Foreign currency risk refers to the risk that movement in foreign currency exchange rate which will affect the company's financial results and its cash flows.
The following table details the company's exposure at the balance sheet date to currency risk arising from recognised assets or liabilities denominated in a currency other than the functional currency of the entity to which they relate. For presentation purposes, the amounts of the exposure are shown in Hong Kong dollars, translatedusing spot rates at the year-end date.
Sensitivities analysis
The following table indicated the instantaneous change in the company's profit for the period and retained profits in response to reasonably possible changes in the foreign exchange rate to which the company has significant exposure at the date of financial position