See all press releases

Press Release

Strong DUV demand drives solid Q1 results and confirms positive outlook for 2018

Multiple EUV orders, including High-NA, demonstrate further adoption of EUV technology

Veldhoven, the Netherlands, April 18, 2018

ASML Holding N.V. (ASML) today publishes its 2018 first-quarter results.


  • Q1 net sales of EUR 2.29 billion, net income EUR 540 million, gross margin 48.7%
  • ASML expects Q2 2018 net sales between EUR 2.5 billion and EUR 2.6 billion and a gross margin around 43% reflecting a significant increase in EUV sales
(Figures in millions of euros unless otherwise indicated) Q4 2017 (1) Q1 2018
Net sales 2,561 2,285
...of which Installed Base Management sales(2) 606 617
     
Other income (Co-Investment Program) 24 0
     
New lithography systems sold (units) 48 48
Used lithography systems sold (units) 9 1
     
Net bookings (3) 2,935 2,442
     
Gross profit 1,156 1,113
Gross margin (%) 45.2 48.7
     
Net income 644 540
EPS (basic; in euros) 1.50 1.26
     
End-quarter cash and cash equivalents and short-term investments 3,288 3,194
1As of January 1, 2018, ASML has adopted the new Revenue Recognition Standard (ASC 606) and Lease Standard (ASC 842). The fourth-quarter figures have not been adjusted to reflect these changes in accounting policy.
2 Installed Base Management sales equals our net service and field option sales.
3 Bookings do not include High-NA EUV orders.
A complete summary of US GAAP Consolidated Statements of Operations is published on www.asml.com.

CEO statement

"Our first quarter sales were somewhat stronger than expected and our gross margin was above our guidance, mostly driven by the volume and mix of our DUV and holistic litho products. During the quarter we shipped three EUV systems and an additional system is in the process of being shipped. The continued growth of our EUV business is confirmed by nine more orders for NXE:3400B EUV systems in Q1. Customers have publicly discussed taking EUV into high-volume production starting by the end of this year. We will support this launch with a plan to ship 20 EUV systems in 2018 and have production capacity for at least 30 systems in 2019. Furthermore, regarding the next-generation EUV platform, High-NA, we received the first four orders from three customers and we also sold options to buy eight more systems. High-NA is an extension of EUV lithography and will enable geometric chip scaling beyond the next decade, offering a resolution and overlay capability which is 70% better than today’s most advanced EUV systems," said ASML President and Chief Executive Officer Peter Wennink.


"All in all, we saw a good start of the year and we reiterate our expectation for continued solid growth in 2018, both in sales and profitability."


Q1 product highlights
  • In our DUV business, our latest NXT machines have shown capability to run in excess of the productivity milestone of 6,000 wafers per day, with an average 5% productivity increase over 12 months, supporting our customers' value requirements.
  • In our Holistic Lithography product portfolio to date we have shipped multiple e-beam-based pattern fidelity metrology systems (ePfm5) which deliver high resolution capability to detect systematic defects. This innovation, where ASML's e-beam metrology is combined with its computational lithography software, will make it possible to provide e-beam-based feedback to the lithography scanner in a production environment. We also demonstrated the first proof of concept of multiple e-beams to further improve productivity of e-beam metrology and expand the application opportunity in high volume production.
  • Throughput of our EUV platform continued to improve, with more than 125 wafers per hour measured at a customer site (testing based on ASML's Acceptance Test Procedures - ATP), meeting the productivity milestone agreed with our customers. We also demonstrated 140 wafers per hour at ASML.

Outlook

For the second-quarter of 2018, ASML expects net sales between EUR 2.5 billion and EUR 2.6 billion, a gross margin around 43%, reflecting a significant increase in EUV sales, R&D costs of about EUR 375 million, SG&A costs of about EUR 115 million. Our target effective annualized tax rate is around 14%.


Dividend proposal

ASML has submitted a proposal to the 2018 Annual General Meeting of Shareholders to declare a dividend in respect of 2017 of EUR 1.40 per ordinary share (for a total amount of approximately EUR 600 million), compared with a dividend of EUR 1.20 per ordinary share paid in respect of 2016.


Update share buyback program

As part of ASML’s financial policy to return excess cash to shareholders through dividends and regularly timed share buybacks, in January 2018 ASML announced its intention to purchase up to EUR 2.5 billion of shares to be executed within the 2018–2019 time frame. ASML intends to cancel these shares after repurchase, with the exception of up to 2.4 million shares which will be used to cover employee share plans.


Through April 1, 2018, ASML has acquired 1.0 million shares under this program for a total consideration of EUR 170 million.


The current program may be suspended, modified or discontinued at any time. All transactions under this program are published on ASML’s website on a weekly basis.


Investor and media conference call

A conference call for investors and media will be hosted by CEO Peter Wennink and CFO Wolfgang Nickl at 15:00 Central European Time / 09:00 AM U.S. Eastern time. To register for the call and receive dial-in information, follow the link below. Listen-only access is also available via www.asml.com.


About ASML


ASML is one of the world’s leading manufacturers of chip-making equipment. Our vision is a world in which semiconductor technology is everywhere and helps to tackle society’s toughest challenges. We contribute to this goal by creating products and services that let chipmakers define the patterns that integrated circuits are made of. We continuously raise the capabilities of our products, enabling our customers to increase the value and reduce the cost of chips. By helping to make chips cheaper and more powerful, we help to make semiconductor technology more attractive for a larger range of products and services, which in turn enables progress in fields such as healthcare, energy, mobility and entertainment. ASML is a multinational company with offices in more than 60 cities in 16 countries, headquartered in Veldhoven, the Netherlands. We employ more than 23,000 people on payroll and flexible contracts (expressed in full-time equivalents). ASML is traded on Euronext Amsterdam and NASDAQ under the symbol ASML. More information about ASML, our products and technology, and career opportunities is available on www.asml.com.

Regulated information


This press release contains inside information within the meaning of Article 7(1) of the EU Market Abuse Regulation.

US GAAP financial reporting


ASML's quarterly financial reporting is prepared in accordance with US GAAP, the accounting principles generally accepted in the United States of America. The consolidated balance sheets of ASML Holding N.V. as of March 31, 2019, the related consolidated statements of operations and consolidated statements of cash flows for the three months ended March 31, 2019 as presented in this press release are unaudited and available on www.asml.com.

Forward-looking statements


This press release contains forward looking statements, which you can generally identify by the use of words like "may," "will," "expect," "contemplate," and variations of these words or comparable words. The forward looking statements contained herein include statements relating to the Memorandum of Understanding, the expectation of executing a definitive settlement and cross-license agreement and dismissal of all legal proceedings in February 2019 and the terms of such agreements and related matters. These statements are not historical facts, but rather are based on current expectations, estimates, assumptions and projections and you should not place undue reliance on them. Forward-looking statements do not guarantee future performance and involve risks and uncertainties. These risks and uncertainties include, without limitation, the risk that definitive agreements are not entered into within the expected time-frame indicated above or at all and risks relating to the terms of such agreements and other risks indicated in the risk factors included in ASML’s Annual Report on Form 20-F and other filings with the US Securities and Exchange Commission. These forward-looking statements are made only as of the date of this document. We do not undertake to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise.

Contact information