ASML Offers Upbeat First-Quarter Revenue Outlook as Fourth-Quarter Results Top Views

MT Newswires
01-29
ASML.jpg -Shutterstock
ASML's (ASML) US-listed shares spiked early Wednesday as the Dutch chip equipment maker issued an upbeat first-quarter revenue outlook after recording better-than-expected results in the preceding three-month period.

The company anticipates sales to be in a range of 7.5 billion euros ($7.81 billion) to 8 billion euros ($8.33 billion) for the ongoing quarter, compared with the current consensus on FactSet for 7.21 billion euros. Gross margin is pegged at 52% to 53%. ASML's stock on the Nasdaq spiked nearly 7% in premarket activity.

"Consistent with our view from the last quarter, the growth in artificial intelligence is the key driver for growth in our industry," Chief Executive Christophe Fouquet said in a statement. "It has created a shift in the market dynamics that is not benefiting all of our customers equally, which creates both opportunities and risks as reflected in our 2025 revenue range."

For the full year 2025, ASML continues to project sales to come in between 30 billion euros and 35 billion euros, while the Street is looking for 32.09 billion euros. The company sees potential for the topline to reach the higher end of the range if demand for AI "remains strong and our customers are capable to build some capacity," Fouquet said in a video interview, according to a transcript published on ASML's website.

"On the other hand, there's still quite some uncertainty on the other customers and this also justifies the lowest part of the range," according to Fouquet.

The chipmaker reported sales of 9.26 billion euros for the December quarter, up from 7.24 billion euros last year, topping the average analyst estimate of 9.06 billion euros. Net income increased to 6.84 euros a share from 5.20 euros in the prior-year quarter, ahead of the Street's view for 6.72 euros.

System sales climbed to 7.12 billion euros from 5.68 billion euros last year, while service and field option revenue inclined to 2.15 billion euros from 1.55 billion euros. Bookings amounted to 7.09 billion euros, down from 9.19 billion euros the year before, but up from 2.63 billion euros in the previous three-month period.

Gross margin came in at 51.7%, compared with 51.4% a year ago, mainly driven by the additional upgrade business recorded in the quarter, Chief Financial Officer Roger Dassen said in the interview. The company reiterated its full-year gross margin guidance range of 51% to 53%.













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