Irish CEOs remain confident despite global volatility

92% of Irish chief executives are optimistic about revenue growth, according to EY Ireland’s latest CEO Outlook Survey

EY Ireland partner Helena O'Dwyer: The 'pace and scale of the geopolitical upheaval is extraordinary, and geopolitical risk is... a day-to-day operating reality.' File picture

Despite volatility, and strong concerns over geopolitical risks, the vast majority of Irish chief executives remain confident of growth over the coming 12 months, a new report by EY Ireland has found.

According to EY Ireland’s latest CEO Outlook Survey, 92% of Irish chief executives are optimistic about revenue growth, with the same proportion confident in their competitive position over the next 12 months. 

This compares with 86% of global CEOs in respect of revenue growth and 80% on competitive position.

When Irish chief executives were quizzed about their top concerns, geopolitical tension, instability and conflict stood out with 70% citing this among their top two concerns. This is followed by macroeconomic volatility, cited by 42%, trade and supply chain disruption, cited by 22%, and talent and capability gaps cited by 16%.

Partner at EY-Parthenon Ireland Helena O’Dwyer said the confidence of Irish chief executives “is real” but even still the “pace and scale of the geopolitical upheaval is extraordinary, and geopolitical risk is no longer a background concern, it is a day-to-day operating reality, shaping decisions on costs, supply chains, capital and growth.”

She said that mid-sized businesses in particular might find the challenges presented more difficult.

“They may lack the scale of management capacity to find the time to actively manage these issues, or struggle with the level of working capital or technology to be able to address issues or take advantage of opportunities. 

These leaders are more focused on keeping income steady, reducing costs, looking after staff, and staying connected to customers.”

Despite rising concerns over the high costs of implementing AI in their businesses, 84% of Irish chief executives increased investment in the area last year. However, EY Ireland said the focus is “increasingly shifting from experimentation to the expectation of measurable results”.

The survey found that 58% of chief executives report measurable AI impact in core operations, while 42% say AI regulatory frameworks are fragmented or still evolving, with 26% citing increased compliance complexity.“Leaders in Ireland are now expecting AI to deliver measurable results, with 68% using standard metrics to measure and report on AI impact across major projects.”

For this report, EY Ireland surveyed 1,200 chief executives globally and 40 in Ireland.