ASML lifts 2026 sales guidance to €45bn on AI chip demand
ASML raised its 2026 revenue guidance for a second time on surging AI demand, signalling a deepening capital expenditure cycle across the global semiconductor industry.
ASML reported second-quarter net sales of €9.3 billion, beating analyst expectations of €8.8 billion, while net profit rose to €2.9 billion from €2.3 billion a year earlier. The Dutch equipment maker now targets 2026 net sales of €43 billion to €45 billion, a sharp increase from its previous range of €36 billion to €40 billion.
The upgraded outlook reflects an acceleration in capital spending by chipmakers scrambling to secure capacity for advanced logic and memory semiconductors. ASML holds a near-monopoly on the extreme ultraviolet (EUV) lithography machines required to manufacture these cutting-edge chips. Because these systems represent one of the largest single costs inside any advanced semiconductor facility, ASML's order book serves as a reliable leading indicator for broader industry investment.
To meet this demand, ASML plans to increase its 2027 low NA EUV capacity by 30% compared to roughly 65 units planned for 2026. Deep ultraviolet immersion capacity will also rise by 30% next year from a 2026 baseline of around 130 units. The company is currently evaluating further 30% increases for both technologies in 2028 as customers accelerate their expansion plans.
"Ongoing AI-related investments and continued progress in AI technologies are driving demand for advanced Logic and Memory chips, further strengthening the semiconductor industry's growth outlook," Chief Executive Christophe Fouquet said. Fouquet noted that ASML is close to receiving all EUV orders needed for next year. He added that memory revenue should grow 75% this year.
The improved volume expectations come alongside higher projected profitability. ASML raised its 2026 gross margin forecast to a range of 54% to 56%, up from a previous target of 51% to 53%. On a geographic basis, South Korea emerged as the top revenue-generating market in the second quarter at 43% of sales. China is still projected to represent about 20% of total net sales this year.
ASML shares initially surged more than 7% in early trading before paring those gains to finish the session up around 3%. The slight pullback suggests some investors had already priced in a strong quarter. A fuller picture of the company's long-term trajectory will emerge at its next Capital Markets Day on June 10, 2027.
