Forex accounting can rewrite Indian profits and net worth in six companies

A single accounting call can move gains into equity

For Indian firms with imports, foreign borrowings, overseas revenue, or subsidiaries, forex accounting isn’t a footnote—it can decide whether exchange gains and losses hit profit and loss or sit in equity reserves. That means judgment and rule-based treatment can make results look cleaner than business reality. Investors are urged to scrutinize the forex line before trusting headline numbers.