Operational Costs Compared: SG&A Analysis of Caterpillar Inc. and Deere & Company

A Decade of Operational Costs: SG&A Analysis of Industry Giants

In the competitive landscape of heavy machinery, operational efficiency is paramount. Over the past decade, Caterpillar Inc. and Deere & Company have showcased distinct strategies in managing their Selling, General, and Administrative (SG&A) expenses. From 2014 to 2023, Caterpillar's SG&A expenses fluctuated, peaking in 2023 with a 36% increase from its 2016 low. Meanwhile, Deere & Company maintained a steadier trajectory, with a notable 63% rise from 2016 to 2024, despite missing data for Caterpillar in 2024. This analysis highlights Caterpillar's aggressive cost management in the mid-2010s, contrasted with Deere's consistent growth strategy. As these industry titans navigate economic shifts, their SG&A trends offer insights into their operational priorities and market adaptability.