From Four to Two Times a Year... SEC Moves to Ease Corporate Reporting Requirements

by Ryu Hyunseok

Published 06 May.2026 09:28(KST)

Updated 06 May.2026 13:56(KST)

The U.S. Securities and Exchange Commission (SEC) will grant listed companies the option to submit semiannual reports instead of quarterly reports.

Reuters Yonhap News

According to Bloomberg and other foreign media, the SEC announced on May 5 (local time) a proposed amendment to disclosure regulations reflecting this change. The amendment will be subject to a 60-day public comment period before being put to a final vote.

If the proposed amendment passes, companies that choose to submit semiannual reports will only be required to file one semiannual report and one annual report for each fiscal year, instead of three quarterly reports and one annual report. In other words, companies will have the option to choose whether to submit quarterly reports.

SEC Commissioner Paul Atkins stated, "Listed companies are obligated under federal securities laws to provide investors with material information," but added, "Due to the rigidity of the SEC's regulations, companies and investors have not been able to determine an interim reporting cycle that best meets their business needs and investors' interests." He further commented, "If the proposed amendment is ultimately adopted, it will provide companies with greater regulatory flexibility."

U.S. President Donald Trump also attempted to change the reporting cycle during his first term, but was unsuccessful. However, last year he reiterated the need to abolish the current regulations. In September last year, he posted on his social networking service (SNS) Truth Social, "With SEC approval, companies should no longer be forced to report quarterly and should instead report every six months," arguing that this would help companies save costs and allow management to focus on running the business properly.

Some experts predict that if this proposal is adopted, it could help address the decline in the number of listed companies in the United States. Some companies have cited the heavy administrative work and costs required to go public and remain listed as reasons for staying private. However, concerns remain that the amount of information provided to investors could decrease. Critics point out that if reporting frequency is reduced, companies may be able to hide negative developments and the risk of insider trading could increase.