Switch to:
Pier 1 Imports Inc (NYSE:PIR)
Selling, General, & Admin. Expense
$537 Mil (TTM As of May. 2014)

Selling, general, & admin. expense (SGA) includes the direct and indirect costs and all general and administrative expenses of a company. Pier 1 Imports Inc's selling, general, & admin. expense for the three months ended in May. 2014 was $131 Mil. Its selling, general, & admin. expense for the trailing twelve months (TTM) ended in May. 2014 was $537 Mil.


Definition

Selling, General, & Admin. Expense (SGA) includes the direct and indirect costs and all general and administrative expenses of a company. For instance, personnel cost, advertising, rent, communication costs are all part of SGA.

Pier 1 Imports Inc Selling, General, & Admin. Expense for the trailing twelve months (TTM) ended in May. 2014 was 122.609 (Aug. 2013 ) + 149.217 (Nov. 2013 ) + 133.894 (Feb. 2014 ) + 131.466 (May. 2014 ) = $537 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.


Explanation

An efficient operation keeps SGA costs low and thus has higher profit margin. The percentage of SGA relative to total revenue is an indication of how efficiently the company operates. Compare this percentage among the companies in the same industry is a good way of finding more efficient operations. A comparison of the SGA cost relative to the revenue with the historical value can also be an indication of how efficient the company has become.

Warren Buffett likes companies with consistent SGA as the percentage of gross profit.

Companies with no durable competitive advantage show wild variation in SG&A as % of Gross Profit.

If SGA is less than 30% of Gross Profit, it is fantastic. If SGA is nearing 100%, it is is in highly competitive industry.


Related Terms

Gross Profit, Cost of Goods Sold


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their own currency.

Pier 1 Imports Inc Annual Data

Feb05Feb06Feb07Feb08Feb09Feb10Feb11Feb12Feb13Feb14
SG&A 550588649488453421432475513531

Pier 1 Imports Inc Quarterly Data

Feb12May12Aug12Nov12Feb13May13Aug13Nov13Feb14May14
SG&A 133116112139145125123149134131
Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)
Free 7-day Trial
FEEDBACK
Email Hide