In many ways, 2022 was another exceptional year. Post-pandemic optimism was soon superseded by the humanitarian crisis of the Ukraine conflict and tumult in the global economy. The energy crisis and rising inflation have changed the Finnish and international markets – permanently in some respects.

Published for the eleventh time, the Survey of Large Corporations‍ reveals that Finnish large companies have strong finances, despite the storm clouds on the economic horizon.

In 2022, cumulative net sales grew more rapidly than ever. Average net profit compared to net sales also rose to a record level. As Finland’s biggest lender to the private sector, we too regard the situation of large corporations as stable. Many large companies have a strong balance sheet and good liquidity.

Caution predominates in the survey results, despite the respondents’ lack of financial concerns. A year ago, a record high share of big businesses intended to expand; this time, the share of such companies fell by over 15 percentage points, to only a fifth of the respondents. In 2023, 45 per cent of large corporations will aim for greater operational efficiency and productivity rather than expansion.

The good news is that investments will continue, despite the focus on efficiency. Large companies’ investment projects are often long term and not easily deflected by sudden market fluctuations.

On the other hand, the energy and inflation crises have prompted big companies to turn frugal, focusing investment more on continuity than before. Forecasts of investment growth have fallen in almost all categories, for both tangible and intangible investments, since last year. However, almost 90 per cent of large companies say they are ready to invest rapidly if prospects emerge of medium-term growth in demand.

The survey reveals confidence about the post-crisis period. More than three out of four respondents felt that their companies were clear about how they would develop their businesses in the environment following the Ukraine war.

Big companies view financial resources as their strongest means of fast adaptation. Other sources of resilience include customer relationships and core, production-related activities. Respondents name rising inflation, labour shortages and unreliable supply chains as their greatest vulnerabilities.

Our Survey of Large Corporations‍ has again lifted the curtain on the mood inside big companies in Finland. I would like to give my warm thanks to the contributors. We now, more than ever, need the insights of large companies to help us penetrate the mist shrouding the global economy and Finnish enterprise.