Abstract
This study empirically examines the timeliness of financial reporting as an important qualitative characteristic of useful financial information within the context of United Kingdom (UK) charities. Using 8490 UK charitable companies (67,014 observations) during 2007-2018, we find that charities relying more on donation income take a shorter time to file accounts. Moreover, we observe that charities operating in more competitive donation markets are more inclined to provide timely financial disclosures. Similar to for-profit organizations, charities tend to delay their financial statements filings when reporting deficit, negative equity, low liquidity, and high leverage. In addition, our analysis shows that charities with higher accruals quality, unqualified audit opinions, and subject to audits by industry-specialized auditors publish their annual accounts earlier. Our findings have important implications for charities, donors as critical stakeholders, regulators, and scholars.