Veldhoven-based ASML Holding, a manufacturer of chip-making equipment, has published its 2025 Q2 results.

The company has reported a total net sales of €7.7B, a gross margin of 53.7 per cent, and a net income of €2.3B.

Notably, the company, in its own previous forecast issued in April, said it expected second-quarter net sales of between €7.2B and €7.7B.

The company received €5.5B in net bookings during Q2, with €2.3B from extreme ultraviolet (EUV) technology.

“Our second-quarter total net sales came in at €7.7 billion, at the top end of our guidance. The gross margin was 53.7%, above guidance, primarily driven by higher upgrade business and one-offs resulting in lower costs,” says ASML President and Chief Executive Officer Christophe Fouquet.

ASML’s Chief Financial Officer, Roger Dassen, stated that the revenue beat was driven by upgrades to currently deployed machines and that tariffs had a “less negative” impact than expected, in a video interview.

Q3 expectation

For Q3 2025, ASML expects net sales to be between €7.4B and €7.9B, with a gross margin between 50 per cent and 52 per cent.

Looking ahead, ASML expects a 15 per cent growth in full-year 2025 net sales, revising its previous guidance down from a range of €30B to €35B. This growth projection indicates potential revenue of approximately €32.5B for 2025.

Fouquet mentioned that the company expects R&D costs to be around €1.2B and SG&A costs to be about €310M. For 2025, they project a 15 per cent increase in total net sales and a gross margin of about 52 per cent.

Dividend and buyback

In Q2 2025, ASML said it paid a final dividend of €1.84 per ordinary share. The first quarterly interim dividend for 2025 will be €1.60 per ordinary share and will be made payable on Aug. 6, 2025.

In the second quarter, ASML bought around 2.3 million shares for a total amount of about €1.4B.

Market reaction

“Looking at 2026, we see that our AI customers’ fundamentals remain strong. At the same time, we continue to see increasing uncertainty driven by macroeconomic and geopolitical developments. Therefore, while we still prepare for growth in 2026, we cannot confirm it at this stage,” adds Fouquet.

As a reaction to Fouquet’s statement regarding growth uncertainty in 2026, the shares of Dutch chipmaking giant ASML dropped nearly 6.5 per cent on Wednesday.

The statement comes as ASML, like many firms in the semiconductor sector, has been dealing with challenges from U.S. tariff policies.

In a video interview, CFO Roger Dassen outlined four ways that tariffs could affect the company: shipments to the U.S., tariffs on imported parts and tools, material imports needed for manufacturing in the U.S., and tariffs imposed by other countries on U.S. exports.

“We’re looking at all of those. We’re Public trying to mitigate the effect on the entire ecosystem on all four of those accounts. Last time, we spoke about free trade zones that we’re looking into to mitigate some of the dynamics. We are working with the supply chain and with our customers to at least make sure that the impact for ASML is as limited as possible,” says Dassen.

​​However, Fouquet pointed out that the fundamentals of the company’s AI customers are still strong. 

ASML is set to benefit from the large investments going into AI data centres, which total hundreds of billions of dollars, reports Bloomberg. 

Advances in EUV and High-NA Lithography

ASML has made important progress in its technology this quarter, according to CEO Christophe Fouquet. The company is improving its Low NA and High NA EUV platforms, which help customers save money and simplify chip manufacturing.

A major highlight, according to Fouquet, was the shipment of all NXE:3800 systems, which can produce 220 wafers per hour (WPH)—a 37 per cent increase in productivity compared to the previous NXE:3600 model.

The Dutch company is also upgrading existing NXE:3800 systems and aims to finish by the end of the year. This will help chipmakers, especially in DRAM production, reduce multi-patterning steps, improve yields, and speed up production.

In the High NA area, ASML is advancing its EXE:5000 platform at customer R&D sites. The company has also shipped its first EXE:5200 system, which is being installed. This new tool will boost productivity by 60 per cent for high-volume manufacturing.

ASML reported strong interest in its new DUV systems, including the NXT:2100 immersion tool and the NXT:870 KrF tool, as customers move towards more advanced nodes.

“So overall, I would say great progress on technology. I think we are validating that better cost of technology allows us to translate more multipatterning layers into single-exposed. I think we have made good progress on our litho intensity,” adds Fouquet.