When must a company announce earnings?

By Investopedia Staff AAA
A:

The Securities & Exchange Commission (SEC) requires companies to file earnings reports no later than 45 days after the end of their first three quarters, and their quarterly and annual reports 90 days after their fiscal year end. Companies file quarterly earnings reports on Form 10-Q or 10-QSB and yearly earnings reports on Form 10-K or 10-KSB. A company can file these reports or announce earnings publicly whenever it chooses, provided it follows the 45- and 90-day guidelines set forth by the SEC.

However, in an attempt to make information available to the public in a more timely manner, the SEC adopted rules on August 27, 2002, that saw these 45- and 90-day requirements reduced to 35 and 60 days, respectively. The tightening of filing requirements, however, affects only public companies that have a public float of at least $75 million and have been subject to the Securities Exchange Act of 1934 for at least 12 months. The change in time periods was phased in over three years, starting November 15, 2002. For the first year, companies were allowed the 45- and 90-day requirements, then 40- and 75-day requirements the second year, and then 35- and 60-day requirements for the years thereafter.

Many websites have the release dates for earnings reports of publicly traded companies.

RELATED FAQS

  1. How is accounting in the United States different from international accounting?

    Learn how accounting standards differ between the International Financial Reporting Standards, or IFRS, and generally accepted ...
  2. Which financial statements are most important when performing ratio analysis?

    Learn which financial statements are used for ratio analysis. Find out what financial data is needed to conduct fundamental ...
  3. What are some of the advantages and disadvantages of DuPont Analysis?

    Learn about the DuPont analysis financial ratio, and understand some of its primary advantages and disadvantages.
  4. How do you account for changes in the market value of various fixed assets?

    Understand how to account for changes in the fair market value of a company's fixed assets. Learn what accounting methods ...
RELATED TERMS
  1. Convention Statement

    A document filed by an insurance or reinsurance company that ...
  2. Contra Proferentem Rule

    A rule in contract law which states that any clause considered ...
  3. Enterprise Value (EV)

    A measure of a company's value, often used as an alternative ...
  4. Cumis Counsel

    Legal counsel chosen by the insured when the insurer has a conflict ...
  5. TSA PreCheck

    This program allows travelers deemed low-risk by the Transportation ...
  6. Lilly Ledbetter Fair Pay Act

    A federal law designed to ensure equal pay for all workers, regardless ...

You May Also Like

Related Articles
  1. Mutual Funds & ETFs

    The Impact of the Janus Market Timing ...

  2. Economics

    The Economic Impact of Better US-Cuba ...

  3. Stock Analysis

    How AT&T Will Rise As America Movil ...

  4. Forex

    Bitcoin's Main Stumbling Block: Navigating ...

  5. Investing News

    Mexicans Unsure about Mexican Reforms

Trading Center