Mergers, Acquisitions and Disposals (Tables)

12 Months Ended

Dec. 31, 2019

Statement [LineItems]

Summary of Unaudited Pro Forma Financial Information

Unaudited pro forma financial data for the acquisitions, is as follow:

	Unaudited pro forma financial information for the year ended December 31, 2019
Total revenues	Ps.	516,496
Income before income taxes and share of the profit of equity accounted investees		33,823
Net income		29,516
Basic net controlling interest income per share Series “B”	Ps.	1.11
Basic net controlling interest income per share Series “D”		1.38

The following unaudited consolidated pro forma financial data represent the Company’s historical financial statements, adjusted to give effect to (i) the acquisitions of Coca-Cola FEMSA and Caffenio as if these acquisitions has occurred on January 1, 2018; and (ii) certain accounting adjustments mainly related to the pro forma depreciation of fixed assets of the acquired company.

Unaudited pro forma financial data for the acquisitions, is as follow:

	Unaudited pro forma financial information for the year ended December 31, 2018
Total revenues	Ps.	473,420
Income before income taxes and share of the profit of equity accounted investees		34,266
Net income		33,521
Basic net controlling interest income per share Series “B”	Ps.	1.22
Basic net controlling interest income per share Series “D”		1.52

The following unaudited consolidated pro forma financial data represent the Company’s historical financial statements, adjusted to give effect to (i) the acquisition of Coca-Cola FEMSA Philippines as if this acquisition has occurred on January 1, 2017; and (ii) certain accounting adjustments mainly related to the pro forma depreciation of fixed assets of the acquired company.

Unaudited pro forma financial data for the acquisition included, is as follow:

	Unaudited pro forma financial information for the year ended December 31, 2017
Total revenues	Ps.	462,112
Income before income taxes and share of the profit of equity accounted investees		39,917
Net income		37,311
Basic net controlling interest income per share Series “B”	Ps.	2.12
Basic net controlling interest income per share Series “D”		2.65

Summary of Income Statement of Discontinued Operations

For the years ended December 31, 2018 and 2017, the income statement of discontinued operations was as follows:

	2018			2017
Total revenues	Ps.	24,167		Ps.	20,524
Cost of goods sold		17,360			12,346
Gross profit		6,807			8,178
Operating expenses		5,750			6,865
Other expenses, net		7			134
Financial income, net		(185	)		(64	)
Foreign exchange gain, net		(73	)		(22	)
Income before income taxes		1,308			1,265
Income taxes		466			370
Net income for discontinued operations	Ps.	842		Ps.	895
Less: non-controlling interest in discontinued operations		391			469
Controlling interest in discontinued operations	Ps.	451		Ps	. 426
Accumulated currency translation effect for the subsidiary disposal		(811	)		2,830
Gain from sale		3,335			—
Net income for subsidiary disposal – controlling interest		2,975			3,256
Net income from discontinued operations	Ps.	3,366		Ps.	3,725

Coca-Cola FEMSA [member]

Statement [LineItems]

Summary of Preliminary Estimate of Fair Value of Net Assets Acquired and Reconciliation of Cash Flows

The final allocation on the purchase prices to the fair value of the net assets acquired is as follows:

	2018
Total current assets (including cash acquired of Ps. 860)	Ps.	1,864
Total non-current assets		4,031
Distribution rights		1,715
Total assets		7,610
Total liabilities		(3,691	)
Net assets acquired		3,649
Goodwill(1)		2,903
Total consideration transferred		6,552
Cash acquired		(860	)
Net cash paid	Ps.	5,692

(1)  As a result of the purchase price allocation which was finalized in 2019, additional fair value adjustments from those recognized in 2018 have been recognized as follows: decrease in total non-current assets amounted to Ps. 236, distribution rights of Ps. 2,887 and increase in goodwill of Ps. 2,903.

Summary of Selected Income Statement for Period from Acquisition Date

The income statement information of these acquisitions for the period from the acquisition date through to December 31, 2018 is as follows:

Income Statement	2018
Total revenues	Ps.	4,628
Income before income taxes		496
Net income	Ps.	413

Other acquisitions [member]

Statement [LineItems]

Summary of Preliminary Estimate of Fair Value of Net Assets Acquired and Reconciliation of Cash Flows

The preliminary allocation on the aggregated purchase prices to the fair value of the net assets acquired is as follows:

	2019
Total current assets (including cash acquired of Ps. 389)	Ps.	4,085
Total non-current assets		5,250
Total assets		9,335
Total liabilities		8,153
Net assets acquired		1,182
Goodwill		6,542
Non-controlling interest		(53	)
Total consideration transferred		7,671
Amount to be paid		(147	)
Cash acquired		(389	)
Net cash paid		7,135

Summary of Selected Income Statement for Period from Acquisition Date

The income statement information of these acquisitions for the period from the acquisition date through to December 31, 2019 is as follows:

Income Statement	2019
Total revenues	Ps.	8,594
Income before income taxes		37
Net loss	Ps.	1