NEW YORK, NEW YORK CFOs Quarterly Global Confidence Survey reveals that 30% of finance chiefs plan to increase capital spending next quarter, while 40% intend to do so over the next fiscal year. The survey, appearing in the March issue of CFO magazine, reports 33% of the respondents are either confident or very optimistic about the domestic economy over the next year, a 22 percent rise over last quarter.
The newly found assurance may be tied to the confidence CFOs place in their companies second-quarter sales and profit performance. A whopping 70% say Q2 2002 profits will increase compared with those of Q2 2001. Fifty-nine percent predict a rise in second-quarter revenues over last years mark.
The top four concerns this quarter are the economic downturn, increasing competition, lack of capital, and an increase in the cost of capital.
Apparently, time heals all confidence problems. An astonishing 91% of the CFOs polled say they are either confident or very optimistic about the U.S. economy over the next five years; 75% feel the same way about long-term global prospects, which is a 10 percentage point rise over last year.
More information from CFOs Quarterly Global Confidence Survey can be found at www.cfo.com.
CFO is published by CFO Publishing and is a member of the Economist Group. With a rate base of 450,000 and a readership of more than one million each month, CFO reaches the highest ranking executives of the largest companies in America. CFO is also published worldwide, covering the global market with CFO Europe, CFO Asia, and CFO China.