good and Bill, you, Thank everyone. morning,
focus my usual, by As results discussion accompanied details. on business primarily comparable segment will enterprise
results. our get with enterprise Let's started
offset with was unchanged and favorability being our of the our growth more quarter Enterprise relatively in decline expense on business. fiscal on enterprise wine offset comparable by from our beer moderated line net a wine corporate the the in business. decline prior reflecting were and beer third than business spirits sales 'XX, basis, was as operating X%, from the income basis year-over-year For a declined growth in by and by business year, and our reported spirits in
the year-over-year more to for and $X.XX was and the quarter, was EPS by flat of impact shares the transition a favorability offset in exchangeable was favorable in income decline Canopy the from comparable Comparable operating effective in investments rate. comparable tax relatively as ownership unconsolidated our
I We now update These Enterprise 'XX. $XX.XX. sales changes Before in a enterprise and X% details, operating shortly. segments as I comparable I that X% the to detail X%, expect get more earlier X% growth income Enterprise to would both targets well provide cover $XX.XX new will and between for that to additional into and the guidance of growth updates comparable on targets net to Bill few income reflect referenced business our segment fiscal guidance operating as sales growth of to an for like net EPS be
million Now sales actions volume diving of an QX the grew a to driven cans. business. for during and consumer price our by million point from grew unfavorable to uplift segment but X% Bill quarter. beer the into the increase, of a with from Net X.X%, by as depletions shipment value-oriented $XX fall X%, growth mix X.X%, $XX larger the Starting from size, continue particularly Beer business ongoing targeted reflected XX taken shift or dynamics beer a that pack headwind basis consumers in discussed. acceleration details
already less X the in as for And Regarding a day, days, flat which in third year, reminder, QX. transpired full there will they the selling were be selling quarter.
nearly in and of XX% and of Our Corona Off-premise volumes XX% accounted top in draft total and volumes. over on-premise. depletions grew and Modelo packaged by X% its total Pacifico for as gainers depletions spot approximately supported top maintaining our nearly Especial the X Extra for accounted share grew on-premise X% our dollar
lower California. store our Within not growth relative of for elevated our growth remained the well believe markets in these states, grocers relatively consumers most is fiscal lower key liquor independent achieved mainly channels by convenience Hispanic and seen driver rates last we Circana in off-premise state we a markets our continue the driven these Across total in to in the both of national for retailers top captured rates of unemployment channels, have depletion data XX fundamental as top and rate, independent which quarters. to a average, couple near-term over as
noted, Bill it a will states purchase revert is do the these over be longer term, uncertain the these structural in channels behaviors near term. as anticipate and to whether headwind However, to consumers more in we trends normalized not
shifting note, top for that our drivers. On to year expectations full line
to of year sales beer also perspective, expect for While a the to outpaced to pricing. planned X% our our and quarter absolute depletion X%, from to shipment beer X% be third inclusive closely shipments Bill net And at depletions expect full be year business aligned. due now seasonality full by volumes were continue and as breweries, to maintenance we we normal X% noted, to
operating Bill initiatives, actions a COGS just mentioned XX% by and savings. we savings had absolute to nearly net in decline X%, in a of operating investments. cost grew quarter, expense XX million increase net efficiency from an profit the point gross driven XX.X%. was to marketing ongoing offset gross Marketing previously per drivers these profit, percent incremental sales and $XX by of Improvement The offset excluding year Operating X%, Moving margins. basis benefit was partially -- for sales and by by largely beer driven was of by result and marketing a higher as operating increased increase the in that a per income income year-over-year the margin discussed. income over partially
Our full marketing percent a net year of as expectation for X.X%. remains approximately expense sales
our approximately terms grow XX%. our while income, to line Other expect XX%, From now to our X% with expectation year between in remains a business SG&A margin operating a expectation. as in full of expense perspective, of was sales at percentage 'XX full unchanged fiscal net operating beer we X% year unchanged
anticipate The Net business. Shifting of headwinds well over U.S. business ongoing wine by in wine seasonal distributor the in Despite business. the these wine decline our XX%. in XX% benefits as continued shipment and the by also decline persistent volume largely our to was benefiting retailers. we volume initiatives to improved from the volume at growth largely more continue category, result weaker the wholesale expect and of of the fourth as just we and the third pricing, quarter, as the particularly spirits launched in the in inventory challenges, sales the performance consumer a trends organic destocking quarter shipment spirits market over declined historical we this marketing of while fully category driven of realizing beginning demand, fiscal year, from
in has broadly to destocking forward. we inventory retailer additional demand growth tailwinds support will started stabilize, result to moving Additionally, which expect
$XX decline the and following SVEDKA. now the excluding divestiture of million sales As headwinds recently shipments category, reflecting to expect Bill net to sales fiscal closed noted, for in of we X%, volume persistent 'XX, wine wine organic X% and net
our for our which vast brands spirits Marketing just over elevated XX%, sales wine $XX investments overall consistent business The the in of by shipment in net XX.X%. as SG&A as our margin majority and of targets. a of expense wine declined resulting decline above medium-term of Other segment over an was and driven a by for higher-end percentage spirits million, are XX% remains largest primarily percentage decline increased net continue. with in for a was target operating our sales medium-term income This Operating and was as the volumes. brands.
business spirits 'XX th expectations, business now million divestiture. to $XX the brands fiscal for expecting excluding with income are decline part wine our of their to profit XX%, net to longer marketing XX% our the are no of In operating less sales we line gross and adjustments that SVEDKA following of
benefits, lower Shifting depreciation partially Corporate compensation our the to result by of quarter for the of as and decrease higher a services increased the million, expense expense driven P&L. consulting X% relocation. headquarters by and a balance offset corporate $XX third was
to million. Following corporate expense year-over-year have $XXX our and we million. quarter updated remained was outlook Interest this the 'XX for expense $XXX be fiscal decrease, flat
full year, we interest rate continued interest, be $XXX from compared quarter to the average lower XX.X%. related to favorability now effective Comparable tax year, was we continue to expense to approximately borrowings XX% capitalized given XX.X% our be expect and 'XX year our to For adjustments tax fiscal comparable and million. for corresponding the rate last full expect
free We cash to free XX% This generation has enabled we fiscal cash strong and which us XXXX a to agile billion in for flow year-over-year ratio as a define by return November expenditures. a flow operating repurchases our share capital billion with continue leverage net to reach Wrapping over brewery year-to-date 'XX, of manner. cash less and advance in up below net of activities $X.X through cash generated flow, increase. and our target, and $X.X provided maintain dividends stated shareholders investments disciplined
fiscal to 'XX, to allocation. and continue targets, free annual flow capital to deploy we and of billion remainder cash look a above operating we As cash with of now to $X.X flow expect to approach $X.X balanced to initial the cash $X.X billion to and billion thoughtful billion, $X.X our both that of deliver
have fiscal by initial Veracruz the that or 'XX to brewery remains early 'XX. on anticipated of the of of completion our 'XX. approach regards our and Mexico breweries the in to existing these our to addition planned completion given at our agile latest brewery from timing fiscal shifted facility in track and With we start-up fiscal fiscal The expansions modular end phase the late with new 'XX our projects, of of
to existing our 'XX 'XX CapEx, in billion CapEx 'XX. fiscal has While for beer some into continue $X previously fiscal adjustment to we anticipated and fiscal deploy between timing fiscal of 'XX, the approximately we expansion expect breweries shifted of the
quarter enterprise. closing, trajectory we strong the initiatives maintain In solid progress made strategic our against growth and this for a
invest of while have the maintain cost our discipline years. done capital executing for momentum and strong provide as drive allocation against our We to behind last we brands, still generation continue cash efficiencies and operational several priorities the
monitor We well possible base our influencing we behavior and changes will any particularly potential other have and across shifts, continue economic the policies. trends seen subdued consumer to as macro that the as drivers tariff spend value-seeking develop from arising closely
consumer against obsession to priorities. we commitment on always, our stated stakeholders strategy and our As we executing creation value seek will and our to focus as balance our
Thank all support as of that, continued now happy take your approach Bill your Thank you 'XX. With be for we will you. close the and fiscal to I questions.
