Who Optimizes SG&A Costs Better? Old Dominion Freight Line, Inc. or CNH Industrial N.V.

Optimizing SG&A Costs: A Tale of Two Giants

In the competitive world of logistics and industrial manufacturing, managing Selling, General, and Administrative (SG&A) expenses is crucial for profitability. Old Dominion Freight Line, Inc. and CNH Industrial N.V. have been at the forefront of this financial balancing act since 2014. Over the past decade, Old Dominion has demonstrated a remarkable ability to control its SG&A costs, maintaining an average of just 9% of CNH's expenses. This efficiency is evident as Old Dominion's SG&A expenses grew by approximately 94% from 2014 to 2023, while CNH Industrial saw a 36% decrease in the same period. The data reveals a strategic focus on cost optimization by both companies, albeit with different trajectories. As the industry evolves, these insights provide a window into the financial strategies that drive success in logistics and manufacturing.