RE:RE:RE:A Statistical Outlook for Q1 of 2023 Nozz, it's right in the year end md&a.
Selling, Distribution and Administrative Expenses
Total selling, distribution and administrative expenses of $400.4 million for fiscal 2023 increased by $101.7 million, or 34.0%, as compared to fiscal 2022 primarily attributable to the following:
• increased store operating costs due primarily to an increase in store personnel wages, higher digital media advertising spend, higher credit card fees due to the improved sales performance and higher rent expenditures as a result of lease arrangements tied to percentage of sales performance and preferential rent arrangements put in place while under CCAA protection being renewed at current market lease rates;
• a $21.5 million decrease in total combined financial support from Federal subsidy programs which has been recognized as a reduction of selling, distribution and administrative expenses;
• a $10.8 million decrease in restructuring costs recoveries as $1.4 million recovery was realized during fiscal 2023 as compared to a recovery of $12.2 million realized during fiscal 2022 (see Note 16 of the audited consolidated financial statements for fiscal 2023);
• a $19.9 million increase in performance incentive plan expense, which plan expense is based upon the attainment of operating performance targets;
• higher overall freight costs due primarily to higher parcel courier rates during fiscal 2023 and a $1.9 million non-recurring volume rebate received during fiscal 2022;
• higher consulting fees primarily related to the various Company marketing and human resources initiatives;
• higher head office and distribution centre personnel wages primarily as a result of merit increases awarded;
partially offset by,
• a $4.7 million decrease in depreciation, amortization and net impairment losses due primarily to the Company’s controlled spending in property and equipment and intangible assets and the timing of renegotiated leases accounted for as right-of-use assets.