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Semiconductors
TechTech War

Chip equipment giant ASML misses orders forecast, but China sales hold up despite US sanctions

  • Sales of ASML’s lithography systems to customers in China made up a record 49 per cent of the total in the first quarter
  • Chinese chip makers have focused on building older-generation chips, using tools that do not fall under US-led export controls

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The headquarters of ASML Holding in Veldhoven, Netherlands. Photo: EPA-EFE
Reuters
ASML, the largest supplier of equipment to computer chip makers, reported weaker than expected first-quarter new bookings on Wednesday, although sales to China held up despite US-led restrictions on what it can export.

Shares in Europe’s biggest tech firm, which had risen 34 per cent this year, were down 6 per cent in early trade.

ASML kept its full-year financial forecasts unchanged, with sales seen flat from last year’s 27.6 billion euros (US$29.3 billion), although it is gearing up for strong growth in 2025.

Net income in the first quarter was 1.22 billion euros, down from 2.05 billion euros in the fourth quarter of 2023. Sales were 5.29 billion euros, down from 7.24 billion euros.

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New bookings were 3.6 billion euros, well below the 5.4 billion euros foreseen by analysts polled by Reuters.

“Although disappointing we would not read too much into it as order intake is notoriously lumpy,” said ING analyst Marc Hesselink.

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