A sectoral comparative analysis of the effect of TFRS 15 revenue from customer contracts standard on financial statements: A sample application in BIST

In a changing and globalized competitive environment, businesses must be able to adapt to the conditions they are in. Otherwise, it may become impossible for them to survive in acompetitive market. For this reason, businesses are aware of the necessity of a standard accounting and reporting system that they can implement due to factors such as the development of capital markets and the world becoming a single market. Being aware of this, businesses understand the importance of revenue, which is the most basic element that creates profit, as they aim to keep their profit levels high. For this reason, they may choose to apply IFRS 15 Revenue from Contracts with Customers Standard, which is a common international standard for measurement and reporting of revenue. The main purpose of the standard is to regulate the principles to be applied in the reporting of the issues related to the nature, amount, timing and uncertainty of revenue and cash flows arising from contracts signed with customers by businesses. In the study, since the application of IFRS 15 has different effects according to the sectors, it was aimed to analyze the effect of IFRS 15 on the financial statements of the companies operating in the communication, real estate, construction, transportation-storage and energy sectors registered in BIST (Borsa Istanbul), and to make a sectoral comparison. In this context, the independent audit reports and financial statements of the enterprises operating in the relevant sectors for 2017, 2018 and 2019 activity periods were examined. With the content analysis applied, the effect of IFRS 15 on the financial statements was evaluated, and the profitability ratio analysis was performed with the data obtained from the financial statements of each enterprise. As a result of the study, the effect of IFRS 15 on the financial statements was emphasized by making a sectoral comparison, and the change in the profitability rates of the companies with the results of the ratio analysis was evaluated as of the accounting period before and after the implementation of the standard.