Optimizing SG&A Costs: A Tale of Two Companies

In the competitive landscape of corporate America, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Fiserv, Inc. and Zebra Technologies Corporation, two giants in their respective fields, have shown contrasting approaches over the past decade.

Fiserv, Inc.: A Steady Climb

From 2014 to 2023, Fiserv's SG&A expenses surged by over 570%, peaking at approximately $6.6 billion in 2023. This increase reflects their aggressive expansion and investment strategies. However, such a rise also raises questions about efficiency and cost management.

Zebra Technologies: Consistent Control

In contrast, Zebra Technologies maintained a more stable SG&A expense profile, with a modest increase of around 160% over the same period. Their expenses hovered around $980 million in 2022, showcasing a disciplined approach to cost management.

Conclusion

While Fiserv's strategy might indicate growth, Zebra's consistent control over SG&A expenses highlights a more optimized cost structure. The choice between growth and efficiency remains a pivotal decision for businesses today.