FINANCIAL REPORTING & IR

As investor relations professionals, staying ahead of the curve involves understanding not just the numbers, but the mindset and priorities of Canada’s business leaders. The 2025 KPMG CEO Outlook offers a window into what’s top-of-mind for Canadian CEOs as they navigate their organizations through a landscape marked by economic uncertainty, rapid technological change, and shifting workforce dynamics.

Confidence in Company Growth, Caution About the Economy

Canadian CEOs are showing a notable split in their outlook. While only 74% express confidence in the Canadian economy and just 63% in the global economy, a robust 79%  remain optimistic about their own company’s growth prospects. This signals a strategic shift as leaders are focusing on what they can control, such as driving productivity, investing in talent and embracing technology, rather than waiting for broader economic conditions to improve.

Artificial Intelligence: The Top Investment Priority

AI has moved from buzzword to boardroom priority. In Canada, 78% of CEOs say AI is their top investment focus, outpacing the global average. Nearly three-quarters plan to allocate 10%-20% of their budgets to AI initiatives over the next year. This isn’t just about adopting new tools; it’s about fundamentally transforming how businesses operate, compete and grow.

For investor relations officers, this means that AI is likely to feature prominently in corporate strategy discussions, investor presentations and disclosures. CEOs are looking for disciplined capital deployment, ensuring that AI investments align with business strategy and deliver real productivity gains. Employee buy-in, training and literacy are seen as critical for successful adoption.

Talent and Upskilling: The Productivity Challenge

Canada’s longstanding productivity challenge remains front and centre. CEOs recognize that boosting productivity requires more than technology; it demands investment in people. While 95% plan to increase headcount over the next three years, only 17% feel their organizations are equipped to upskill employees to fully leverage AI. Fewer than one in five CEOs are confident their teams can harness AI’s full potential.

Competition for AI talent is fierce. Retaining, retraining, and hiring people with the right skills is a major focus, but the limited pool of experienced AI professionals is a constraint. For IR professionals, this trend may translate into increased disclosure around workforce development, talent strategy and the impact of technology on organizational culture.

Operational Efficiency and Resilience

Supply chain resilience has emerged as the top concern for Canadian CEOs, followed by regulatory pressures, cybersecurity and the ethical and governance challenges of AI. Leaders are doubling down on operational efficiency, talent strategy and digital transformation. AI has overtaken ESG as the top priority, reflecting a pragmatic approach to navigating uncertainty.

To mitigate risks and build resilience, CEOs are increasing investments in cybersecurity, regulatory compliance, technology innovation and supply chain continuity. These areas are likely to be key talking points in investor communications, as stakeholders seek reassurance that companies are prepared for both current and emerging risks.

Leadership for a Transforming Economy

The CEO Outlook highlights the leadership qualities Canadian executives believe are essential for success in today’s environment:

• Leading transformation and culture change;
• Acting with agility and making faster decisions under pressure;
• Strategic foresight and scenario planning; and
• Ensuring AI understanding and literacy across the organization

For investor relations officers, these qualities are not just internal priorities – they shape the narrative that companies present to the market. Transparent communication about how leadership is driving transformation, managing risks and fostering innovation will be critical in building investor confidence.

What This Means for Investor Relations

The trends identified in the 2025 KPMG CEO Outlook have direct implications for the investor relations community:

1. Expect More Focus on AI and Technology in Investor Communications:
AI is no longer a future consideration; it has become essential to current business strategy. IR professionals should be prepared to discuss how AI investments are being made, how they align with business strategy and what steps are being taken to ensure successful adoption.

2. Talent Strategy Will Be Under the Microscope:
Investors will want to know how companies are addressing the talent gap, especially in AI and technology. Clear communication about workforce development, upskilling initiatives, and culture change will be important.

3. Risk Management and Resilience Are Key Themes:
With supply chain, cybersecurity and regulatory pressures top of mind, IR teams should highlight how their organizations are building resilience and managing risks.

4. Leadership Matters:
Investors are looking for evidence of strong, agile leadership that can navigate uncertainty and drive transformation. Sharing stories of leadership in action can help build trust and credibility.

Canadian CEOs are responding to uncertainty with boldness and discipline by investing in AI, focusing on talent and building operational resilience. For investor relations officers, understanding these priorities and communicating them effectively to the investment community will be essential in 2026 and beyond.

Terry Liu, CPA, is a Partner, and Brian Rajadurai, CPA is a Senior Manager, at KPMG Canada.