There was a significant bounce back in sentiment among finance chiefs in the second half of this year, according to the latest survey of European CFOs carried out by Deloitte.
The accounting and consulting group surveyed 1,578 chief financial officers (CFOs) based in 18 countries across the continent for its latest study.
The survey was conducted in September as Covid-19 case numbers began to surge again.
However, sentiment had soared since the previous study, which was conducted in March as the pandemic was taking off globally and lockdown measures were being introduced in most countries.
In the most recent survey, half of CFOs said they felt more optimistic about the financial prospects for their company. That was five times the proportion expressing similar sentiments in March.
In a reversal of expectations, 54% said they were anticipating that revenues would increase over the next 12 months, compared to 30% who expected revenues to drop.
This is almost the precise opposite of what was recorded in March, when only 26% expected revenues to increase and 60% expected a drop.
The report points to a divide in sentiment along sectoral lines rather than national lines.
About two thirds of European finance leaders in the transport and logistics sector and just over half of those in industrial products and services expressed greater confidence in future prospects than three months ago.
That reflects the swift recovery in global trade and industrial production.
In contrast, just over a quarter of CFOs in tourism and travel said they felt more optimistic about the future than three months ago.
CFOs in the retail sector are most likely to report that their companies' levels of revenue generation are already at or above pre-crisis levels.
This is presumed to reflect enhanced consumer activity in the grocery retail trade as well as in the online retail space.
"Different parts of the economy are experiencing markedly different recoveries: while some sectors are rebounding quickly, others remain stuck on a downward trajectory and face a long and uncertain road ahead," Daniel Gaffney, Partner, Deloitte Ireland said.
"While CFOs across Europe are generally optimistic, the fact remains that Brexit will have a unique impact on Ireland and remains a significant risk factor for companies across all sectors here," Mr Gaffney said.
"Irish businesses must not lose sight of this as they continue to recover from the initial shock of the pandemic and prepare for the year ahead," he added.
