The SEC has suggested a rule that would let public companies choose to report every six months instead of every quarter. This could lead to a big change in how companies share information. 

According to Reuters, if the rule passes, companies could choose to file a new Form 10-S two times a year instead of filing three quarterly Form 10-Qs. This option would let each company pick the schedule that works best for them and their investors. SEC Chairman Paul Atkins said the goal is to give companies “increased regulatory flexibility” while still making sure they share important information with investors.  

This proposal is part of a larger effort by regulators and policymakers to make things easier for public companies. Supporters say that having fewer deadlines could help managers focus on long-term goals instead of just quarterly results. On the other hand, critics worry that reporting less often could make companies less transparent and make it harder for investors to compare them.  

Investor groups and others in the market are split on this issue. Some support taking another look at reporting rules, but others say that regular and timely updates are key to strong U.S. markets. There are also concerns about how easy it will be to compare companies if they often switch between quarterly and semiannual reports.  

People can send in comments about the proposal 60 days after it appears in the Federal Register. The SEC says it will continue to use “materiality as the north star” when making decisions about future disclosure rules.