Who Optimizes SG&A Costs Better? Parker-Hannifin Corporation or Pentair plc

Optimizing SG&A Costs: A Tale of Two Giants

In the competitive landscape of industrial manufacturing, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. Parker-Hannifin Corporation and Pentair plc, two industry titans, have shown contrasting approaches over the past decade. From 2014 to 2023, Parker-Hannifin's SG&A expenses fluctuated, peaking at over $3.3 billion in 2023, a staggering 105% increase from 2014. In contrast, Pentair plc demonstrated a more consistent reduction, with expenses dropping by approximately 55% from 2014 to 2022. This divergence highlights Parker-Hannifin's aggressive expansion strategy, while Pentair's focus on cost efficiency and lean operations is evident. Notably, Pentair's data for 2024 is missing, suggesting a potential shift or restructuring. As these companies navigate economic challenges, their SG&A strategies will be pivotal in defining their market positions.