May 25, 2023

Earnings Releases: Earnings Date Announcements & 8-K Practices

In a recent blog, Wilson Sonsini reviewed the practices of a group of 30 companies in the Silicon Valley 150 in order to assess market practice when it comes to announcing upcoming earning release dates & the subsequent earnings release Form 8-Ks. This excerpt summarizes the key takeaways concerning the time between announcement of the release date and the earnings release itself:

– Most common duration between announcement date and earnings date: Three weeks, in each of the four quarters

– Minimum number of days: 6 or 7 days in the first three quarters, 10 days in the fourth quarter

– Maximum number of days: 28 to 33 days in the first three quarters, 41 days in the fourth quarter

– Average number of days: 19.4 to 20.3 days in the first three quarters, 21.9 days in the fourth quarter

The blog also says that all of the companies reviewed furnished their earnings release Form 8-K shortly following the close of trading hours, and then held their earnings call shortly thereafter (on the same day). Only four companies included other earnings-related information as a separate exhibit to their earnings release Form 8-K; however, an additional six companies included a statement in their Form 8-K that additional materials were available on their website.

John Jenkins