SAP SE operates on a larger scale, Monolithic Power Systems is rapidly expanding, reflecting its dynamic approach in the tech industry.