The logo of ASML, the world's largest semiconductor equipment maker, based in the Netherlands. [Reuters]
The logo of ASML, the world's largest semiconductor equipment maker, based in the Netherlands. [Reuters]

ASML, the world's largest semiconductor equipment maker, reported second-quarter earnings Wednesday that beat market expectations and raised its full-year sales guidance.

The Dutch company said second-quarter sales rose 6.4% quarter-on-quarter to 9.33 billion euros ($10.7 billion), well above the 8.8 billion euros analysts polled by LSEG had forecast.

ASML shipped 86 new lithography systems in the second quarter, up sharply from 67 in the first quarter. The gross margin for the quarter widened to 54.0%, from 53.0% in the prior quarter.

Net profit climbed 5.8% quarter-on-quarter to 2.92 billion euros, also topping the consensus estimate of 2.62 billion euros.

For the third quarter, ASML guided for sales of 11 billion to 12 billion euros and a gross margin of 55 to 57%. For the full year, it forecast sales of 43 billion to 45 billion euros and a gross margin of 54 to 56%. The updated annual sales guidance marks a significant increase from the 36 billion to 40 billion euros the company projected when it reported first-quarter results.

"Continued investment in AI infrastructure and advances in AI technology are driving demand for advanced logic and memory chips, further strengthening the growth outlook for the semiconductor industry," ASML said. "As a result, customers continue to accelerate their capacity expansion plans."

The company said order intake had remained "very strong" in the first half of this year. It plans to expand its Low NA EUV production capacity — currently around 165 units — by 30% next year, with a further 30% increase under consideration for 2028. It is also looking to raise its deep ultraviolet immersion lithography capacity, currently around 130 units, by 30% next year before a potential additional 30% expansion in 2028.

ASML is the only company in the world that produces the advanced lithography systems used to print semiconductor circuits onto wafers.

Meanwhile, ASML said in a press release Wednesday that Intel is using High NA EUV to manufacture some products in its Intel Core Ultra Series 3 processor lineup based on the Intel 18A process.

"This milestone demonstrates that High NA EUV is ready for commercialization in a real mass production environment," ASML added.

The High NA EUV system is priced at more than 350 million euros, roughly double that of its predecessor.


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