SG&A Efficiency Analysis: Comparing Global Payments Inc. and XPO Logistics, Inc.

SG&A Efficiency: A Tale of Two Companies

In the ever-evolving landscape of corporate finance, understanding a company's efficiency in managing its Selling, General, and Administrative (SG&A) expenses is crucial. Over the past decade, Global Payments Inc. and XPO Logistics, Inc. have showcased contrasting trajectories in their SG&A expenditures.

Global Payments Inc.: A Steady Climb

From 2014 to 2023, Global Payments Inc. has seen a consistent rise in its SG&A expenses, peaking at approximately $4.1 billion in 2023. This represents a staggering 215% increase from its 2014 figures, reflecting the company's aggressive expansion and investment strategies.

XPO Logistics, Inc.: A Rollercoaster Ride

Conversely, XPO Logistics, Inc. experienced a peak in 2020, with SG&A expenses reaching around $2.2 billion. However, by 2023, these expenses plummeted by over 90%, indicating a strategic shift towards cost optimization.

This analysis underscores the diverse strategies companies employ in managing operational costs, offering valuable insights for investors and stakeholders.