Quarterly Report

Written By:
Paul Tracy
Updated August 28, 2020

What is a Quarterly Report?

A quarterly report is a set of financial statements issued by a company every three months. Public companies in the United States file this report via the Securities and Exchange Commission (SEC) Form 10-Q.

How Does a Quarterly Report Work?

A quarterly report for a public company typically includes an income statement, balance sheet, and cash flow statement for the quarter and the year-to-date (YTD), as well as comparative results for the prior year. Quarterly reports also include a discussion and analysis of the company's financial condition, disclosures about risk factors that may affect the value of the company, a discussion of matters submitted to a vote by shareholders during the quarter; and any other pertinent information related to the company and its business.

Generally, quarters end in March, June, September, and December, and quarterly reports are filed a few weeks later.

Why Does a Quarterly Report Matter?

Quarterly reports help investors take the pulse of public companies. By comparing the quarterly information to the previous year's information for the same quarter, investors can get rich insight into a business's performance and growth. Furthermore, quarterly reports help investors predict future earnings potential, which is highly correlated to a company's share price.