Key Takeaways
- The company increased its 2026 sales projection to €43–45 billion from a prior range of €36–40 billion
- Second-quarter sales reached €9.33 billion, surpassing analyst projections of €8.8 billion
- Shares rose over 5% in Amsterdam trading and approximately 3.5% during US premarket hours
- The firm intends to boost EUV and DUV manufacturing capacity by 30% across the following two years
- BofA maintained its Buy recommendation with a €2,022 target price
Shares of ASML climbed more than 5% in Amsterdam and approximately 3.5% in US premarket sessions on Wednesday following the company’s upward revision of its full-year 2026 revenue guidance and robust second-quarter performance.
The Netherlands-based semiconductor equipment manufacturer now projects 2026 net sales in the range of €43 billion to €45 billion. This represents a substantial upgrade from the company’s earlier forecast of €36 billion to €40 billion — marking a 16% jump at the midpoint.
Second-quarter sales totaled €9.33 billion, exceeding the €8.8 billion consensus estimate from Wall Street analysts. Net profit reached €2.92 billion, also outperforming expectations of €2.62 billion.
Chief Executive Christophe Fouquet described order volumes as “extremely strong” during the year’s first six months, attributing this momentum to sustained investment in AI infrastructure.
“Ongoing AI-related investments and continued progress in AI technologies are driving demand for advanced Logic and Memory chips,” Fouquet stated.
Looking ahead to Q3 2026, ASML provided revenue guidance of €11–12 billion, significantly exceeding the analyst consensus estimate of €10.37 billion. The company also projects a gross margin of 56%, compared to market forecasts of 52.1%.
Production Capacity Expansion Strategy
The company announced plans to expand manufacturing capacity for both EUV and DUV lithography systems by approximately 30% annually over the next two years. Management is also evaluating an additional 30% capacity increase for 2028.
EUV lithography equipment is essential for producing cutting-edge semiconductors, and ASML maintains a global monopoly in this technology. Major clients such as TSMC, Samsung, SK Hynix, and Micron are all expanding their production capabilities to meet surging AI chip requirements.
Fouquet revealed that Intel will deploy ASML’s newest High-NA EUV technology for manufacturing certain Panther Lake processors — marking the first commercial application of this advanced system.
Market Analyst Perspectives
Matt Britzman, senior equity analyst at Hargreaves Lansdown, highlighted that the most notable development was customers upgrading existing equipment on production floors.
“AI demand is pulling investment forward across both advanced computing and memory chips, giving ASML clearer sight of customer demand well beyond this year,” Britzman noted.
Ben Barringer from Quilter Cheviot commented that the earnings “reinforce just how strong demand remains across the semiconductor sector,” noting that memory chip growth is currently outpacing logic chips.
Bank of America reaffirmed its Buy rating and €2,022 price target after reviewing the results. BofA’s analysis suggests ASML’s revised guidance implies fourth-quarter revenue of €14.41 billion — substantially above the consensus forecast of €11.62 billion.
Regarding the Chinese market, CFO Roger Dassen indicated that ASML anticipates China will account for approximately 20% of 2026 sales, with demand from Chinese customers tracking closely with worldwide patterns.
ASML’s Amsterdam-traded shares have appreciated roughly 66% year-to-date. Meanwhile, its US-listed shares have climbed more than 52% in 2026.
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