Shopify Inc. or VMware, Inc.: Who Manages SG&A Costs Better?

Shopify vs. VMware: A Decade of SG&A Management

In the ever-evolving tech landscape, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Shopify Inc. and VMware, Inc. have demonstrated contrasting approaches to SG&A management. From 2014 to 2023, Shopify's SG&A expenses surged by over 2,800%, reflecting its rapid growth and expansion strategy. In contrast, VMware's expenses grew by approximately 147%, indicating a more stable and controlled approach.

Shopify's expenses peaked in 2022, reaching nearly 1.94 billion, before slightly declining in 2023. Meanwhile, VMware consistently increased its SG&A costs, culminating in 2023 with expenses of 5.52 billion. This comparison highlights Shopify's aggressive growth strategy versus VMware's steady expansion. As investors and analysts evaluate these companies, understanding their SG&A management provides valuable insights into their operational strategies and financial health.