PROVIDENCE – Middle-market companies are accelerating their artificial intelligence investments at the fastest pace yet, according to Citizens Financial Group Inc.’s third annual AI Trends in Financial Management Survey released Dec. 8.
The survey found that 82% of companies plan to increase AI spending over the next five years, up sharply from 58% in 2023 and 69% in 2024, reflecting growing confidence in the technology’s financial impact.
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That momentum is being driven by measurable returns: 61% of chief financial officers that were surveyed said AI is already making financial processes easier, and companies report an average 35% return on AI investments, approaching the 41% return on investment they say would mark a successful deployment.
AI capabilities are also reshaping how private-equity firms evaluate companies. Ninety-seven percent of private-equity leaders say a strong AI strategy now makes a business more attractive for acquisition, signaling a shift in how operational readiness and long-term competitiveness are being judged.
“Artificial intelligence isn’t just a buzzword. It’s delivering measurable results and shaping valuations,” said Mark Lehmann, vice chair of Citizens Commercial Bank. “Private-equity firms are actively seeking companies with strong AI strategies.”
The survey, conducted in October, included responses from 134 middle-market chief financial officers and 153 financial leaders at private-equity firms.
The survey also found that fraud prevention remains one of the most widely adopted AI applications, spanning cybersecurity, identity verification and real-time transaction monitoring.
Adoption of agentic AI, which are systems capable of executing complex tasks autonomously, is similarly rising quickly, according to the survey.
Early adopters are reporting across-the-board gains, with 99% citing improved efficiency and productivity as 82% of middle-market companies and 95% of private-equity firms move to deploy AI.
The survey results also showed a shift toward building AI expertise in-house. Reliance on external AI partners dropped to 58% of middle-market companies, down from 64% last year, while private-equity firms reported an even steeper decline.
Both groups agreed that customer satisfaction, not competitive edge, is the most important benchmark for successful AI implementation.
Matthew McNulty is a PBN staff writer. He can be reached at McNulty@PBN.com or on X at @MattMcNultyNYC.
