Selling, General, and Administrative Costs: Lam Research Corporation vs Workday, Inc.

A Comparative Analysis of SG&A Expenses: Lam Research vs. Workday

In the ever-evolving landscape of corporate finance, understanding the nuances of Selling, General, and Administrative (SG&A) expenses is crucial. This analysis delves into the SG&A trends of two industry giants: Lam Research Corporation and Workday, Inc., from 2014 to 2024.

Key Insights

Lam Research, a leader in semiconductor manufacturing, has maintained a relatively stable SG&A expense pattern over the years. Starting at approximately $613 million in 2014, it saw a modest increase of about 45% by 2024. In contrast, Workday, a cloud-based software provider, experienced a dramatic rise in SG&A expenses, skyrocketing from $263 million in 2014 to nearly $2.8 billion in 2024, marking an increase of over 970%.

Conclusion

This stark contrast highlights the differing growth strategies and operational scales of these companies. While Lam Research focuses on steady growth, Workday's aggressive expansion is evident in its escalating SG&A costs.