asml ships first high-na euv system despite geopolitical headwinds

2025-07-17 asml

Veldhoven, Thursday, 17 July 2025.
asml has shipped its first high-na euv exe:5200 lithography system. This milestone arrives amid concerns about geopolitical risks potentially stalling revenue growth in 2026. Despite these challenges, asml anticipates strong demand for both euv and duv tools this year. Intel is expected to deploy this technology for its 14a process in 2027. The new system is expected to deliver a 60% productivity boost, processing 175 wafers per hour. This shipment solidifies asml’s position in chip manufacturing and influences investor sentiment.

financial performance in second quarter 2025

ASML’s second-quarter results for 2025 show a strong performance [7]. The company reported net sales of €7.7 billion, which is at the higher end of their projected range [2][7]. The gross margin was 53.7%, exceeding expectations [2][7]. Net profit reached €2.3 billion, and new orders totaled €5.5 billion, including €2.3 billion from EUV lithography systems [2][7]. ASML’s strong financial results reflect growth in upgrade services and lower-than-expected tariff impacts [2].

third quarter outlook

Looking ahead to the third quarter of 2025, ASML anticipates revenue between €7.4 billion and €7.9 billion [7]. The company projects a gross margin of 50% to 52% [7]. Net sales from installed base management are expected to reach around €2 billion [7]. These projections indicate continued confidence in ASML’s market position, despite acknowledging potential fluctuations in gross margin due to factors like high-NA system revenue recognition [7].

annual growth projections

For the full year of 2025, ASML expects revenue to increase by approximately 15% compared to the previous year [1][2][4]. Growth in EUV business is projected to be around 30%, driven by the increasing adoption of EUV lithography and the demands of artificial intelligence [1][2][4]. DUV and application businesses are expected to remain stable compared to 2024 [2][4]. Installed base management is projected to grow by about 20%, fueled by significant growth in the first half of the year and continued service enhancements [2][4].

factors influencing market dynamics

ASML identifies artificial intelligence as a primary driver for growth in both logic and memory chip sectors [2][7]. The company anticipates growth in the logic chip market as clients expand their advanced process chip production [2][7]. The memory chip market is expected to remain strong, with ongoing investments in high bandwidth memory (HBM) and fifth-generation double data rate synchronous dynamic random-access memory (DDR5) products [2][7]. ASML expects that revenue from the chinese market will exceed 25% of its total revenue [2][7].

concerns and mitigation strategies

ASML acknowledges potential impacts from tariffs and geopolitical uncertainties [2][7]. CFO Roger Dassen mentioned efforts to mitigate tariff effects through strategies like exploring free trade zones and collaborating with suppliers and customers [2][7]. While direct and indirect tariff impacts remain uncertain, ASML is closely monitoring these dynamics [2][7]. ASML is working to minimize disruptions to its ecosystem [2]. Despite these concerns, CEO Christophe Fouquet affirms the company’s solid core business and preparation for future growth, particularly in the AI sector [2][7].

long-term outlook and market leadership

ASML maintains its long-term financial targets, projecting revenue between €44 billion and €60 billion by 2030, with gross margins of 56% to 60% [2][7]. The company’s advancements in both low and high numerical aperture EUV technologies, along with cost-effective solutions, are expected to support the transition from multiple to single exposure techniques [7]. ASML’s technological advancements solidify its market leadership and are expected to positively influence investor sentiment [1][6]. The shipment of the first High-NA EUV system is a key milestone [1][6].

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EUV lithography Semiconductor equipment