ASML 3Q Net Profit Rose; Confirms 2020 Outlook -- Update
--ASML's third-quarter net profit rose and exceeded
--The company will be a few systems shy of 35 shipments of its
most advanced tools in 2020, its CFO said
--CEO Peter Wennink said ASML faces near-term uncertainty from
By Adria Calatayud
ASML Holding NV said Wednesday that net profit for the third
quarter rose sharply, exceeding expectations, as it confirmed its
outlook for 2020 and said it experienced no major disruptions due
to the coronavirus pandemic.
Net profit for the quarter was 1.06 billion euros ($1.24
billion) compared with EUR626.8 million for the year-earlier
period, the Dutch maker of semiconductor equipment said. Analysts
had expected a net profit of EUR915.6 million, according to a
consensus forecast provided by FactSet and based on estimates by 10
Third-quarter net sales came in at EUR3.96 billion, up from
EUR2.99 billion a year before, ASML said. Gross margin for the
quarter was 47.5%.
The company had guided for revenue of between EUR3.6 billion and
EUR3.8 billion with a gross margin between 47% and 48%.
ASML said it shipped 10 extreme ultraviolet lithography
systems--the company's most advanced technology--in the quarter,
and that net bookings stood at EUR2.87 billion.
Chief Financial Officer Roger Dassen said the company shipped 23
EUV units in the first nine months of the year, and that it will be
a few systems shy of 35 shipments for 2020 as a whole.
For the fourth quarter, the company said it expects revenue to
be between EUR3.6 billion and EUR3.8 billion and gross margin to be
around 50%. For 2021, ASML expects low double-digit revenue growth,
but acknowledged there are uncertainties due to the macroeconomic
President and Chief Executive Peter Wennink said in a call with
analysts that the company faces near-term uncertainty from several
fronts due to customer-readiness issues and U.S.-China trade
situation, in addition to the pandemic, but that it still sees
long-term demand drivers.
Following recent U.S. restrictions, ASML would need to obtain an
export license to ship to specific Chinese customers directly from
the U.S., but will be able to ship deep ultraviolet--or
DUV--lithography systems from the Netherlands without a license,
Mr. Wennink said.
ASML also said it will declare an interim dividend for 2020 of
EUR1.20 a share, and that it will resume share buybacks this week
under a EUR6 billion program that was paused earlier this year due
to coronavirus-related uncertainty.
Write to Adria Calatayud at firstname.lastname@example.org
(END) Dow Jones Newswires
October 14, 2020 10:24 ET (14:24 GMT)
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