Particle.news
Download on the App Store

ASML Lifts 2026 Outlook After Strong Quarter as TSMC Results Reinforce AI Chip Boom

TSMC’s bigger 2026 spending signals steady demand for chipmaking tools despite tighter China export curbs.

Overview

  • ASML, which reported results Wednesday, raised its 2026 revenue target to €36–40 billion after Q1 sales of €8.8 billion, a roughly 53% gross margin, and 67 lithography systems delivered.
  • The company stopped publishing new order bookings and is shifting disclosures toward its technology roadmap and realized sales, a move meant to reduce volatility tied to quarterly intake swings.
  • ASML said possible U.S.-driven Dutch export tightening could cut future China sales, with China’s share seen near 20% this year and estimates pointing to about half of that at risk if rules extend to older tools and service work.
  • TSMC on Thursday posted record Q1 profit up about 58% year over year and outlined a large 2026 capital-spending increase to add capacity for advanced chips used in artificial intelligence.
  • ASML holds a de facto monopoly in extreme ultraviolet lithography, the light-based process that etches the smallest chip features, and it is developing High-NA EUV to raise wafer throughput toward the end of the decade.