ASML The group raised its sales forecast for 2026 after beating revenue and profit expectations for the first quarter, driven by continued demand for AI-related chips.
Here are ASML’s results compared to LSEG consensus estimates for the first quarter:
Net sales: 8.8 billion euros ($10.4 billion) versus 8.5 billion euros expectedNet profit: 2.8 billion euros versus 2.5 billion euros expectedASML previously planned that its turnover in the first quarter would be between 8.2 billion euros and 8.9 billion euros.
The Dutch company said it now sees 2026 net sales of between €36 billion and €40 billion, up from a previous forecast of €34 billion to €39 billion.
“The growth outlook for the semiconductor industry continues to strengthen, driven by continued investments in AI-related infrastructure,” Christophe Fouque, CEO of ASML, said in a press release.
“Demand for chips is outpacing supply. In response, our customers are accelerating their capacity expansion plans for 2026 and beyond, supported by long-term agreements with their customers.”
The Dutch company is often seen as a bellwether for chip demand because it makes the tools needed to make the most advanced semiconductors.
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ASML shares since the beginning of the year.
One of its main clients, Taiwan Semiconductor Manufacturing Company. (TSMC), last week announced record first quarter revenue while demand for AI chips remains strong.
There is a persistent shortage of memory chips, which has pushed prices of these components to unprecedented levels. Memory is key to AI systems and data centers. As a result, South Korean companies Samsung and SK Hynix plan to increase their production capacity, which will require ASML machines.
ASML said 51% of net sales of its new tools in the first quarter were spent on memory, up from 30% in the previous quarter. Customers from South Korea accounted for 45% of sales, while those from Taiwan accounted for 23%.
However, ASML faces its own challenges, including difficulties in China, where it is unable to ship its most advanced machines due to export restrictions. Earlier this month, a group of bipartisan U.S. lawmakers introduces a law it would prohibit the export of even ASML’s least advanced machines to China. This law must still progress through the American legislative process.
System sales in China fell to 19% of overall sales in the first quarter, down from 36% in the December quarter.
