Old Dominion Freight Line, Inc. and ITT Inc.: SG&A Spending Patterns Compared

SG&A Spending Patterns: A Tale of Two Companies

In the world of corporate finance, understanding a company's spending patterns can reveal much about its strategic priorities. This analysis compares the Selling, General, and Administrative (SG&A) expenses of Old Dominion Freight Line, Inc. and ITT Inc. over the past decade.

A Decade of Financial Insights

From 2014 to 2023, ITT Inc. consistently allocated a higher percentage of its revenue to SG&A expenses compared to Old Dominion Freight Line, Inc. However, a notable trend emerges: while ITT Inc.'s SG&A expenses decreased by approximately 8% from 2014 to 2020, Old Dominion's increased by nearly 94% during the same period. This shift highlights Old Dominion's aggressive expansion and investment in operational efficiencies.

Strategic Implications

By 2023, Old Dominion's SG&A expenses surged to 54% of ITT's, up from just 28% in 2014. This growth trajectory underscores Old Dominion's commitment to scaling its operations, potentially positioning it for greater market share in the logistics sector.