A quarter is a three-month period on a company's financial calendar that acts as a basis for periodic financial reports and the paying of dividends.
Companies divide their financial year into four parts, called quarters. While some follow the calendar year (Jan–Dec), others set their own schedule.
In finance, a quarter is a three-month period on a company's financial calendar that acts as a basis for periodic financial reports and the paying of dividends. Typically, each quarter begins with the first month of a calendar quarter (January, April, July, October) and ends with the last month of that same calendar quarter.
Q1: Jan 01 - Mar 31
Q2: Apr 1 – Jun 30
Q3: July 1 – Sep 30
Q4: Oct 1 – Dec 31
Companies divide their financial year into four parts, called quarters. While some follow the calendar year (Jan–Dec), others set their own schedule. For example, a company with a fiscal year from October to September would have Q1 from October to December instead of January to March.
Tracking Performance: Public companies report their earnings every quarter, helping investors and analysts understand how the business is doing.
Paying Dividends: Many companies distribute profits to shareholders every three months.
Business Planning: Regular check-ins every quarter allow businesses to adjust strategies, set goals, and keep stakeholders informed.