What caused Collective Mining's operating expenses to surge in Q4 2024?

Collective Mining's operating expenses surged in Q4 2024 due to several factors:

1. **Increased Investment in A&P**: The company saw an increase in SG&A (Selling, General, and Administrative) expenses, primarily driven by a higher investment in A&P (Advertising and Promotion) activities. This strategic move likely aimed to boost brand awareness and drive sales, although it contributed to the rise in operating expenses.
2. **Higher Distribution Expenses**: Another factor contributing to the increase in SG&A was higher distribution expenses. This was likely a result of transitioning to a new distribution system, which can be costly in the initial stages. Such changes are often necessary to improve efficiency and reach customers more effectively, despite the short-term expense.
3. **Compensation Incentives**: Collective Mining also experienced higher compensation incentives, particularly in Q4, due to the company's performance. This includes bonuses and other rewards for employees who meet or exceed certain targets, which can significantly impact the SG&A expenses. The higher performance in Q4, particularly in generating revenue, likely justified these increased compensation costs.

In summary, Collective Mining's operating expenses surged in Q4 2024 due to increased investment in A&P, higher distribution expenses, and compensation incentives. These factors, while contributing to the rise in expenses, are also indicative of strategic initiatives aimed at boosting performance and positioning the company for future growth.