Company: NEGG
Filing Date: 2025-04-28
Form Type: 20-F
Source: 0001213900-25-036055
Chunk: 80

Company: Newegg Commerce, Inc.
Filing Date: 2025-04-28
Form: 20-F
Item: Item 4A
Chunk 80
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& A expenses”), is salary and other compensation costs, consisting of expenses relating
to the employment of our employees, as well as temporary personnel to meet our needs in areas such as customer service and fulfillment
during seasonal peaks in orders.

Other significant components of SG& A expenses
include advertising and marketing expenses, merchant processing fees, depreciation and amortization, rent expenses, warehouse costs, office
expenses, professional fees, and other general corporate costs.

The following table sets forth the components
of our SG& A expenses, in absolute amounts and as percentages of net sales, for the periods indicated.

                                           For the Year Ended December 31,                                                                          
                                           2024                                                                                                     
                                           (in millions, except for percentages)                                                                    
 ────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Selling, general and                     Amount                                                                                                   
  Salary and other compensation costs      $                                           89.3       48.8      121.8       51.0      134.5       50.5  
  Merchant processing fees                                                             28.0       15.3       35.3       14.8       42.7       16.0  
  Advertising and marketing                                                            14.0        7.7       12.7        5.3       14.7        5.5  
  Depreciation and amortization                                                        10.7        5.8       13.4        5.6       11.0        4.1  
  Others                                                                               41.0       22.4       55.4       23.3       63.3       23.9  
  Total                                    $                                          183.0      100.0      238.6      100.0      266.2      100.0  

Results of Operations

The following table summarizes our consolidated
results of operations in absolute amounts and as percentages of our net sales for the periods indicated. Period-to-period comparisons
of historical results of operations should not be relied upon as indicative of future performance.

                                                                              For the Year Ended December 31,                                                                                                           
                                                                              2024                                                                                                                                      
                                                                              (in millions, except for percentages and net earnings per share)                                                                          
                                                                              Amount                                                                                                                                    
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