SG&A Efficiency Analysis: Comparing Allegion plc and American Airlines Group Inc.

SG&A Efficiency: Allegion vs. American Airlines

In the ever-evolving landscape of corporate finance, understanding the efficiency of Selling, General, and Administrative (SG&A) expenses is crucial. Allegion plc and American Airlines Group Inc. offer a fascinating comparison over the past decade. From 2014 to 2023, Allegion's SG&A expenses grew by approximately 64%, reflecting a steady increase in operational costs. In contrast, American Airlines experienced a more volatile trajectory, with a notable dip in 2020, likely due to the pandemic's impact on the travel industry. By 2023, American Airlines' SG&A expenses rebounded to nearly 1.8 times their 2014 levels. This analysis highlights the resilience and adaptability of these companies in managing their operational expenses amidst varying economic conditions. As businesses navigate the complexities of the modern economy, such insights into SG&A efficiency become invaluable for investors and stakeholders alike.