ASML Reports Strong Q3 2023 Results and Confirms Growth Expectations

ASML Holding, a global leader in semiconductor equipment manufacturing, has revealed its financial results for the third quarter of 2023. The company reported a robust performance, with notable figures and optimistic projections for the upcoming quarter and the rest of the year.
In Q3 2023, ASML achieved impressive net sales of €6.7 billion, showcasing its position as a prominent player in the semiconductor industry. The gross margin for the same period stood at 51.9 percent, reflecting strong operational efficiency and effective cost management. The net income reported was €1.9 billion, further underlining the company’s financial prowess.

Quarterly net bookings in Q3 amounted to €2.6 billion, with €0.5 billion dedicated to Extreme Ultraviolet Lithography (EUV), a critical technology in advanced semiconductor manufacturing.

Looking ahead to the final quarter of 2023, ASML projects net sales ranging from €6.7 billion to €7.1 billion, with an estimated gross margin falling between 50 percent and 51 percent. These forecasts indicate the company’s confidence in maintaining its financial momentum and strategic execution.

ASML in its earnings report also reaffirms its growth expectations for the year, aiming for an impressive increase of net sales towards 30 percent. The company anticipates a slight enhancement in gross margin compared to the preceding year (2022).

ASML’s President and Chief Executive Officer, Peter Wennink, provided insight into the company’s vision for the coming year. He expressed expectations for 2024 to serve as a transition year, maintaining a conservative revenue outlook akin to 2023. This caution is balanced with a forward-looking perspective, viewing 2024 as pivotal for preparing the groundwork for significant growth expected in 2025.

For the fourth quarter of 2023, ASML forecasts R&D costs to be around €1,030 million and SG&A costs approximately at €285 million. These planned expenditures align with the company’s strategy to drive innovation and operational excellence.

In summary, ASML Holding’s third-quarter results underscore its dominant position in the semiconductor industry and set a positive trajectory for the remainder of the year, with careful considerations for future growth and development.

ASML dominates the market for lithography systems, machines that each cost hundreds of millions of euros are used by chip makers such as TSMC, Samsung and Intel to help create the tiny circuitry of chips.