Who Optimizes SG&A Costs Better? Lennox International Inc. or ITT Inc.

Optimizing SG&A Costs: A Tale of Two Companies

In the competitive world of corporate finance, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. This analysis compares the SG&A cost optimization strategies of Lennox International Inc. and ITT Inc. over the past decade.

From 2014 to 2023, Lennox International Inc. consistently reported higher SG&A expenses compared to ITT Inc., with a peak in 2023 at approximately 7.1 billion. In contrast, ITT Inc. maintained a more stable SG&A expense profile, peaking in 2014 and 2023 at around 5.2 billion and 4.8 billion, respectively. Notably, ITT Inc. achieved a 33% reduction in SG&A expenses from 2014 to 2020, showcasing effective cost management.

While Lennox International Inc. experienced a 23% increase in SG&A expenses from 2014 to 2023, their strategic investments may indicate a focus on growth. The absence of 2024 data for ITT Inc. suggests a need for further analysis to understand future trends.