Cost of Revenue Comparison: Automatic Data Processing, Inc. vs ZTO Express (Cayman) Inc.

Cost of Revenue: A Tale of Two Giants

In the ever-evolving landscape of global business, understanding cost structures is crucial. Automatic Data Processing, Inc. (ADP) and ZTO Express (Cayman) Inc. offer a fascinating comparison. Over the past decade, ADP's cost of revenue has shown a steady increase, rising from approximately $7.2 billion in 2014 to an estimated $10.5 billion in 2024. This represents a growth of nearly 45%, reflecting ADP's expanding operations and market reach.

Conversely, ZTO Express has experienced a more dramatic surge. From a modest $2.8 billion in 2014, its cost of revenue skyrocketed to $26.8 billion by 2023, marking an astonishing increase of over 850%. This growth underscores ZTO's aggressive expansion in the logistics sector, particularly in Asia. However, data for 2024 is missing, leaving room for speculation on future trends.

This comparison highlights the diverse strategies and market dynamics influencing these industry leaders.