President Donald Trump Suggests Canceling Quarterly Reporting: 'This Will Save Money'

President Donald Trump suggested on Monday that U.S. businesses stop issuing quarterly earnings reports.

"Subject to SEC Approval, Companies and Corporations should no longer be forced to 'Report' on a quarterly basis (Quarterly Reporting!), but rather to Report on a "Six (6) Month Basis," the post began. "This will save money, and allow managers to focus on properly running their companies. Did you ever hear the statement that, 'China has a 50 to 100 year view on management of a company, whereas we run our companies on a quarterly basis???' Not good!!!"

Current Securities and Exchange Commission (SEC) regulations require public companies to report earnings quarterly, but a change to reporting every six months could be made by the SEC or Congress. Public companies have been reporting quarterly earnings since 1970.

Changes to earnings reports have been on the minds of business leaders before, notably Berkshire Hathaway CEO Warren Buffett and JPMorgan Chase CEO Jamie Dimon. CNBC notes that, in 2018, the duo wrote a joint op-ed for The Wall Street Journal that pushed for eliminating quarterly guidance, writing that "quarterly earnings guidance often leads to an unhealthy focus on short-term profits at the expense of long-term strategy, growth and sustainability." The duo still advocated for earnings reports, though: "Our views on quarterly earnings forecasts should not be misconstrued as opposition to quarterly and annual reporting."

Axios reports that China requires quarterly reporting, though Trump was likely referring to companies listed on the Hong Kong exchange, which only report every six months. Companies in the U.K. and European Union are required to file only twice a year, but can choose to report quarterly.