Surge in number of CFOs predicting return to growth

The number of chief financial officers (CFOs) of Irish companies predicting a return to growth in their companies as early as the second half of 2010 has more than doubled, according to the Quarter 2, 2010 Deloitte CFO Survey.

In addition, almost two thirds of CFOs see profits growing again before year-end, the highest reading since the survey began last summer.

A larger number of businesses (many of which are export-led) are now expecting a return to growth sooner than previously indicated - 65% of respondents believe they will see a return to growth in 2010, compared with last quarter’s figure of 32%.

Some 65% also believe that their companies’ profits will increase over the next six months, compared with 42% in Q1 2010.

However, the majority of respondents (66%) do not expect to see a significant macro economic recovery in Ireland generally until 2011. Just 34% think there will be a return to growth this year despite an increase of 2.7% in GDP for the first quarter of the year.