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Hedging or de-hedging, that is the question…

Simply Treasury

Many companies hedge on a budgetary basis and qualify hedges of future cash flows by applying the so-called "cash-flow hedge" method under IFRS 9 (ex-IAS 39). frozen into equity item) must remain in equity until such time as this cash flow occurs / materializes and affects profit or loss. "Cash-Flow Hedge (CFH) Method applied.

IFRS 130
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Data Update 1 for 2021: A (Data) Look Back at a Most Forgettable Year (2020)!

Musings on Markets

That said, it does mean that any broad conclusions (about profitability and revenues) that emerge from my data apply to public companies, and it may be dangerous to extrapolate to private businesses, especially in a year like 2020 where private businesses could have been affected more adversely by COVID shutdowns than public companies.