Optimizing SG&A Costs: A Comparative Analysis

In the competitive landscape of industrial giants, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Over the past decade, Deere & Company and Rockwell Automation, Inc. have demonstrated distinct strategies in optimizing these costs.

A Decade of Financial Strategy

From 2014 to 2024, Deere & Company has seen a 37% increase in SG&A expenses, peaking in 2024. In contrast, Rockwell Automation, Inc. experienced a 28% rise, with a notable spike in 2023. Despite Deere's higher absolute expenses, their growth rate is more controlled compared to Rockwell's recent surge.

Strategic Insights

Deere's consistent expense management reflects a strategic focus on operational efficiency, while Rockwell's recent increase suggests potential investments in growth initiatives. Understanding these trends provides valuable insights into each company's financial health and strategic priorities.