By Toby Sterling and Nathan Vifflin
AMSTERDAM (Reuters) -Pc chip tools maker ASML (AS:) reported on Tuesday third-quarter earnings that shocked markets with weak bookings and decrease than anticipated gross sales forecasts for 2025, sending the corporate’s shares to their largest one-day drop since 1998.
The corporate mentioned that regardless of a growth in AI-related chips, different elements of the semiconductor market remained weak longer than anticipated, main corporations that make logic chips to delay orders and clients that make reminiscence chips to solely add “restricted” new capability.
ASML, Europe’s largest tech agency, is the largest provider of apparatus used to fabricate chips, with high clients together with AI chipmaker TSMC of Taiwan, in addition to Intel (NASDAQ:), Samsung (KS:), Micron (NASDAQ:) and SK Hynix.
The quarterly earnings numbers had been printed on the corporate’s web site a day sooner than anticipated in error.
“We count on our 2025 whole internet gross sales to develop to a variety between 30-35 billion euros, which is the decrease half of the vary that we offered at our 2022 Investor Day,” Chief Government Christophe Fouquet mentioned in a press release.
Buying and selling within the shares had been halted a number of instances in Amsterdam and displayed down 16% at 668.10 euros at 1542 GMT.
The corporate’s earnings confirmed internet revenue of two.1 billion euros on gross sales of seven.5 billion euros ($8.2 billion), barely forward of analyst estimates.
Nonetheless, the corporate’s bookings had been 2.6 billion euros, properly beneath forecasts that had ranged between 4 billion euros and 6 billion euros.
ASML mentioned that whereas demand for AI-related chips had been robust, different market segments had been taking “taking longer to get better.”
“That is anticipated to proceed in 2025, which is resulting in buyer cautiousness.”
A spokesperson for the corporate mentioned it was engaged on a full rationalization of the outcomes and early publication.
($1 = 0.9172 euros)
($1 = 0.9173 euros)