Who Optimizes SG&A Costs Better? Pentair plc or Clean Harbors, 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. Over the past decade, Clean Harbors, Inc. and Pentair plc have demonstrated contrasting strategies in optimizing these costs. From 2014 to 2023, Clean Harbors, Inc. has shown a steady increase in SG&A expenses, rising by approximately 53% from 2014 to 2023. In contrast, Pentair plc has managed to reduce its SG&A expenses by about 55% over the same period. This divergence highlights Pentair's aggressive cost-cutting measures, which have brought their expenses down from a peak in 2014. Meanwhile, Clean Harbors' gradual increase suggests a different approach, possibly investing in growth and expansion. Understanding these strategies provides valuable insights into how companies can navigate financial management in a dynamic market.