Who Optimizes SG&A Costs Better? Jacobs Engineering Group Inc. or XPO Logistics, Inc.

Optimizing SG&A Costs: A Tale of Two Giants

In the competitive world of logistics and engineering, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Over the past decade, Jacobs Engineering Group Inc. and XPO Logistics, Inc. have showcased contrasting strategies in optimizing these costs. From 2014 to 2023, Jacobs Engineering consistently maintained higher SG&A expenses, peaking at approximately $2.4 billion in 2022. In contrast, XPO Logistics saw a significant reduction, dropping from $2.17 billion in 2020 to just $167 million in 2023, a staggering 92% decrease. This dramatic shift highlights XPO's aggressive cost-cutting measures, possibly reflecting strategic restructuring or divestitures. Meanwhile, Jacobs Engineering's steady increase suggests a focus on expansion or investment in administrative capabilities. As we look to 2024, the absence of data for XPO Logistics leaves us pondering their next move in this financial chess game.