annual report

noun
Updated on: 26 Jul 2017

Definition of annual report

:a usually lengthy report issued yearly by an organization giving an account of its internal workings and especially its finances

First Known Use of annual report

1744


Financial Definition of ANNUAL REPORT

annual report

What It Is

An annual report is an audited corporate document that details the business activity and financial status of a publicly-held company over the previous year.

How It Works

The Securities and Exchange Commission (SEC) requires all public companies to distribute an annual report to shareholders at the end of each fiscal year. Each report contains the three main financial statements -- the Income Statement, Cash Flow Statement and Balance Sheet -- as well as a host of other company-related data.

Why It Matters

The annual report provides a variety of important financial data. The SEC requires all publicly traded companies to file reports on an annual and quarterly basis, and the reports provide in-depth information on a company's products, market segments, competitors, customers, management and legal proceedings. Investors can readily access these financial reports for all public companies and mutual funds incorporated in the U.S. on the SEC's web site found {ia_ext|here|http://www.sec.gov/edgar/searchedgar/companysearch.html}.


Law Dictionary

annual report

noun annual re·port

legal Definition of annual report

:a written report distributed to shareholders each year by a corporation that sets forth financial information (as an auditor's report, the selling prices of the corporation's stock, and the yearly profit) as well as statements by the corporation's management

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