Who Optimizes SG&A Costs Better? Howmet Aerospace Inc. or Global Payments Inc.

Optimizing SG&A Costs: A Tale of Two Companies

In the competitive landscape of corporate finance, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. This analysis compares Howmet Aerospace Inc. and Global Payments Inc. over a decade, from 2014 to 2023, to see who optimizes these costs better.

Global Payments Inc. has seen a significant increase in SG&A expenses, rising by over 200% from 2014 to 2023. This growth reflects their aggressive expansion strategy, but it also raises questions about cost efficiency. In contrast, Howmet Aerospace Inc. has managed to reduce its SG&A expenses by approximately 55% over the same period, showcasing a disciplined approach to cost management.

While Global Payments Inc. focuses on scaling, Howmet Aerospace Inc. emphasizes efficiency. This divergence highlights the strategic choices companies make in balancing growth and cost control, offering valuable insights for investors and industry analysts.