Switch to:
GuruFocus has detected 6 Warning Signs with Pier 1 Imports Inc $PIR.
More than 500,000 people have already joined GuruFocus to track the stocks they follow and exchange investment ideas.
Pier 1 Imports Inc (NYSE:PIR)
Selling, General, & Admin. Expense
$588 Mil (TTM As of Feb. 2017)

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 Feb. 2017 was $148 Mil. Its selling, general, & admin. expense for the trailing twelve months (TTM) ended in Feb. 2017 was $588 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 Feb. 2017 was 142.724 (May. 2016 ) + 135.9 (Aug. 2016 ) + 160.9 (Nov. 2016 ) + 148.443 (Feb. 2017 ) = $588 Mil.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's 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 local exchange's currency.

Pier 1 Imports Inc Annual Data

Feb08Feb09Feb10Feb11Feb12Feb13Feb14Feb15Feb16Feb17
SG&A 488453421432475513551595579588

Pier 1 Imports Inc Quarterly Data

Nov14Feb15May15Aug15Nov15Feb16May16Aug16Nov16Feb17
SG&A 161168144133152150143136161148
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)

GF Chat

FEEDBACK