Who Optimizes SG&A Costs Better? Parker-Hannifin Corporation or United Rentals, Inc.

Optimizing SG&A Costs: A Tale of Two Giants

In the competitive landscape of industrial and rental services, Parker-Hannifin Corporation and United Rentals, Inc. stand out as leaders. Over the past decade, these companies have demonstrated distinct strategies in managing Selling, General, and Administrative (SG&A) expenses. From 2014 to 2024, Parker-Hannifin's SG&A expenses have seen a significant increase, peaking in 2023 with a 105% rise compared to 2014. In contrast, United Rentals has maintained a more consistent trajectory, with a 117% increase over the same period.

Parker-Hannifin's expenses surged notably in 2023, suggesting strategic investments or operational shifts. Meanwhile, United Rentals' steady growth reflects a balanced approach to cost management. This comparison highlights the diverse strategies employed by industry leaders to optimize operational efficiency. As businesses navigate economic fluctuations, understanding these trends offers valuable insights into effective cost management strategies.