Overview
- ASML reported stronger-than-expected Q2 results with €9.3 billion in net sales and €2.9 billion in net income, prompting the company to raise full-year 2026 revenue guidance to €43–45 billion and raise gross margin targets to 54%–56%.
- The company shipped 86 lithography systems in the quarter, including 16 extreme ultraviolet (EUV) units, a pace consistent with its historical annual EUV output of about 40–50 machines.
- Service and installed-base management generated roughly €2.8 billion, about 30% of quarterly revenue, giving ASML a high-margin, recurring revenue stream that supports cash returns to shareholders.
- ASML is accelerating capacity with a plan to increase low-NA EUV production by about 30% by 2027 and says most of that added capacity is already pre-booked by customers.
- U.S.-led export controls that bar the company’s most advanced EUV tools from China remain a key risk, with the limits shaping where new capacity and shipments can be deployed and delaying China’s access to cutting-edge chip manufacturing.