During every reporting period, some executives like to complain that earnings calls are a waste of time. This is especially because the calls never seem to attract any attention from the public.
Many CFOs wonder how they can best improve the accessibility of the calls to the general public. Here are some tips that can help managers improve accessibility to their earnings calls and delight the public in the process.
Many companies only offer a single way for the public to access their earnings calls. Telephone calls are the most preferred way of making the calls available. However, there are other options that can make calls more accessible. Examples of these options include online call sessions, live video streaming, webcasts, and podcasts.
Offering a variety of options allows the public to join earnings calls through methods that are more convenient for them. Moreover, presenting multiple options of joining the calls increases the transparency of the company in the public eye.
Companies can also supplement their calls with additional media announcements. For instance, companies can live-tweet calls on Twitter or post on LinkedIn and Facebook to generate interest in the earnings calls among the general public.
Transcribing your company’s earnings calls using transcription services is a great way of addressing the public’s demand for information. Earnings calls are often long. Very few people would want to sit through an hour-long call.
However, a transcribed document is much faster to read as it can be easily scanned. It is also easier to search for information on transcripts than on audio files. With just a few keywords, a person interested in your firm’s earnings calls can find the information they need if the transcripts have been posted online.
Transcribing calls can make earnings information easily accessible to the public and investors who might have missed the call. Moreover, even participants who attended the call can have something to refer to or get highlights of important information from the transcripts.
Additionally, it is easier for journalists to lift and directly quote interesting earnings information from a transcript. The same cannot be said about information from an audio file.
To make your work easier, hire a professional transcription services company. An inaccurately transcribed file can be detrimental to your brand and it would turn off interested parties.
Companies should provide archived earnings calls in a variety of formats, such as webcasts, audio files, slide presentations, and full-text transcripts. Earnings call archives should be made available for a variety of reasons, including to comply with the Fair Disclosure Regulation. The archives would provide a reference point to people who might need information about a company’s past earnings calls, or those who may need to double-check important details.
Unfortunately, most companies limit access to their archived earning calls files due to liability concerns. For instance, most audio files are archived for less than 90 days. Such limitations make it difficult for the public to access the information at a later date.
However, slides and transcribed documents are likely to be archived for a longer period. Therefore, companies should consider archiving their earnings call records in such formats. The archived documents should also be available in easily downloadable formats, such as RAR or ZIP files.
More companies are acknowledging the importance of encouraging public participation and interest in their earnings calls. However, many companies are still struggling to increase public interest in the calls. Management can use the three tips above to generate interest and improve the accessibility of their company’s earnings calls to the public. Providing earnings calls also helps to portray a company as authentic and transparent.
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