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The Informativeness of Quarterly Financial Reporting: The Portuguese Case

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Author Info
Carlos F. Alves () (CEMPRE, Faculdade de Economia, Universidade do Porto)
F. Teixeira dos Santos () (Faculdade de Economia, Universidade do Porto and LIACC/UP)
Abstract

With the Directive 2004/109/EC, of December 15, 2004 – Transparency Directive –, the European Union decided not to require listed companies to disclose financial information in the first and third quarters of each year. Each EU country now has to decide whether to oblige its companies to disclose this information. Using a sample of 1751 firm-earnings announcements between 1994 and 2004, this paper ascertains the informativeness of quarterly financial reporting in Portugal, one of the seven European countries where the disclosure of such information is currently compulsory in all quarters. Evidence suggests that the information of the first and third quarters, both in terms of price volatility and trading volume, is significant and not inferior to that of the remaining earnings announcements.

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Publisher Info
Paper provided by Universidade do Porto, Faculdade de Economia do Porto in its series FEP Working Papers with number 177.

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Length: 32 pages.
Date of creation: Jun 2005
Date of revision:
Handle: RePEc:por:fepwps:177

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Related research
Keywords: Capital markets-based research; interim accounting disclosure; market reaction; market regulation;

Find related papers by JEL classification:
G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies
G18 - Financial Economics - - General Financial Markets - - - Government Policy and Regulation
M49 - Business Administration and Business Economics; Marketing; Accounting - - Accounting - - - Other

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References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
  1. Carhart, Mark M, 1997. " On Persistence in Mutual Fund Performance," Journal of Finance, American Finance Association, vol. 52(1), pages 57-82, March. [Downloadable!] (restricted)
  2. Youngsoon Susan Cheon & Theodore E. Christensen & Linda Smith Bamber, 2001. "Factors Associated with Differences in the Magnitude of Abnormal Returns Around NYSE Versus Nasdaq Firms' Earnings Announcements," Journal of Business Finance & Accounting, Blackwell Publishing, vol. 28(9&10), pages 1073-1108. [Downloadable!] (restricted)
  3. Carlos Alves & Victor Mendes, 2001. "Corporate Governance Policy and Company Performance: The Case of Portugal," FEP Working Papers 112, Universidade do Porto, Faculdade de Economia do Porto. [Downloadable!]
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