Financial Report
4.3 Currency Translation
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|
Year-end rates |
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Average rates |
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in CHF |
|
2022 |
|
2021 |
|
2022 |
|
2021 |
|
|
|
|
|
|
|
|
|
CAD |
|
0.68 |
|
0.72 |
|
0.74 |
|
0.73 |
CNY |
|
0.13 |
|
0.14 |
|
0.14 |
|
0.14 |
EUR |
|
0.98 |
|
1.03 |
|
1.01 |
|
1.09 |
PLN |
|
0.21 |
|
0.22 |
|
0.22 |
|
0.24 |
USD |
|
0.92 |
|
0.91 |
|
0.95 |
|
0.91 |
The subsidiary BELIMO Turkey Otomasyon A.Ş. (Istanbul), with functional currency in Turkish lira, was affected by the hyper-inflationary economy as at December 31, 2022. The assessment of the accounting implication of standard IAS 29 Financial Reporting in Hyperinflationary Economies showed no material impact on the consolidated financial statements.
Group Companies
Financial statements of foreign operations are translated into Swiss francs as follows: for the balance sheet (excluding equity), at the exchange rates at the reporting date; for the income statement, the statement of comprehensive income and the statement of cash flows, at the average exchange rate. Any translation differences arising from the translation of the balance sheets, income statements and the statements of comprehensive income are recognized in other comprehensive income with no effect on the consolidated income statement. This also applies to loans that are part of a net investment in a foreign operation. At the date of the loss of control over a foreign operation, the associated cumulative exchange differences are reclassified to the income statement.
Transactions in Foreign Currency
Transactions in a foreign currency are translated into the functional currency at the exchange rate at the date of the transactions. Monetary assets and liabilities denominated in foreign currencies are translated into the functional currency at the exchange rate at the reporting date. Any foreign currency gains or losses resulting from transactions and from the translation of balance sheet items denominated in foreign currencies are recognized in the income statement. Non-monetary assets and liabilities measured at historical cost are translated using the exchange rate at the date of the transaction.