PwC survey shows confidence at a five-year low as leaders question whether they are adapting fast enough.
Irish chief executives have become markedly less confident about their companies’ revenue prospects, according to PwC’s 2026 Irish and Global CEO Survey, published on Tuesday in Dublin and at the World Economic Forum in Davos.
Only 26% of Irish CEOs expect revenue to grow this year, compared with 43% in 2025 and 60% in 2022.
“A small group of companies are already turning AI into measurable financial returns, while many others are still struggling to move beyond pilots”
The global figure stands slightly higher at 30%. PwC said the findings indicate that many businesses have yet to translate investment in artificial intelligence into measurable financial returns as they navigate geopolitical uncertainty, rising costs and rapid technological change.
Economic sentiment also dipped. 63% of Irish CEOs believe the domestic economy will improve over the next 12 months, down from 74% a year ago. Globally, 61% expect an improvement.
The survey drew on responses from 4,454 CEOs across 95 countries, including 57 in Ireland.
AI as a fault line for growth
AI has become the sharpest dividing line between companies that are advancing and those falling behind. Irish CEOs identify the pace of technological change as their most pressing concern, with 51% saying they worry their organisation is not transforming quickly enough.
Just 17% of CEOs in Ireland report revenue gains from AI in the past year, compared with 29% globally. A quarter say they have achieved cost reductions. However, only 8% of Irish leaders have applied AI across multiple areas of their business, around half the global rate. The talent gap is also stark. 19% of Irish CEOs believe they can attract high‑quality AI specialists, compared with 42% internationally.
PwC said strong foundations matter as much as scale. Companies with enterprise‑wide AI integration and responsible‑AI frameworks are three times more likely to see significant financial gains. Separate PwC analysis shows that broad AI deployment in products, services and customer experiences is associated with profit margins nearly four percentage points higher than those of peers.
“2026 is shaping up as a decisive year for AI,” said Mohamed Kande, PwC’s global chair. “A small group of companies are already turning AI into measurable financial returns, while many others are still struggling to move beyond pilots. That gap is starting to show up in confidence and competitiveness and it will widen quickly for those that don’t act.”
Mounting external risks
Irish CEOs say the external environment remains difficult. More than a quarter report significant exposure to macroeconomic volatility.
“The uncertainty that continues to surround global trade and geopolitics means Irish businesses cannot afford to focus narrowly on short‑term activities”
Perceptions of geopolitical risk have risen sharply, with 21% saying their organisations are highly exposed to conflict, up from 13% last year. Exposure to technology disruption has also edged higher.
While only 7% see a high risk of substantial financial losses from tariffs, almost one in four say tariffs will dent profits in the year ahead. 82% plan to strengthen cybersecurity in response to geopolitical threats.
Nearly a third expect to make fewer large investments this year because of global uncertainty.
Reinvention moves up the agenda
Despite the subdued outlook, reinvention is gaining traction across boardrooms. 47% of Irish CEOs say their company has expanded into new sectors within the past five years, a substantial jump from 32% last year. 14% plan to invest in the technology sector.
Enda McDonagh, managing partner at PwC Ireland, said the challenge for CEOs is to rethink how their businesses create value.
“The uncertainty that continues to surround global trade and geopolitics means Irish businesses cannot afford to focus narrowly on short‑term activities,” he said. “Reinvention and innovation must move to the top of the agenda as essential strategies for long‑term viability and competitiveness.”
International expansion remains a priority. 68% of Irish CEOs expect to make overseas investments in the coming year. The UK retains its position as the top destination, followed by the US and Germany. Interest in India has nearly doubled, mirroring the global trend.
Execution remains a sticking point. Only 9% of Irish CEOs say their organisation tolerates high‑risk innovation projects or has disciplined processes to wind down underperforming initiatives. Fewer than a third view innovation as vital to their strategy, compared with half of CEOs globally.
Time is also a constraint. Irish leaders spend 58% of their time on issues with a horizon of less than a year, and just 10% on decisions looking five years or more ahead.
Kieran Little, of Strategy&, PwC’s strategy consulting business, said Irish companies tend to be more cautious in testing new ideas with customers.
“Innovation is critical for future growth,” he said. “In periods of rapid change, the instinct to slow down is understandable but it is also risky. The value at stake across the Irish and global economy is increasing and the window to capture it is narrowing.”
Top image: Photo by Prateek Keshari on Unsplash
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