Chief Financial Officers at middle market retailers are feeling cautiously optimistic despite inflation and ongoing supply-chain issues, according to the 2023 BDO Middle Market CFO Outlook Survey.
“To prepare for a potential recession, nearly half (49 percent of respondents) at retailers are reducing overall inventory. They are also leaning into technology and select digital investments to address ongoing issues and prepare for the uncertainty that lies ahead,” states the report on the survey’s results.
Overall, the survey reflects an upbeat outlook, with nearly half (47 percent) of respondents from a variety of industries predicting double-digit growth in 2023, up from 32 percent a year before. These projections, in turn, follow an unexpectedly strong 2022, in which 79 percent of companies surveyed saw revenue and profitability growth.
Now, CFOs see opportunity in the year ahead.
“Middle market CFOs are focused on the future, leaning into their mandate to foster sustainable growth,” said Wayne Berson, CEO of BDO USA. “To make the most of a slowing economy, this means leaning into the principles of strategic resilience and making smart investments to bolster operations while also empowering your people.”
The survey gathered responses 625 middle market CFOs in the U.S. It was conducted for BDO by Rabin Research Co., an independent market research firm, in October 2022.