XML 43 R15.htm IDEA: XBRL DOCUMENT
v3.24.0.1

EQUITY METHOD INVESTMENTS | 12 Months Ended
--- | ---
Dec. 31, 2023
Equity Method Investments and Joint Ventures [Abstract] |
EQUITY METHOD INVESTMENTS | EQUITY METHOD INVESTMENTS Our consolidated net income includes our Company’s proportionate share of the net income or loss of our equity method investees. When we record our proportionate share of net income, it increases equity income (loss) — net in our consolidated statement of income and our carrying value of that investment. Conversely, when we record our proportionate share of a net loss, it decreases equity income (loss) — net in our consolidated statement of income and our carrying value of that investment. The Company’s proportionate share of the net income or loss of our equity method investees includes significant operating and nonoperating items recorded by our equity method investees. These items can have a significant impact on the amount of equity income (loss) — net in our consolidated statement of income and our carrying value of those investments. Refer to Note 18 for additional information related to significant operating and nonoperating items recorded by our equity method investees. The carrying values of our equity method investments are also impacted by our proportionate share of items impacting the equity method investees’ AOCI. We eliminate from our financial results all significant intercompany transactions to the extent of our ownership interest, including the intercompany portion of transactions with equity method investees. The Company’s equity method investments include, but are not limited to, our ownership interests in CCEP; Monster; AC Bebidas, S. de R.L. de C.V.; Coca-Cola FEMSA, S.A.B. de C.V.; Coca-Cola HBC AG; and Coca-Cola Bottlers Japan Holdings Inc. As of December 31, 2023, we owned 19%, 20%, 20%, 28%, 21% and 18%, respectively, of these companies’ outstanding shares. As of December 31, 2023, our investments in our equity method investees in the aggregate exceeded our proportionate share of the net assets of these equity method investees by $8,634 million. This difference is not amortized. A summary of financial information for our equity method investees in the aggregate is as follows (in millions):
Year Ended December 31,1 | 2023 | 2022 | 2021
Net operating revenues | $ | 93,862 |  | $ | 85,116 |  | $ | 79,934 |
Cost of goods sold | 55,780 |  | 52,051 |  | 47,847 |
Gross profit | $ | 38,082 |  | $ | 33,065 |  | $ | 32,087 |
Operating income | $ | 11,868 |  | $ | 9,719 |  | $ | 9,089 |
Consolidated net income | $ | 7,657 |  | $ | 6,373 |  | $ | 6,050 |
Less: Net income attributable to noncontrolling interests | 75 |  | 102 |  | 91 |
Net income attributable to common shareowners | $ | 7,582 |  | $ | 6,271 |  | $ | 5,959 |
Company equity income (loss) — net | $ | 1,691 |  | $ | 1,472 |  | $ | 1,438 |
1 The financial information represents the results of the equity method investees during the Company’s period of ownership.
December 31, | 2023 | 2022
Current assets | $ | 35,087 |  | $ | 32,722 |
Noncurrent assets | 74,464 |  | 70,523 |
Total assets | $ | 109,551 |  | $ | 103,245 |
Current liabilities | $ | 26,929 |  | $ | 23,580 |
Noncurrent liabilities | 33,989 |  | 34,740 |
Total liabilities | $ | 60,918 |  | $ | 58,320 |
Equity attributable to shareowners of investees | $ | 47,473 |  | $ | 43,917 |
Equity attributable to noncontrolling interests | 1,160 |  | 1,008 |
Total equity | $ | 48,633 |  | $ | 44,925 |
Company equity method investments | $ | 19,671 |  | $ | 18,264 |
Net sales to equity method investees, the majority of which are located outside the United States, were $17,736 million, $16,084 million and $14,471 million in 2023, 2022 and 2021, respectively. Total payments, primarily related to marketing, made to equity method investees were $294 million, $396 million and $516 million in 2023, 2022 and 2021, respectively. The increase in net sales to equity method investees in 2023 was primarily due to volume growth and favorable pricing initiatives. In addition, purchases of beverage products from equity method investees were $579 million, $505 million and $496 million in 2023, 2022 and 2021, respectively. The following table presents the difference between calculated fair value, based on quoted closing prices of publicly traded shares, and our Company’s carrying value in investments in publicly traded companies accounted for under the equity method (in millions):
December 31, 2023 | Fair Value | Carrying Value | Difference
Monster Beverage Corporation | $ | 11,766 |  | $ | 4,837 |  | $ | 6,929 |
Coca-Cola Europacific Partners plc | 5,870 |  | 3,858 |  | 2,012 |
Coca-Cola FEMSA, S.A.B. de C.V. | 5,549 |  | 2,092 |  | 3,457 |
Coca-Cola HBC AG | 2,296 |  | 1,252 |  | 1,044 |
Coca-Cola Consolidated, Inc. | 2,304 |  | 473 |  | 1,831 |
Coca-Cola Bottlers Japan Holdings Inc. | 484 |  | 367 |  | 117 |
Coca-Cola İçecek A.Ş. | 911 |  | 228 |  | 683 |
Embotelladora Andina S.A. | 137 |  | 90 |  | 47 |
Total | $ | 29,317 |  | $ | 13,197 |  | $ | 16,120 |
Net Receivables and Dividends from Equity Method Investees Total net receivables due from equity method investees were $1,527 million and $1,191 million as of December 31, 2023 and 2022, respectively. The total amount of dividends received from equity method investees was $672 million, $634 million and $823 million for the years ended December 31, 2023, 2022 and 2021, respectively. The amount of consolidated reinvested earnings that represents undistributed earnings of investments accounted for under the equity method as of December 31, 2023 was $8,005 million.

X
- References No definition available. + Details
Name: | us-gaap_EquityMethodInvestmentsAndJointVenturesAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition The entire disclosure for equity method investments and joint ventures. Equity method investments are investments that give the investor the ability to exercise significant influence over the operating and financial policies of an investee. Joint ventures are entities owned and operated by a small group of businesses as a separate and specific business or project for the mutual benefit of the members of the group. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 323 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (a)(3) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481687/323-10-50-3 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Topic 323 -SubTopic 10 -Name Accounting Standards Codification -Section 50 -Paragraph 3 -Subparagraph (d) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481687/323-10-50-3 Reference 3: http://www.xbrl.org/2003/role/recommendedDisclosureRef -Topic 323 -SubTopic 740 -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (f) -Publisher FASB -URI https://asc.fasb.org//1943274/2147481543/323-740-50-2 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Name Accounting Standards Codification -Topic 323 -Publisher FASB -URI https://asc.fasb.org//323/tableOfContent + Details
Name: | us-gaap_EquityMethodInvestmentsDisclosureTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration