Who Optimizes SG&A Costs Better? Howmet Aerospace Inc. or HEICO Corporation

Optimizing SG&A Costs: A Tale of Two Aerospace Giants

In the competitive world of aerospace, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Howmet Aerospace Inc. and HEICO Corporation have taken different paths in optimizing these costs. From 2014 to 2023, HEICO Corporation has shown a steady increase in SG&A expenses, peaking in 2023 with a 160% rise from 2014. In contrast, Howmet Aerospace Inc. has demonstrated a more volatile pattern, with a significant reduction of 67% in SG&A expenses from 2016 to 2021. This fluctuation highlights Howmet's strategic cost-cutting measures during challenging times. However, the absence of data for Howmet in 2024 leaves room for speculation on their future strategy. As these companies continue to innovate, their ability to manage SG&A costs will remain a key factor in their financial success.