Successfully led the transition from SME accounting standards to full IFRS for a construction company with SAR 800M+ revenue.

From SME to Global Standards: Navigating an SAR 800M IFRS Conversion in Construction

In a sector where every riyal and every risk counts, construction companies in the Kingdom are under increasing pressure to enhance transparency, meet investor expectations, and align with international reporting standards. One such transformation began when a leading Saudi construction firm, operating at SAR 800M+ revenue, chose to transition from local SME accounting practices to full International Financial Reporting Standards (IFRS) — with the support of Insights Global.

This move wasn’t just a compliance upgrade. It was a strategic leap forward.

Why IFRS – and Why Now?

Construction companies face unique financial reporting challenges — from long project lifecycles to complex contract revenue recognition and asset management.
As Saudi Arabia deepens capital market reforms and increases private-sector visibility, companies that wish to attract investors, prepare for IPOs, or expand internationally are moving toward IFRS as a baseline for credibility and comparability.

In this case, the client’s growth ambitions and interest in future listing readiness made IFRS adoption a priority.

Our Approach

Insights Global was engaged to lead a full-cycle IFRS conversion — not just a technical accounting shift, but a governance and process transformation.

Key areas of focus included:

• End-to-end walkthroughs across accounting cycles and financial operations
• Assessment and mapping of SME standards vs. IFRS requirements
• Policy upgrades including revenue recognition, lease accounting, financial instruments
• Control enhancements to support audit readiness
• Training & enablement of internal finance teams
• Reconciliation & impact analysis to quantify conversion effects

The process was designed to be hands-on, collaborative, and aligned with global investor expectations from day one.

The Impact

The conversion delivered far more than compliance:

• Full IFRS alignment ahead of CMA/governance deadlines
• Clearer financial visibility across long-term construction projects
• Improved transparency for external auditors and potential investors
• Greater confidence in financial controls, processes, and reporting accuracy
• Foundation for future IPO readiness and capital market engagement

In a sector known for complexity, this client emerged with clarity and control.

Looking Ahead

As more companies in the Kingdom move beyond local GAAP and prepare for regulatory, investor, or strategic transformation, IFRS conversion is becoming a strategic necessity — not just a finance function task.

At Insights Global, we don’t treat IFRS as a checklist. We embed it as a language of trust, growth, and sustainable decision-making.