Watsco, Inc. or ITT Inc.: Who Manages SG&A Costs Better?

Who Manages SG&A Costs Better: Watsco, Inc. or ITT Inc.?

In the competitive landscape of industrial giants, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Over the past decade, Watsco, Inc. and ITT Inc. have shown contrasting trends in their SG&A management. From 2014 to 2023, Watsco's SG&A expenses surged by approximately 82%, reflecting its aggressive expansion strategy. In contrast, ITT Inc. managed to reduce its SG&A costs by about 8% during the same period, showcasing its efficiency in cost management.

A Decade of Financial Strategy

Watsco's expenses peaked in 2022, reaching nearly double the amount of ITT's highest recorded expenses in 2014. Meanwhile, ITT's strategic cost-cutting measures have kept its expenses relatively stable, with a notable dip in 2020. This data highlights the different financial strategies employed by these companies, offering valuable insights for investors and industry analysts.