Most Irish CEOs are optimistic about the economic and business outlook over the next 12 months, new data shows.
The latest EY CEO Outlook surveyed 1,200 executives globally – including CEOs in Ireland.
60% of Irish CEOs surveyed said they are either very or somewhat optimistic about managing input costs and the overall cost of doing business in the upcoming year.
Meanwhile, 60% expect revenue to grow, while 67% are predicting profitability.
“Increasingly, we are seeing that CEOs are starting to shift from being reactive to proactive in a bid to get ahead,” said Helena O’Dwyer, Head of Strategy at EY-Parthenon Ireland.
“A combination of pragmatic optimism and a fear of being left behind is expected to drive investment and activity over the coming months,” she added.
Today’s survey shows that the optimism amongst CEOs here is in line with international trends.
Almost 70% of CEOs surveyed globally are feeling optimistic about the outlook for the coming year.
Globally, shifting geopolitical disruption was cited as one of the top three disruptive forces over the coming year, however this ranked fourth amongst CEOs in Ireland.
AI and emerging technologies, supply chain pressures, and climate change and environmental issues were also cited as key disruptive forces.
The findings show that this optimism on business performance is leading to an increasingly positive outlook on M&A from CEOs.
Globally, 70% of CEOs are seeking M&A and transaction opportunities, while half of respondents in Ireland said they are considering strategic divestments, spin offs or initial public offerings (IPOs).
According to EY Competitive Edge Research, there has been an increase in activity in the Irish market, with 921 M&A transactions recorded in the 12 months to October.
Despite the positive findings, today’s research shows that concerns remain over attracting and retaining talent.
While over half of CEOs here feel confident they can attract and retain talent, this trails behind the global average of 70%.
EY said this reflects a tightening of the labour market at home and highlights a skills shortage in key sectors with the country at near full employment.
Despite the recruitment concerns, almost two thirds of CEOs are confident in being able to offer competitive salaries.
“The talent gap is real, but it presents an opportunity to continue to innovate and invest in our people, making Ireland a magnet for global talent,” said Ms O’Dwyer.
“By focusing on continuous learning and employee development and upskilling, we can turn challenges into a competitive edge,” she added.