SEC eyes ditching quarterlies
The U.S. SEC is preparing to propose making quarterly earnings reports optional and letting public companies report semiannually — a seismic change that would reshape audit‑committee oversight cadence and investor communications. Analysts say it could reduce short‑term pressure but raise demands for stronger interim risk monitoring and narrative reporting between formal filings.
The rule proposal could be published as soon as April, according to reporting that cited people familiar with the matter ([money.usnews.com)]. The push traces to a formal petition from the Long‑Term Stock Exchange, which asked the SEC in a Sept. 9, 2025 filing to allow semiannual comprehensive reports while preserving Form 8‑K for material event disclosure ([sec.gov)]. SEC Chair Paul Atkins publicly said on Sept. 19, 2025 that the agency would propose a change and leave the choice of cadence to issuers, remarks made on CNBC during an interview about disclosure reform ([cnbc.com)]. An SEC spokesperson told Bloomberg Law the agency is “prioritizing” the move and has been consulting with exchanges about necessary listing‑rule adjustments as part of preparatory work ([news.bloomberglaw.com)]. The formal rulemaking will open a public comment period—typically 30–60 days under SEC practice—after which the Commission must vote to adopt any final amendment ([sec.gov)]. Legal advisers and policy shops that have analyzed the petition say audit committees would likely need strengthened interim controls, more frequent enterprise‑risk reporting, and clearer narrative disclosures between filing dates if fewer mandated filings are adopted ([jonesday.com)]. Even if adopted, market observers note many large issuers could continue voluntary quarterly updates, preserving comparable cadence for index‑heavy stocks and sell‑side models tied to 90‑day reporting cycles ([ebc.com)].
