for the years ended December 31, 2017, 2016 and 2015
(In thousands of Mexican pesos)
| 2017 | 2016 | 2015 | ||||
|---|---|---|---|---|---|---|
| Cash flows from operating activities: | ||||||
| Consolidated net income for the year | $ | 4,161,981 | $ | 4,733,987 | $ | 3,458,417 |
| Adjustments not requiring (providing) cash: | ||||||
| Income tax recognized in net income | 1,227,272 | 2,034,667 | 1,596,746 | |||
| Depreciation and amortization | 1,258,361 | 1,116,873 | 950,405 | |||
| Impairment of property | 31,349 | - | 26,814 | |||
| (Gain) loss on sale of property, machinery and equipment | (3,409) | (2,368) | 16,606 | |||
| Provisions | 23,416 | 42,629 | (26,081) | |||
| Gain arising on changes in fair value of investment properties | (115,955) | (121,718) | (177,624) | |||
| Gain on stock purchase | - | (1,141,267) | - | |||
| Interest expense | 143,794 | 128,748 | 101,411 | |||
| Equity in income of associates | (173,293) | (89,992) | - | |||
| Interest income | (3,804,754) | (3,430,773) | (3,220,082) | |||
| 2,748,762 | 3,228,157 | 2,752,693 | ||||
| Items related to operating activities: | ||||||
| (Increase) decrease in: | ||||||
| Accounts receivable | (966,841) | (1,516,340) | (434,523) | |||
| Interest received from operating activities | 3,577,472 | 3,140,534 | 2,920,455 | |||
| Inventories | (350,099) | (1,249,618) | (238,537) | |||
| Prepaid expenses | (13,786) | (17,618) | (38,147) | |||
| Other assets | (50,738) | (81,919) | (3,392) | |||
| Long-term accounts receivable | 10,143 | 17,336 | 18,521 | |||
| Net assets projected for future employee retirement benefits | (116,357) | 9,644 | (38,014) | |||
| (Decrease) increase in: | ||||||
| Trade accounts payable | 338,912 | 1,111,390 | (108,857) | |||
| Other accounts payable and accrued liabilities | 471,573 | 236,365 | 316,853 | |||
| Due to related parties | (20,097) | 223,526 | (48,251) | |||
| Direct employee benefits | 38,570 | 21,632 | 16,134 | |||
| Income taxes paid | (1,492,407) | (1,671,225) | (1,615,075) | |||
| Net cash flows provided by operating activities | 4,175,107 | 3,494,493 | 3,473,779 | |||
| Cash flows from investing activities: | ||||||
| Purchase of property, machinery and equipment | (1,583,697) | (2,904,643) | (2,255,645) | |||
| Sales of property, machinery and equipment | 194,670 | 6,447 | 12,286 | |||
| Acquisition of shares | - | (1,945,602) | - | |||
| Business acquisition | - | 403,008 | - | |||
| Interest received | 35,411 | 99,460 | 289,026 | |||
| Net cash flows used in investing activities | (1,353,616) | (4,341,330) | (1,954,333) | |||
| Cash flows from financing activities: | ||||||
| Repurchase of shares | (424,062) | (235,891) | (650,548) | |||
| Interest paid | (12,166) | (10,188) | (101,411) | |||
| Dividends paid to controlling interest and non-controlling interest | (2,161,070) | (2,106,825) | (2,069,289) | |||
| Net cash flows used in financing activities | (2,597,298) | (2,352,904) | (2,821,248) | |||
| Effects of exchange rate changes on cash and cash equivalents | (13,948) | 58,524 | 45,136 | |||
| Net decrease in cash and cash equivalents | 210,245 | (3,141,217) | (1,256,666) | |||
| Cash and cash equivalents at beginning of the year | 1,714,356 | 4,855,573 | 6,112,239 | |||
| Cash and cash equivalents at end of the year | $ | 1,924,601 | $ | 1,714,356 | $ | 4,855,573 |
See accompanying notes to consolidated financial statements.