The Impact Of Exchange Gains And Losses On Net Profit Of Our Export Listed Company

In recent years,with the rate exchange reform of RMB and further expansion of export scale,foreign-related enterprises have been affected by exchange risk,resulting in serious exchange losses and significant impact of business income.For those companies that main products are exported to the foreign market and the import dependence of export-oriented is low,the main settlement currency is not domestic currency but foreign currency settlement.The income of these enterprises will be influenced by the RMB exchange rate.Successive study of the net profit of enterprises by the exchange gains and losses of the degree of impact and solutions to promote the RMB as a settlement currency has a positive effect and will be beneficial to export-oriented listed companies to avoid the adverse effects of fluctuations in the RMB exchange rate,that can reduce exchange losses,or even increase the exchange gains which will affect the financial costs,and financial costs will directly contribute to corporate profits,so the study for business reduction loss of profits,improve the cash flow rate is a very realistic role.This paper takes advantage of the comparable analysis of the exchange gains and losses of the listed companies and the analysis of the current situation in different industries.Based on the whole situation of export-orientated enterprise,some representative industries are important research targets,including the household appliance industry,the mechanical manufacturing industry,the textile and garment industry and the pharmaceutical industry.In addition,on account of exchange gains and losses and net profit of several representatives of the industry,and the annual statements of the export-oriented listed companies from 2005 to 2015,it is to collect the exchange of enterprises Profit and loss,financial expenses and net profit and other data.Meanwhile,from two perspectives,export-oriented listed companies and the situation of different industries are analyzed respectively about the exchange gains and losses on the export-oriented listed companies and sub-sectors of the impact of net profit.Comprehensive analysis has been conducted on the exchange gains and losses on the whole export-oriented enterprises and sub-sectors of the different effects.Finally,there are some relevant suggestions and opinions to help enterprises avoid the impact of exchange rate risk,reduce exchange losses and increase corporate net profit.