Dutch semiconductor giant ASML has reported ASML record orders of €13.2 billion ($15.8 billion) for Q4 2025. This marks nearly double the €7.1 billion from a year earlier. Moreover, it far exceeds analyst expectations of €6.32 billion.
The surge stems from booming demand from AI chipmakers. Specifically, companies like Nvidia, TSMC, Samsung, and Micron are rapidly expanding capacity. They are doing so to meet rising needs for AI and data center chips.
Crucially, ASML makes Extreme Ultraviolet (EUV) lithography machines. In fact, it is the world’s only supplier of these systems. These tools are essential for printing the most advanced logic and memory chips.
CEO Christophe Fouquet said client expansions directly drove the order spike. “Micron has been announcing breakthroughs almost weekly,” he noted. “As a result, that translates directly into shipments for us.”
Despite strong results, ASML announced 1,700 job cuts. This represents about 3.8% of its workforce. Furthermore, the company plans to eliminate 3,000 management roles by mid-2026.
The reason? To reduce bureaucracy. Instead, ASML will refocus on engineering and innovation. “Engineers say they spend too little time on innovation,” Fouquet explained. “Because the organization has become too complex.” Therefore, the company will hire more engineers in response.
Markets reacted positively. ASML shares rose 6% at midday in Amsterdam. In addition, the stock is up 40% so far in 2026. Consequently, ASML is now Europe’s most valuable company by market cap.
Due to strong AI demand, ASML raised its 2026 sales forecast. Now, it expects €34–39 billion in revenue. This is above the analyst consensus of €35 billion.
In 2025, net profit reached €9.6 billion. That reflects a 26.3% increase from 2024. Meanwhile, sales totaled €32.7 billion—up 15.5% year-over-year.
Notably, this is the last quarterly orders report. According to ASML, the metric causes unnecessary stock swings. “They’re going out with a bang,” said ING analyst Marc Hesselink.
Geopolitics also plays a role. Although U.S. export rules block China from buying ASML’s top EUV tools, China was still ASML’s biggest market in 2025. It accounted for 33% of sales—down from 41% in 2024 but above forecasts. Looking ahead, ASML expects that share to drop to 20% by 2026.
Beyond current trends, ASML reaffirmed its 2030 targets. It aims for €44–60 billion in annual revenue. At the same time, gross margins should reach 56–60%. Additionally, the company launched a €12 billion share buyback through 2028.
In short, ASML record orders show how fast the chip industry is scaling for AI. By cutting management layers and boosting engineering talent, ASML is positioning itself to lead the next era of semiconductor innovation—even amid global trade tensions.
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