Financial Term

A quarter of a year, or three months, is a common time period for reporting financial results. Public companies report financial results quarterly to their investors and financial analysts (“Wall Street”).

It is common to see shorthand such as Q1 2017, which would be the first quarter of 2017 or January 1 through March 31.

While there is no particular magic, three months is one of those “goldilocks” durations – not too short, not too long – to capture any significant changes in the business while not over-emphasizing in a financial report the inevitable ups and downs that happen on a shorter-term basis.

Don Gooding

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