So that’s where he’s focusing. And then the tech world, we are already starting to see it improve. And some of it’s probably lapping softness. But it has been an area that has been soft as you just called out, John. And I think you’re going to see in our refresh coming up here in a month, some new product, much more focused on trend and novelty, and that’s really starting to resonate well with the customer. And they brought in some new product that we haven’t carried before. So, I think when you see the reset coming up here, you’ll be surprised and as Michael always does, we adapt when something’s not doing so well. Thanks John.
Operator: The next question is from Chuck Grom with Gordon Haskett. Please go ahead.
Chuck Grom: Hey, thanks. Congrats, Ken. Just a couple quick ones for me. A year ago you guys guided fiscal 2022 to an E PS range of I think $5.20 to $5.70. You subsequently had a lower a couple times and eventually did the $4.69 that you’re reporting today. So, I guess, I’m curious that history played any role in and how you guys guided 2023? And then more near term, Ken, can you remind us why you’re expecting 75 basis points of margin compression here in the first quarter on a pretty healthy comp?
Kenneth Bull: Yeah. You want to take the first one?
Joel Anderson: Yeah. I mean, look, Chuck, it obviously weighed in. We wanted to keep the range wide. I think on one hand it does feel like 2023 we’re going into the first year where we’re controlling a lot of our destiny and kind of getting back to what Five Below does. I mean, if you think about it, we’ve been stuck at in the last four years at averaging 150 new stores opening. So, it’s a big jump now to 200. It’s kind of signal or it should signal to you all that we can control that side of it. But at the other side of it, it’s not lost on us. There’s still macro uncertainty out there and we wanted to be prudent enough to really widen that lower end. But I think in all cases what we — the message we are trying to get to all of you is, we have the negative comps behind us, and now it’s back to growth, growth both in terms of new stores and growth in terms of the existing stores.
And that’ll come via the conversions. It’ll come through our merchants and what they do. And then the third one area will be our marketing continues to get better. Then Ken?
Kenneth Bull: Yes, and then Chuck, on deleverage and the operating margin for the first quarter, it’s about 70 basis points. It’s primarily driven by increased marketing. If you recall, we really had dialed that back really throughout 2021 and even into the beginning of 2022. We really didn’t see those increases until the back half of last year. So, we’re up against that, but that’s the key driver of that deleverage in Q1.
Joel Anderson: All right. Thanks.
Operator: The next question is from Scot Ciccarelli with Truist. Please go ahead.
Scot Ciccarelli: Hey, guys. Scott Ciccarelli. I guess I have a follow-up question on ticket versus transactions. Can you help square for us the rollout of Five Beyond where you’re obviously selling higher ticket items versus the decline in average ticket you experienced in four Q? Is that some sort of signal that maybe Five Beyond is not generating the traction, I guess I would’ve expected at this point?
Joel Anderson: No. I’m not sure I would expect that at all. We continue to see ticket increase, what about $0.10 a year or so?
Kenneth Bull: Yeah. On an overall basis. Yeah. Yeah.
Joel Anderson: Yeah. But — you go ahead.
