Asml Holding N.V. ((ASML)) has held its Q3 earnings call. Read on for the main highlights of the call.
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The recent earnings call for ASML Holding N.V. showcased a robust financial performance and an optimistic outlook for the future, driven by strategic partnerships and technological advancements. Despite these positive developments, concerns about reduced demand from China pose a potential challenge to the company’s future growth trajectory.
Strong Q3 2025 Financial Performance
ASML reported impressive financial results for Q3 2025, with net sales reaching €7.5 billion and a gross margin of 51.6%. The company achieved a net income of €2.1 billion, and net bookings for the quarter amounted to €5.4 billion, with €3.6 billion related to the electric vehicle (EV) sector. These figures underscore ASML’s strong market position and operational efficiency.
Positive Q4 2025 and Full Year Guidance
Looking ahead, ASML provided positive guidance for Q4 2025, with expected revenue between €9.2 billion and €9.8 billion. The full-year projection is around €32.5 billion in net sales, with a gross margin of approximately 52%. This optimistic outlook reflects the company’s confidence in sustaining its growth momentum.
Strategic Partnership with Mistral AI
ASML announced a strategic partnership with Mistral AI, which includes an 11% investment in their Series C funding round. This collaboration aims to enhance ASML’s software capabilities, focusing on precision and speed in its product offerings. Such partnerships are pivotal in maintaining ASML’s competitive edge in the semiconductor industry.
Advancements in EUV and Lithography
The company highlighted significant advancements in Extreme Ultraviolet (EUV) technology, with 300,000 wafers processed at customer sites. Additionally, ASML successfully installed new tools like the XT260 for advanced packaging, reinforcing its leadership in lithography technology.
Long-term Growth Opportunities
ASML is optimistic about its long-term growth prospects, anticipating revenue between €44 billion and €60 billion by 2030. This growth is expected to be driven by the increasing demand for AI and advanced semiconductor applications, positioning ASML well for future success.
Reduced Demand from China
Despite the positive outlook, ASML faces challenges with reduced demand from Chinese customers, particularly impacting its Deep UV business. The company expects significantly lower demand from China in 2026 compared to 2024 and 2025, which could affect its overall growth.
Forward-looking Guidance
ASML’s forward-looking guidance remains positive, with Q4 2025 revenue expected to range between €9.2 billion and €9.8 billion. The company projects full-year 2025 net sales of around €32.5 billion and a gross margin of approximately 52%. For 2026, ASML anticipates maintaining net sales at or above 2025 levels, with a shift in product mix favoring UV technology. Looking further ahead, ASML forecasts significant revenue growth by 2030, with expectations of reaching €44-60 billion and a gross margin of 56-60%.
In conclusion, ASML Holding N.V.’s earnings call painted a picture of strong financial health and promising future prospects, driven by strategic initiatives and technological advancements. While the company faces challenges from reduced demand in China, its overall outlook remains positive, with significant growth opportunities on the horizon.