RIYADH — The Ministry of Commerce announced that only 15 days remaining for companies, of which fiscal year ended on December 31, 2024, to submit their financial statements. These companies are required to file their financial reports by June 30, 2025, to avoid financial penalties in accordance with the Companies Law. The ministry emphasized that all companies must prepare financial statements at the end of each fiscal year in line with the accounting standards adopted in the Kingdom. These statements must be submitted within six months of the fiscal year's end, as stipulated in Article 17 of the Companies Law. The responsibility for filing lies with the company president, general manager, or chairman of the board, depending on the company's legal form. Submitting financial statements helps companies meet regulatory requirements, demonstrate operational transparency, and ensure compliance with market rules and performance benchmarks. It also protects companies from legal liability and supports shareholders and partners in monitoring performance, conducting financial analysis, and assessing corporate governance and transparency. This, in turn, enhances the company's credibility with financial and lending institutions. The ministry warned that failure to prepare or file financial statements in accordance with approved standards and legal provisions will result in financial penalties, as outlined in Article 262 of the Companies Law. Statements must be submitted electronically via the Qawaem platform at: https://qawaem.bc.gov.sa/en/Pages/default.aspx.
