Skip to main content
SpringerLink
Log in

The Timeliness of Financial Reporting: A Comparative Study of Russian and Non-Russian Companies

  • Chapter
Book cover Corporate Governance in Transition Economies

It is important to report financial information in a timely fashion. The longer a company waits to release its annual report and accompanying financial statements, the more stale the information is and the less useful it is.

A number of studies have been done on various aspects of timeliness in financial reporting. Those studies are not summarized here but a listing is provided in the reference section for further research.

Various organizations have cited the importance of timely financial reporting. The Accounting Principles Board (1970) addressed the issue in one of its statements. The Organisation for Economic Co-operation and Development (OECD 2004) lists it as an important principle of corporate governance. The World Bank has conducted more than 40 studies on corporate governance in various countries that have included a look at their financial reporting practices, including timeliness. Seventeen of those studies were of transition countries.

Unfortunately, the World Bank did not study timeliness for Russia. To our knowledge, no studies of timeliness have been done using Russia as a case study, with the exception of the studies mentioned in this book. Thus, there is a gap in the literature that needs to be filled. The purpose of the present study is to partially fill that gap.

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Log in via an institution
Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 84.99
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 119.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 109.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

References

  • Accounting Principles Board. 1970. Basic Concepts and Accounting Principles Underlying Financial Statements of Business Enterprises — Statement No. 4. New York: American Institute of Certified Public Accountants

    Google Scholar 

  • Annaert, J., M.J.K. DeCeuster, R. Polfliet & G. Van Campenhout. 2002. To Be or Not Be … ‘Too Late’: The Case of the Belgian Semi-annual Earnings Announcements. Journal of Business Finance & Accounting 29(3 & 4): 477–495

    Article  Google Scholar 

  • Ashbaugh, H., K.M. Johnstone & T.D. Warfield. 1999. Corporate Reporting on the Internet. Accounting Horizons 13(3): 241–257

    Article  Google Scholar 

  • Ashton, R.H., P.R. Graul & J.D. Newton. 1989. Audit Delay and the Timeliness of Corporate Reporting. Contemporary Accounting Research 5(2): 657–673

    Google Scholar 

  • Atiase, R.K., L.S. Bamber & S. Tse. 1989. Timeliness of Financial Reporting, the Firm Size Effect, and Stock Price Reactions to Annual Earnings Announcements. Contemporary Accounting Research 5(2): 526–552

    Article  Google Scholar 

  • Ball, R., S.P. Kothari & A. Robin. 2000. The Effect of International Institutional Factors on Properties of Accounting Earnings. Journal of Accounting and Economics 29(1): 1–51

    Article  Google Scholar 

  • Ball, R. & P. Brown. 1968. An Empirical Evaluation of Accounting Income Numbers. Journal of Accounting Research 6: 159–178

    Google Scholar 

  • Basu, S. 1997. The Conservatism Principle and the Asymmetric Timeliness of Earnings. Journal of Accounting & Economics 24: 3–37

    Article  Google Scholar 

  • Bates, R.J. 1968. Discussion of the Information Content of Annual Earnings Announcements. Journal of Accounting Research 6 (Supp.): 93–95

    Article  Google Scholar 

  • Beaver, W.H. 1968. The Information Content of Annual Earnings Announcements. Journal of Accounting Research 6 (Supp.): 67–92

    Article  Google Scholar 

  • Blanchet, J. 2002. Global Standards Offer Opportunity. Financial Executive (March/April), 28–30

    Google Scholar 

  • Brown, P. & J.W. Kennelly. 1972. The Information Content of Quarterly Earnings: An Extension and Some Further Evidence. Journal of Business 45: 403–415

    Article  Google Scholar 

  • Chai, M.L. & S. Tung. 2002. The Effect of Earnings-Announcement Timing on Earnings Management. Journal of Business Finance & Accounting 29 (9 & 10): 1337–1354

    Article  Google Scholar 

  • Chambers, A.E. & S.H. Penman. 1984. Timeliness of Reporting and the Stock Price Reaction to Earnings Announcements. Journal of Accounting Research 22(1): 21–47

    Article  Google Scholar 

  • Davies, B. & G.P. Whittred. 1980. The Association between Selected Corporate Attributes and Timeliness in Corporate Reporting: Further Analysis. Abacus 16(1): 48–60

    Article  Google Scholar 

  • DeCeuster, M. & D. Trappers. 1993. Determinants of the Timeliness of Belgian Financial Statements. Working Paper, University of Antwerp, cited in Annaert et al, 2002

    Google Scholar 

  • Demos, T. 2006. The Russia 50: The Country's Largest Public Companies. Fortune 153(2): 70–71 [February 6]

    Google Scholar 

  • Dwyer, P.D. & E.R. Wilson. 1989. An Empirical Investigation of Factors Affecting the Timeliness of Reporting by Municipalities. Journal of Accounting and Public Policy 8(1): 29–55

    Article  Google Scholar 

  • Financial Accounting Standards Board. 1980. Statement of Financial Accounting Concepts No. 2, Qualitative Characteristics of Accounting Information. Stamford, CT: Financial Accounting Standards Board

    Google Scholar 

  • Gigler, F.B. & T. Hemmer, 2001. Conservatism, Optimal Disclosure Policy, and the Timeliness of Financial Reports. The Accounting Review 76(4): 471–493

    Article  Google Scholar 

  • Givoli, D. & D. Palmon, 1982. Timeliness of Annual Earnings Announcements: Some Empirical Evidence. The Accounting Review 57(3): 486–508

    Google Scholar 

  • Han, J.C.Y. & S. Wang. 1998. Political Costs and Earnings Management of Oil Companies during the 1990 Persian Gulf Crises. The Accounting Review 73: 103–117

    Google Scholar 

  • Han, J.C.Y. & J.J. Wild, 1997. Timeliness of Reporting and Earnings Information Transfers. Journal of Business Finance & Accounting 24(3,4): 527–540

    Article  Google Scholar 

  • Haw, I.M., D. Qi & W. Wu. 2000. Timeliness of Annual Report Releases and Market Reaction to Earnings Announcements in an Emerging Capital Market: The Case of China. Journal of International Financial Management and Accounting 11(2): 108–131

    Article  Google Scholar 

  • Hendriksen, E.S. & M.F. van Breda. 1992. Accounting Theory, fifth edition. Burr Ridge, IL: Irwin

    Google Scholar 

  • Hoover's Most Viewed Company Directory by Countryhttp://www.hoovers.com/free/mvc/country.xhtml

  • Jindrichovska, I. & S. Mcleay. 2005. Accounting for Good News and Accounting for Bad News: Some Empirical Evidence from the Czech Republic. European Accounting Review 14(3): 635–655

    Article  Google Scholar 

  • Keller, S.B. 1986. Reporting Timeliness in the Presence of Subject to Audit Qualifications. Journal of Business Finance & Accounting 13(1): 117–124

    Article  Google Scholar 

  • Kenley, W.J. & G.J. Staubus. 1974. Objectives and Concepts of Financial Statements. Accounting Review 49(4): 888–889

    Google Scholar 

  • Krishnan, G.V. 2005. The Association between Big 6 Auditor Industry Expertise and the Asymmetric Timeliness of Earnings. Journal of Accounting, Auditing & Finance 20(3): 209–228

    Google Scholar 

  • Kross, W. & D.A. Schroeder. 1984. An Empirical Investigation of the Effect of Quarterly Earnings Announcement Timing on Stock Returns. Journal of Accounting Research 22(1): 153–176

    Article  Google Scholar 

  • Kulzick, R.S. 2004. Sarbanes-Oxley: Effects on Financial Transparency. S.A.M. Advanced Management Journal 69(1): 43–49

    Google Scholar 

  • Lawrence, J.E. & H.D. Glover. 1998. The Effect of Audit Firm Mergers on Audit Delay. Journal of Managerial Issues 10(2): 151–164

    Google Scholar 

  • Leventis, S. & P. Weetman. 2004. Timeliness of Financial Reporting: Applicability of Disclosure Theories in an Emerging Capital Market. Accounting and Business Research 34(1): 43–56

    Google Scholar 

  • McGee, R.W. 2006. Timeliness of Financial Reporting in the Energy Sector. Russian/CIS Energy & Mining Law Journal 4(2): 6–10

    Google Scholar 

  • McGee, R.W. 2007a. Corporate Governance in Russia: A Case Study of Timeliness of Financial Reporting in the Telecom Industry, International Finance Review 7: 365–390

    Article  Google Scholar 

  • McGee, R.W. 2007b. Corporate Governance and the Timeliness of Financial Reporting: A Case Study of the Russian Energy Sector. Fifth International Conference on Accounting and Finance in Transition. London, 12–14 July 2007

    Google Scholar 

  • McGee, R.W. 2007c. Transparency and Disclosure in Russia. In T.M. Mickiewicz (ed.), Corporate Governance and Finance in Poland and Russia, pp. 278–295, London: Palgrave Macmillan

    Google Scholar 

  • McGee, R.W. & D.N. Igoe. 2008. Corporate Governance and the Timeliness of Financial Reporting: A Comparative Study of Selected EU and Transition Countries. Proceedings of the 43rd Annual Western Regional Meeting of the American Accounting Association, San Francisco, 1–3 May 2008, 74–87

    Google Scholar 

  • McGee, R.W. & G.G. Preobragenskaya. 2005. Accounting and Financial System Reform in a Transition Economy: A Case Study of Russia. New York: Springer

    Google Scholar 

  • McGee, R.W. & G.G. Preobragenskaya. 2006. Accounting and Financial System Reform in Eastern Europe and Asia. New York: Springer

    Google Scholar 

  • McGee, R.W. & T. Tarangelo. 2008. The Timeliness of Financial Reporting and the Russian Banking System: An Empirical Study. In R.W. McGee (ed.), Accounting Reform in Transition and Developing Economies, New York: Springer

    Google Scholar 

  • McGee, R.W. & X.Yuan. 2008. Corporate Governance and the Timeliness of Financial Reporting: An Empirical Study of the People's Republic of China. International Journal of Business, Accounting and Finance, forthcoming

    Google Scholar 

  • Organisation for Economic Cooperation and Development. 1998. Global Corporate Governance Principles. Paris: OECD

    Google Scholar 

  • OECD. (2004). OECD Principles of Corporate Governance. Paris: OECD

    Google Scholar 

  • Pope, P.F. & M. Walker. 1999. International Differences in the Timeliness, Conservatism, and Classification of Earnings. Journal of Accounting Research 37 (Supp.): 53–87

    Article  Google Scholar 

  • Prickett, R. 2002. Sweet Clarity. Financial Management (September): 18–20

    Google Scholar 

  • Rees, W.P. & B. Giner. 2001. On the Asymmetric Recognition of Good and Bad News in France, Germany and the UK. Journal of Business Finance & Accounting 28(9 & 10): 1285–1332

    Google Scholar 

  • Soltani, B. 2002. Timeliness of Corporate and Audit Reports: Some Empirical Evidence in the French Context. The International Journal of Accounting 37: 215–246

    Article  Google Scholar 

  • Trueman, B. 1990. Theories of Earnings-Announcement Timing. Journal of Accounting & Economics 13: 285–301

    Article  Google Scholar 

  • Whittred, G.P. 1980. Audit Qualification and the Timeliness of Corporate Annual Reports. The Accounting Review 55(4): 563–577

    Google Scholar 

  • Whittred, G. & I. Zimmer. 1984. Timeliness of Financial Reporting and Financial Distress. The Accounting Review 59(2): 287–295

    Google Scholar 

  • World Bank. (2001). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Republic of Croatia, September. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2002). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Georgia, March. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2002). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Czech Republic, July. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2002). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Republic of Lithuania, July. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2002). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Bulgaria, September. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2002). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Latvia, December. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2003). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Hungary, February. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2003). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Slovak Republic, October. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2004). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Romania, April. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2004). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Moldova, May. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2004). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Slovenia, May. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2005). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Armenia, April. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2005). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Macedonia, June. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2005). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Poland, June. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2005). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Azerbaijan, July. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2006). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Bosnia and Herzegovina, June. Washington, DC: World Bank.http://www.worldbank.org.

  • World Bank. (2006). Report on the Observance of Standards and Codes (ROSC), Corporate Governance Country Assessment, Ukraine, October. Washington, DC: World Bank.http://www.worldbank.org.

Download references

Author information

Authors and Affiliations

  1. Barry University, Florida, USA

    Michael Tyler

Authors
  1. Robert W. McGee
    View author publications

    You can also search for this author in PubMed Google Scholar

  2. Michael Tyler
    View author publications

    You can also search for this author in PubMed Google Scholar

Editor information

Editors and Affiliations

  1. Florida International University, North Miaimi, FL, USA

    Robert W. McGee

Rights and permissions

Reprints and permissions

Copyright information

© 2008 Springer Science + Business Media, LLC

About this chapter

Cite this chapter

McGee, R.W., Tyler, M. (2008). The Timeliness of Financial Reporting: A Comparative Study of Russian and Non-Russian Companies. In: McGee, R.W. (eds) Corporate Governance in Transition Economies. Springer, Boston, MA. https://doi.org/10.1007/978-0-387-84831-0_14

Download citation

Publish with us

Policies and ethics

Search

Navigation