AI mentions soar in European earnings calls this year

The conversation around artificial intelligence (AI) is growing rapidly during earnings calls in Europe. Companies across various sectors are discussing AI more than ever to improve efficiency and stay competitive. In the fourth quarter, mentions of "AI" on earnings calls for companies in the Stoxx Europe 600 index reached a record 1,788. This is about 20% more than the previous year. Technology companies lead the discussion, especially following the rise of Chinese startup DeepSeek in January. SAP SE, Europe’s largest software company, recorded the most mentions of AI with 81. Other companies, like Logitech and Sage Group, also noted high mention rates. AI’s influence is spreading beyond tech. Companies in sectors like recruitment, health care, and telecommunications are increasingly discussing AI too. For example, Finnish phone company Elisa Oyj's mentions jumped from seven last year to 37 this year as they utilize AI for marketing and customer service. Elisa's CEO, Topi Manner, believes that advancements like DeepSeek will drive more businesses to adopt AI, making it more affordable and versatile. The use of AI is particularly growing in consumer and health care sectors. Analysts expect that AI will enhance efficiency in areas like advertising, customer experience, and drug development. For instance, Rightmove, a UK property portal, and Adecco, a recruitment firm, are both ramping up their AI efforts. In banking, the term "AI" is being used more often than "ESG" for the first time in six years, showing its growing importance. Royal Philips NV’s CEO, Roy Jakobs, noted a significant increase in AI mentions on their calls, reflecting the company's innovation driven by AI. Almost half of Philips' sales now come from new products launched in the last three years.