Who Optimizes SG&A Costs Better? Microsoft Corporation or Analog Devices, Inc.

Optimizing SG&A: A Tale of Two Giants

In the ever-evolving landscape of corporate finance, the ability to optimize Selling, General, and Administrative (SG&A) expenses is a hallmark of operational efficiency. Over the past decade, Microsoft Corporation and Analog Devices, Inc. have showcased contrasting strategies in managing these costs. From 2014 to 2024, Microsoft consistently reported SG&A expenses that were approximately 30 times higher than those of Analog Devices. However, this disparity is not merely a reflection of scale but also of strategic focus.

While Microsoft’s SG&A expenses grew by about 56% over the period, Analog Devices saw a more modest increase of 135%, indicating a more aggressive expansion strategy. The data suggests that while Microsoft leverages its vast resources to maintain a steady growth trajectory, Analog Devices is investing heavily in scaling its operations. This comparison offers a fascinating glimpse into how two industry leaders navigate the complexities of cost management in a competitive market.