These unfavorable impacts to gross margin were partially offset by expense leverage of approximately 25 basis points in our logistics operations. SG&A expenses were 22.8% in fiscal 2023 compared with 22.6% of net sales in fiscal ’22. This approximate 20 basis point increase is primarily the result of deleverage in wages and employee benefits. Depreciation and amortization in fiscal ’23 increased approximately $8.1 million in comparison to the last year, reflecting our ongoing commitments to invest in organic growth opportunities and infrastructure improvement projects. We generated $168.4 million of operating income or 9.9% of net sales in fiscal ’23 compared to $228.2 million or 13.5% of net sales in fiscal ’22. Diluted earnings per share were $9.62 for fiscal €˜23 compared to $11.19 per share in fiscal ’22.
We did not have any non-GAAP items in either fiscal year. Now, a few comments on the balance sheet and cash flow. We ended the fourth quarter of fiscal ’23 with $16 million of available cash and cash equivalents on our unaudited condensed consolidated balance sheet and $36.3 million of debt outstanding. Effective February 28, 2023, we replaced our former $125 million unsecured credit facility with a new $160 million unsecured credit facility. This new credit facility increases our financial strength and provides us with greater operational flexibility. Net inventory at the end of fiscal €˜23 was $420.8 million, a 90.2% increase from the end of fiscal ’22. Much of this dollar increase has been driven by product cost increases, and unit volumes have grown at a much slower pace.
We also had a higher transferrable balance at year end compared to previous periods due to timing of inventory receipts throughout the fourth quarter. Capital expenditures during the fourth quarter were $15.4 million bringing the full year total to $62.8 million. Capital spend consists primarily of store development, technology and infrastructure projects. For the year our store count increased by a net of 37 units, comprised to 43 new locations and six closures. Our total store count stands at 1,133 as of the end of fiscal ’23. During the fourth quarter we did not repurchase shares as we focused our cash flow on investments and inventory and capital expenditures. On a full year basis, we bought back approximately 797,000 shares under our share repurchase plan at a total cost of $38.5 million.
We paid a recurring quarterly dividend during the fourth quarter in the amount of $0.25 per eligible common share for a total outflow of $3.2 million. For fiscal ’23 dividend payments amounted to $12.9 million. I’ll now turn the call over Bill Quinn to discuss our customer.
Bill Quinn: Thank you, Bob. Despite pervasive inflationary impacts, our customers continue to increase their shopping with us during the fourth quarter. Loyalty sales increased double digits, driven by double digit increases in shoppers and average unit retail. We see both increased customers and higher AUR as structural in nature, keeping our business rebaseline, well above FY’20. In Q4 we continue to see increased sales from new shoppers and most notably, large growth from our existing customers. We had more existing customer shop and who spent more per visit and they increased their visits. We believe these results were driven by our continued investments in the customer experience. Regarding this upcoming year, our consumer research indicates that our customers, like most U.S. consumers are concerned about various financial aspects of life, most notably food and utility cost.
