Who Optimizes SG&A Costs Better? Broadcom Inc. or Garmin Ltd.

Optimizing SG&A: A Tale of Two Giants

In the competitive landscape of technology and consumer electronics, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Broadcom Inc. and Garmin Ltd. have taken distinct paths in this regard. From 2014 to 2023, Broadcom's SG&A expenses surged by over 290%, peaking in 2024, while Garmin's expenses grew by approximately 94% over the same period. This stark contrast highlights Broadcom's aggressive expansion strategy, reflected in its higher SG&A costs, compared to Garmin's more conservative approach. Notably, Garmin's expenses remained consistently below Broadcom's, suggesting a tighter control over operational costs. However, the absence of data for Garmin in 2024 leaves room for speculation on its future trajectory. As these industry leaders continue to evolve, their strategies in optimizing SG&A will be pivotal in shaping their financial health and market position.