ASML launches 12 billion euro buy-back, upgrades 2025 forecast
- ASML, which has more orders for its equipment than it can currently supply, said it is moving ahead with plans to expand capacity
- It said it expects to expand production of its flagship EUV machines to 90 annually from around 60 at present, by 2026
ASML Holding, a key supplier of equipment to semiconductor manufacturers, on Thursday said it would launch a 12 billion euro (US$12.2 billion) share buy-back programme to run through 2025.
In an announcement ahead of its investors’ day on Friday, the company said it expects revenue of 30 billion to 40 billion euros by 2025, up from a previous estimate of 24 billion to 30 billion euros.
The company’s 2021 sales totalled 18.6 billion euros.
ASML, which has more orders for its equipment than it can currently supply and foresees a decade of growth, said it is moving ahead with plans to expand capacity.
ASML’s second-quarter sales data shows shift away from mainland China
“While the current macro environment creates near-term uncertainties, we expect longer-term demand and capacity showing healthy growth,” the company said in a statement.
ASML shares jumped on the announcement and closed 9.7 per cent higher at 544.20 euros in Amsterdam.
The company said it expects sales to continue growing, with a revenue target of 44 to 60 billion euros by 2030.
ASML dominates the market for lithography systems, large machines used to map out the circuitry of semiconductors.
The company said it expects to expand production of its flagship extreme ultraviolet lithography machines, which cost about 200 million euros each, to 90 annually from around 60 at present, by 2026.
Major ASML customers include Taiwan Semiconductor Manufacturing Co, South Korea’s Samsung Electronics and SK Hynix, and Intel Corp and Micron Technology in the United States.
