Southwest Airlines Co. or Saia, Inc.: Who Manages SG&A Costs Better?

Who Manages SG&A Costs Better: Southwest Airlines Co. or Saia, Inc.?

In the competitive landscape of the airline and logistics industries, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Over the past decade, Southwest Airlines Co. and Saia, Inc. have demonstrated contrasting approaches to SG&A management. From 2014 to 2023, Southwest Airlines consistently reported higher SG&A expenses, peaking at nearly $4 billion in 2023. In contrast, Saia, Inc. maintained a more conservative approach, with expenses reaching approximately $68 million in the same year. This disparity highlights Southwest's expansive operational scale compared to Saia's more focused logistics operations. Notably, Saia's SG&A expenses grew by about 80% over the decade, while Southwest's increased by nearly 93%. These figures underscore the strategic differences in cost management between the two companies, offering valuable insights for investors and industry analysts alike.