U.S. Markets closed

Why Rising Operating Expenses Are a Concern for Splunk

Aaron Hemsworth
Why Rising Operating Expenses Are a Concern for Splunk

Splunk’s (SPLK) operating expenses have grown continuously over the last five years, mainly driven by the higher research and development expenses and selling and marketing costs. To boost its presence in US and international markets, the company expects to maintain high sales and marketing expenses. The chart above shows how Splunk’s operating costs have risen over the last five years, growing at a compound annual rate of 41%.