Good afternoon. Welcome to Corby Spirit and Wine Fiscal Year End 2023 Financial Results Conference Call for the period ended June 30, 2023. Joining me on the call this afternoon are Nicolas Krantz, President and Chief Executive Officer, and Juan Alonso, Vice President and Chief Financial Officer. Hopefully, everyone has had the opportunity to review the press release, which was issued on August 23. The press release, the fiscal year and financial statements, and MD&A have been filed onto SEDAR. Before we begin, I would like to inform listeners that information provided on today's call may contain forward-looking statements, which are subject to a number of risks and uncertainties that could cause actual results to differ materially from those anticipated.
Risks and uncertainties about the company's business are more fully discussed in Corby's materials, including annual and interim MD&A, filed with the securities regulatory authorities in Canada as required. At this time, all participants are in a listen only mode. Following senior management's commentary, we will conduct a question-and-answer session. Instructions will be provided at the time for you to queue up for questions. If anyone has any difficulties hearing the conference, please press star zero for operator assistance at any time. Now, I would like to turn the call over to Mr. Krantz. Thank you. Please go ahead.
Yes, good afternoon, everyone, and thank you for joining us for the Corby's call, discussing the fiscal year 2023. So on today's call, I will provide a high level overview of the year and, Juan Alonso, our Corby CFO, will review the financials, and we will then wrap up, before opening for any Q&A. So let me move the slide. Ah, okay, it should be fine now. Push the volumes. Okay, very good. The slides are working. Sorry for this technical glitch. So, if you want to qualify the year, I would say that FY 2023 marked a very good year for our total spirit portfolio, which outperformed the market in value in a very competitive and volatile environment, leading to market share gain for most of our key brands.
I would be very proud to name J.P. Wiser's and Polar Ice Vodka, McGuinness liqueurs, but we also have a fantastic result on the Jameson, The Glenlivet, and our tequila brand, Altos. So overall, I'm very pleased to report that Corby delivered a robust revenue growth of +2% versus the year before, supported by strong and underlying demand and a price increase across the portfolio, and dynamic export sales driven by premiumization in the U.S. and some opportunities in new markets. However, in FY 2023, like in other industries, the year has been affected by unprecedented rising input costs in the global inflationary environment, and we expect this high inflation on raw materials to continue in FY 2024, and we will therefore continue to play a price leadership role in many categories to seek and protect our margin.
This year, we also continue to invest in our people to drive engagement and performance, while implementing what we call a fit-for-purpose organization designed to deliver efficiencies and enhance execution excellence. We also successfully continue on our digital transformation journey. It's really about enhancing our marketing effectiveness, but also what we call Revenue Growth Management capabilities and our sales force effectiveness working at outlet level. Lastly, let me remind, of course, the audience that we have shared earlier this year the great news regarding the acquisition of the Ace Beverage Group on July fourth. We are thrilled to partner with the, the team to become with the ambition to become the leading FTD player in Canada.
As we believe, of course, that the combined strengths of our companies and capabilities will deliver great opportunities. You know, the flagship brands really, Cottage Springs, which is the number one RTD brand in Ontario with the LCBO. Now, let me give you some color regarding what has been the spirit market. So I'm gonna push the next slide. It's coming on screen. There we go. So, in FY 2023, the spirit market grew by +2.6% in value, with the on-premise channel continuing to steadily recover, while showing signs, of course, of normalization, following the pandemic.
And the spirits growth has been mainly driven by pricing and the premiumization of the mix as the market volumes are declining overall by 0.9%, as you can see. In terms of category, it's clearly the premium category which are leading the growth. Tequila, bourbon, Irish whiskey remain the fastest growing spirits category in FY 2023, driving therefore a strong growth of the overall category, while the wine declined across most key countries of origin.
In that context, pleased to see that Corby delivered a solid market performance across many of our key brands, with an overall growth in the spirit category of 2.9% and growing our FTD portfolio by 51% in value, therefore outperforming the market and validating our pricing strategy, portfolio prioritization, and really the excellence in execution from all our teams. So very pleased with that. Lastly, worth to mention that we had a very successful innovation launches during the year, launching many new products. And we can already say that one-third of our growth now is coming from innovation. We had launch into the market, J.P. Wiser's 10-year-old, Polar Ice Berry Blizzard, and also some ready-to-serve in many brands. So innovation remained a key driver of the growth for spirits and RTD category.
Now, let me hand over to Juan to present briefly our key financial for the FY 2023.
Good afternoon, everyone. Before we talk about our financial performance, I must introduce our adjusted earnings definition, which are non-GAAP financial measures to better understanding our underlying core business performance. Whenever mentioned, adjusted figures exclude the transaction costs related to the acquisition of Ace Beverage Group, costs and termination fees related to distributor transitions, and the restructuring provisions and a non-cash impairment charge related to the Foreign Affair Winery in FY 2022. So that being said, in FY 2023, Corby delivered a robust growth in revenue. Our adjusted net earnings reflected our tight resource management, focused on key strategic brands and priorities, offset by unprecedented rising input costs in the global inflationary environment. So starting with our volumes.
Our shipment volumes decreased by 1% to 2.1 million cases, with a slight decline of -1% of Corby-owned domestic brands, and -5% on international sales, due to supply chain constraints on dry and wet goods used in the production of Lamb's Rum in the U.K. market, as well as overall logistic disruptions. Despite the volumes decline, our revenue growth was robust at +2%, mainly driven by broad-based price increases and promotion optimization initiatives across the portfolio. I'm gonna provide more details on this on this topic in the calls. Cost of sales increase was unprecedented at +9%, due to global inflationary pressure on cost of raw materials and finished goods.
As a result, our adjusted net earnings is likely decreased by 1% for the full fiscal year 2023, while our reported net earnings declined -6% in FY 2023. Operating cash flows declined to CAD 10.1 million to CAD 35.4 million this year, primarily reflecting lower reported net earnings, as I mentioned before, and also increased use of cash to support our working capital requirements, with a strategic increased investments in maturing stocks and finished goods levels compared to prior years. While delivering these results, Corby maintained a general dividend policy normalizing to FY pre-pandemic levels. Yesterday, the board authorized the final quarter dividend payment of CAD 0.21 per share, enabling a dividend yield of circa 6% in FY 2023. Now, moving to give more details about our revenue growth.
Our revenue growth was +2% to CAD 163 million, supported by the following drivers. First one, our robust domestic case goods revenue up 3% to CAD 118.2 million, with strong underlying demand and price increases across all portfolios. Also, we had strong export sales, +9% to CAD 14.7 million, driven by pricing initiatives, premiumization in the U.S. market, and also opportunities in new markets. Commission income for represented and agency brands increased by 1% to CAD 26.9 million, driven by positive momentum on spirits, enhanced by price increase across the entire represented portfolio, offset by softer trends on wines and supply chain disruptions. And revenue from other business activities decreased by 34% to CAD 3.2 million, lapping a bulk whiskey sale last year.
Now, I would like to give some highlights from our brands. So, full year sales of Corby's own brands benefited from broad-based price increases, as I said before, while volumes were impacted by consumer trends and the timing of liquor board orders and inventory management. Value growth was driven by our flagship J.P. Wiser's, that grew +6% through pricing, premiumization, and innovation launch with J.P. Wiser's 10-Year-Old, and also Polar Ice Vodka increased +11% with successful innovation launches and strong performance in the on-premise channel. Both brands beat their respective categories.
Mixable liqueurs strongly increased +13% in revenue, cycling production challenges last year, while Ungava Spirits brands increased their revenue by 2%, fueled by Cabot Trail Maple Whiskey performance, even though it was impacted by strong competition within the Canadian gin category and lapping a high comparison basis for Cabot Trail Maple Cream Liqueur. Lamb's rum was affected by consumer trends in domestic markets and production constraints in the U.K. market. Lastly, our commission income was up +1%, notably led by strong momentum of the Glenlivet, Chivas, Altos, and our RTD portfolio, offset by lower demand on Jacob's Creek in a context of strong price competition. Now, if we move to the next slide to give to explain our P&L results. We enjoyed a robust revenue growth of 2%, and our cost of sales increased +9%, as I explained before.
Marketing, sales, and administrative expenses increased +2% in FY 2023 versus last year, reflecting very tight resource management, focused on key strategic brands and priorities. Our financial result was driven by an increase of our interest income by CAD 1.6 million, led by increased interest rates. As a result, our adjusted net earnings declined -1% to CAD 25.3 million, and our reported net earnings per share declined by -6% when considering the transaction costs related to the acquisition of ACE, plus costs and termination fees related to distributor transitions and restructuring provisions. From a cash flow perspective, if we move now to our cash flow.
Our cash flows from operating activities declined by CAD 10.1 million to CAD 35.4 million this year, primarily reflecting lower reported net earnings, as explained before, and an increase of use of cash to support our working capital requirements. That was partially offset by increased interest income and lower tax payments compared to the prior year. Working capital balances were largely impacted by increased investment in maturing stocks and increased finished good levels compared to prior years. Now, moving to cash flow used in investing activities. Investment on property, plant, and equipment declined CAD 0.8 million versus FY 2022, and also versus FY 2022, investing activities, when we look at FY 2022, included Corby's payment of CAD 54.5 million for the upfront fee on the representation right agreement with Pernod Ricard in September 2021.
When it comes to cash flow used in financing activity, in the current year, proceeds of CAD 98 million were received from our financing arrangement with Pernod Ricard in advance of our acquisition of Ace Beverage Group. This 10-year term loan provided Corby with the funding to complete the acquisition on July fourth, 2023. Financing activities in 2023 also reflect payments on lease arrangements and regular quarterly dividends of CAD 25.1 million. In the prior year, financing activity included lease payments and cash dividends of CAD 26.5 million. Now to finalize on the cash flow, while last year we withdrew CAD 42 million from the cash management pool with Pernod Ricard, in FY 2023, we increased our deposit in the cash management pool by CAD 102.5 million to the proceeds of CAD 98 million.
Now, I return to Nicolas for closing remarks.
Thank you very much, Juan. Thank you very much for this quick overview. So let's wrap up before taking a few questions, if there are any. In a nutshell, I believe that Corby continue to have solid financials, but I think this year we were particularly proud to have strong commercial performance by really having some market share gains on most of our key brands despite the very competitive and volatile environment. I believe our brands continue to resonate very strongly with consumers. And also over the last couple of years, we have really made a strong inroads in building a solid foundation for the future through investment in our brands, our people, and of course, capabilities.
So to conclude, of course, we have mentioned the acquisition of the ACE Beverage Group as a unique opportunity to enhance our growth profile, and I'm very excited, of course, to open this new chapter. But, I will also say by showing the slide at the moment on the screen, by really sharing with you that, we really have one of the most, if not the most diverse portfolio of the industry, with very strong brands across all spirit category wines and now RTD. I mean by that, all spirits category, but also all price points. We will also benefit in the coming year, with a new spirit brand, from the Pernod Ricard portfolio, joining, of course, our portfolio here in Canada.
All that is going to be designed to unlock the growth as we mentioned last time. That's it for us now. Let's open the Q&A. There are any questions regarding the results or the business for sure. Thank you very much.
Thank you. Ladies and gentlemen, we will now begin the question and answer session. Should you have a question, please press the star followed by the 1 on your telephone keypad. You will hear a 3-tone prompt acknowledging your request. Questions will be taken in the order received. Should you wish to cancel your request, please press the star followed by the 2.
Okay, it looks at this point there is maybe no further question.
There are no questions over the phone. Yes, I do apologize. There are no questions over the phone. I would now like to hand the call over back to Mr. Krantz for closing comments.
Okay. Well, thank you very much for giving us the opportunity to give a bit of color on the results. As you know, we are of course reachable in time for any investors who wanted to have a one-to-one discussions. And we'll be back for Q1 results and the AGM in November. I wish you a very good evening, and thank you very much.
Thank you. Ladies and gentlemen, that does conclude our conference for today. Thank you all for participating. You may all disconnect.