Who Optimizes SG&A Costs Better? Apple Inc. or Lam Research Corporation

Optimizing SG&A: A Tale of Two Giants

In the competitive world of technology, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. This analysis compares Apple Inc. and Lam Research Corporation from 2014 to 2024, revealing intriguing insights into their cost optimization strategies.

Apple Inc., a titan in consumer electronics, has seen its SG&A expenses grow by approximately 117% over the decade, peaking in 2024. Despite this increase, Apple's revenue growth has outpaced its SG&A expenses, showcasing efficient cost management.

Conversely, Lam Research Corporation, a leader in semiconductor manufacturing, has maintained a more stable SG&A expense trajectory, with a modest 42% increase over the same period. This stability reflects Lam's disciplined approach to cost control, crucial in the capital-intensive semiconductor industry.

Both companies demonstrate unique strategies in optimizing SG&A costs, highlighting the diverse approaches within the tech sector.