How often should interim financial reports be provided, as per reporting standards?

Interim financial reports provide an ongoing overview of an entity's financial performance and position between the annual financial statements. As per reporting standards, particularly IAS 34: Interim Financial Reporting, companies are required to prepare and present interim financial reports at least on a quarterly basis. This aligns with the need for timely and relevant financial information for users who may need to assess the entity's ongoing financial status and performance.

Quarterly or semi-annual reporting allows stakeholders—such as investors, creditors, and management—to make informed decisions based on more recent data rather than waiting for the annual financial statements. Such frequent reporting also enhances transparency and can be crucial for entities that operate in fast-moving industries or are subject to fluctuations in revenue.

While monthly reporting might seem beneficial for certain organizations to track performance, it is not a standard requirement set out by reporting frameworks. Likewise, only reporting when significant changes occur would not fulfill the necessary regularity expected for interim information; stakeholders need consistency and reliability in reporting intervals to form a proper understanding of an entity's financial health.