SG&A Efficiency: A Tale of Two Giants

In the ever-evolving landscape of corporate finance, understanding the efficiency of Selling, General, and Administrative (SG&A) expenses is crucial. Over the past decade, Salesforce, Inc. and Fiserv, Inc. have demonstrated contrasting trajectories in their SG&A expenditures. From 2014 to 2023, Salesforce's SG&A expenses surged by approximately 480%, reflecting its aggressive growth strategy. In contrast, Fiserv's expenses increased by about 575%, indicating a more conservative yet steady expansion.

A Decade of Change

Salesforce's SG&A expenses peaked in 2023, reaching nearly $16 billion, while Fiserv's expenses were around $6.6 billion. This disparity highlights Salesforce's commitment to scaling its operations rapidly. However, the data for 2024 shows a missing value for Fiserv, suggesting potential reporting delays or strategic shifts. As these industry leaders continue to evolve, monitoring their SG&A efficiency will provide valuable insights into their operational strategies and market positioning.