9th May 2022 – This quarter’s Currency Impact Report from Kyriba reveals North American multinational corporations lost $4.56 billion in the last quarter due to currency volatility, led by a surge in the Canadian dollar against the Euro and Yuan.
By comparison, European corporations reported $2.18 billion in FX-related losses, an 80% percent decrease in negative currency impacts.
Report highlights:
Companies reported $11.21B as the total impact of currency volatility
A $77M drop from the previous quarter ($11.98B)
The total quantified negative impact was $6.74 billion
More than triple the impact of the previous quarter ($2.13B)
North American corporations reported tailwinds of $468 million due to currency volatility
A $8.86B drop from the previous quarter ($9.32B)
North American corporations reported losses of $4.56 billion due to currency volatility
A $3.63B increase from the previous quarter ($929M)
European corporations reported losses of $2.18 billion due to currency volatility
An 80% decrease from the previous quarter ($1.21B)
North American companies indicated the most impactful currencies as
The Canadian dollar (CAD) with 33% of companies referencing it as most impactful
The Euro (EUR)
The Chinese Yuan (CNY)
The average earnings per share (EPS) impact from currency volatility reported by North American companies in Q3 2021 remained at $0.04—four times greater than the industry standard MBO of less than $0.01 EPS impact.
European companies indicated the most impactful currencies as
The Euro (EUR) with 38% of companies referencing it as most impactful
The Swedish krona (SEK), with 30% of companies referencing it as most impactful
The U.S Dollar (USD)