Overview
- The Long Term Stock Exchange filed its petition on September 30, 2025, seeking permission for companies to replace mandatory quarterly reports with semiannual disclosures.
- SEC Chair Paul Atkins said he would fast-track consideration and target a proposal by late 2025 or early 2026, with any change requiring a formal proposal, public comment, and a Commission vote.
- The president publicly endorsed semiannual reporting, arguing it could cut compliance costs and let managers focus on running their companies.
- Supporters say less frequent reporting could curb short-termism and lighten workloads, noting that earnings cycles consume months and turn calls into high-stakes events for executives.
- Critics warn of weaker transparency, potentially higher capital costs, greater volatility for fast-changing firms, and more insider-trading risk, while U.K. evidence shows investment was little changed but analyst coverage and forecast accuracy shifted and most firms continued quarterly updates voluntarily.