Right-of-use assets - Net

9 Months Ended

12 Months Ended

Sep. 30, 2024

Dec. 31, 2023

Disclosure of quantitative information about leases for lessee [abstract]

Right-of-use assets - Net

Note 7 - Right-of-use assets - Net:

The Company has signed various lease contracts used in its operations, including machinery, vehicles, other equipment and commercial premises. There are no future cash outflows derived from residual value guarantees, restrictions imposed by tenants on sale and leaseback transactions.

The average term of the lease contracts as of September 30, 2024 and December 31, 2023 was 5 to 20 years for buildings, 10 years for store equipment, and 8 years for transportation equipment. The Company applies the recognition exemptions with respect to “short-term leases” and “low-value asset leases”.

The right-of-use asset recognized in the interim condensed consolidated statement of financial position as of September 30, 2024 and the fiscal year ended on December 31, 2023, was as shown below.

	Building			Transportation equipment			Store equipment			Total
As of January 1, 2023	Ps.	4,472,888		Ps.	55,999		Ps.	167,572		Ps.	4,696,459
Additions		1,282,448			63,778			75,942			1,422,168
Depreciation		(553,468	)		(20,693	)		(23,870	)		(598,031	)
As of December 31, 2023	Ps.	5,201,868		Ps.	99,084		Ps.	219,644		Ps.	5,520,596
Additions		1,354,571			66,114			29,399			1,450,084
Write-offs		—			(1,462	)		—			(1,462	)
Depreciation		(432,802	)		(27,049	)		(21,393	)		(481,244	)
As of September 30, 2024	Ps.	6,123,637		Ps.	136,687		Ps.	227,650		Ps.	6,487,974

During the nine-month periods ended September 30, 2024 and 2023, the Company had expenses related to low-value leased assets and short-term leases included in sale and administrative expenses for an amount of Ps. 9,837 and Ps. 9,574 respectively. During the same periods, the Company did not have variable lease payments.

The Company had total cash outflows for leases in the nine-month periods ended September 30, 2024 and 2023, for an amount of Ps. 1,139,828 and Ps. 859,684, respectively.

For the nine-month periods ended September 30, 2024 and 2023, the Company recognized depreciation of the right-of-use asset in cost of sales for Ps. 87,549 and Ps. 63,627, respectively.

For the nine-month periods ended September 30, 2024 and 2023, the Company recognized depreciation of the right-of-use asset in sales expenses for Ps. 393,695 and Ps. 358,245, respectively.

The Company has several lease contracts that include extension and termination options. These options are negotiated by Management to provide flexibility in managing the leased-asset portfolio and align with the Group business needs. Management exercises significant judgement in determining whether these extension and termination options are reasonably certain to be exercised. As of September 30, 2024 and December 31, 2023, the Company considered all optional extensions that are enforceable in its lease contracts; therefore, there are no future cash outflows derived from extensions that are not planned to be exercised.

Note 10 - Right-of-use assets – Net

The Company has signed various leasing contracts used in its operations, including machinery, vehicles, other equipment and commercial premises. There are no future cash outflows derived from residual value guarantees, restrictions imposed by tenants on sale and leaseback transactions.

The average term of the lease contracts as of December 31, 2023 and 2022 is disclosed in Note 3.18. The Company applies the recognition exemptions with respect to “short-term leases” and “low-value asset leases.”

The right-of-use asset recognized in the consolidated statement of financial position as of December 31, 2023 and 2022, is as follows:

	Building				Transportation equipment			Store equipment				Total
As of January 1, 2022	Ps.	2,911,515			Ps.	32,473		Ps.	103,978			Ps.		3,047,966
Additions			2,021,858			32,760				78,791				2,133,409
Depreciation			(460,485	)		(9,234	)			(15,197	)			(484,916	)
As of December 31, 2022	Ps.		4,472,888		Ps.	55,999		Ps.	167,572			Ps.		4,696,459
Additions			1,282,448			63,778				75,942				1,422,168
Depreciation			(553,468	)		(20,693	)			(23,870	)			(598,031	)
As of December 31, 2023	Ps.		5,201,868		Ps.	99,084		Ps.		219,644		Ps.	5,520,596

During the years ended December 31, 2023, 2022 and 2021, the Company had expenses related to low-value leased assets and short-term leases included in sale and administrative expenses for an amount of Ps.18,370, Ps.6,387 and Ps.2,232, respectively. During the same periods, the Company did not have variable lease payments.

The Company had total cash outflows for leases of Ps.1,186,260 in 2023, Ps.826,730 in 2022 and Ps.598,432 in 2021. For the years ended December 31, 2023, 2022 and 2021, the Company recognized Ps.89,931, Ps.66,935 and Ps.60,059 of depreciation of the right-of-use asset in the cost of sales, and Ps.508,100, Ps.417,981 and Ps.255,299 in sale expenses, respectively.

The Company has several lease contracts that include extension and termination options. These options are negotiated by Management to provide flexibility in managing the leased-asset portfolio and align with the Group business needs. Management exercises significant judgment in determining whether these extension and termination options are reasonably certain to be exercised (See Note 4.1). As of December 31, 2023, 2022 and 2021 the Company considered all optional extensions that are enforceable in its lease contracts; therefore, there are no future cash outflows derived from extensions that are not planned to be exercised.