Survey Finds 77% of Investors Support Quarterly Earnings Reporting as SEC Considers Semi-Annual Rule

Seventy-seven percent of investors believe companies should continue reporting quarterly results, according to a survey conducted by PondelWilkinson, an investor relations and strategic public relations consultancy. By contrast, 18% of investors think public companies should report results semi-annually, while 5% support semi-annual reporting supplemented by select key metrics in non-reporting quarters. The online survey comes as the SEC seeks public comment by July 6, 2026, on its proposed semi-annual reporting rule, which would allow public companies to report results twice a year rather than four times.

A smaller group of public company management respondents was more divided on the proposal, with a slight majority expressing support for either less frequent reporting or reporting only key metrics in alternating quarters. “Our survey results highlight investors’ strong demand for timely, transparent information,” said Roger Pondel, CEO at PondelWilkinson. “At the same time, issuers pointed to reduced regulatory burdens and lower compliance costs as key reasons why shifting to semi-annual reporting could be beneficial.”

Click here to view Roger Pondel's video commentary on the survey findings. In addition to structured survey questions, participants were asked to provide commentary on the potential benefits, drawbacks and alternative reporting frameworks. Feedback centered around three core themes: investors strongly favor transparency and frequent disclosure; issuers seek relief from reporting burdens; and support for a hybrid or compromise approach.

Investors emphasized the importance of timely financial information for valuation and market efficiency, expressing concern that reduced reporting frequency could increase uncertainty, risk and volatility. Comments included: “Efficient markets require more information, not less,” “Six months is an eternity in business these days and is too long to be dealing with stale financials,” and “Less information ⇒ more risk. More risk ⇒ lower valuation.” Company executives, particularly at smaller issuers, highlighted the operational and cost burden of quarterly reporting. Comments included: “Quarterly encourages short-sighted decisions to ensure quarters look good,” and “As long as corporations have to report quarterly, they will want to show profit each quarter, which will reduce incentive to invest in R&D.”

Some investor respondents supported middle-ground solutions that balance transparency with flexibility. Suggestions included: “If it were semi-annual, I think at least revenue should be reported quarterly,” “Why twice or quarterly? Three times a year is a good compromise,” and “For some industries, semi-annual reporting would be adequate; industries containing more volatile metrics should report quarterly.” The SEC officially proposed the amendment on May 5, 2026, marking the first time in 55 years that firms may have the flexibility to switch from Form 10-Q reporting. Under the proposed framework, public companies that want to report on a half-year cadence would file their results on a new Form 10-S, while annual filings on Form 10-K would remain unchanged.