Operational Costs Compared: SG&A Analysis of The Boeing Company and Northrop Grumman Corporation

A Decade of SG&A: Boeing vs. Northrop Grumman

In the competitive aerospace industry, operational efficiency is key. Over the past decade, The Boeing Company and Northrop Grumman Corporation have demonstrated contrasting trends in their Selling, General, and Administrative (SG&A) expenses. From 2014 to 2023, Boeing's SG&A expenses have consistently outpaced Northrop Grumman's, peaking in 2023 with a 37% increase from 2014. Meanwhile, Northrop Grumman's expenses grew steadily, showing a 67% rise over the same period. This divergence highlights Boeing's aggressive investment in administrative functions, possibly reflecting its expansive global operations. In contrast, Northrop Grumman's more conservative growth in SG&A expenses suggests a focus on streamlined operations. Notably, 2024 data for Northrop Grumman is missing, leaving room for speculation on future trends. As these giants continue to navigate the aerospace landscape, their SG&A strategies will be pivotal in shaping their competitive edge.