Dutch semiconductor equipment manufacturer ASML Holding NV has raised its full-year 2026 financial outlook after reporting stronger-than-expected second-quarter results, reinforcing investor confidence that global demand for artificial intelligence infrastructure continues to accelerate.
The company now expects 2026 net sales to range between €43 billion and €45 billion, significantly higher than its previous guidance of €36 billion to €40 billion. ASML also increased its gross margin forecast to 54%–56%, compared with the earlier projection of 51%–53%.
The upgraded outlook was welcomed by investors, with ASML shares rising more than 5% following the earnings announcement.
For the second quarter ended June 2026, the company reported net sales of €9.3 billion, up from €7.7 billion during the same period last year. Net profit increased to €2.9 billion, compared with €2.3 billion a year earlier, while gross margin reached 54%, exceeding market expectations.
ASML President and Chief Executive Officer Christophe Fouquet said continued investments in artificial intelligence are driving demand for advanced semiconductor manufacturing technologies.
"Ongoing AI-related investments and continued progress in AI technologies are driving demand for advanced logic and memory chips, strengthening the semiconductor industry's long-term growth outlook," Fouquet said.
The company also reported exceptionally strong customer orders during the first half of the year, noting that major semiconductor manufacturers continue expanding production capacity to meet growing AI-related demand.
ASML remains the world's only manufacturer of extreme ultraviolet (EUV) lithography systems, the highly advanced machines used to produce the latest generation of semiconductor chips powering artificial intelligence, high-performance computing, smartphones and data centers.
To meet rising customer demand, the company plans to increase production capacity for both its EUV and deep ultraviolet (DUV) lithography systems by approximately 30% next year. Management is also evaluating an additional production expansion in 2028, alongside continued investment in equipment upgrades and service operations.
Looking ahead, ASML expects third-quarter 2026 net sales between €11 billion and €12 billion, reflecting sustained order momentum across the semiconductor industry.
Industry analysts said the results provide fresh evidence that demand for AI infrastructure remains resilient despite recent volatility in global technology stocks.
The earnings announcement comes as investors closely monitor semiconductor companies following concerns that rapid gains in AI-related shares could lead to a broader market correction. Analysts, however, believe ASML's results demonstrate that underlying demand for advanced chip manufacturing equipment remains strong.
Despite the positive outlook, geopolitical tensions continue to present challenges for the company. Export restrictions imposed by the United States on advanced semiconductor technology have affected shipments to China, one of ASML's major markets.
Chief Financial Officer Roger Dassen said China is expected to account for around 20% of the company's total sales in 2026, although the business continues to operate within international export regulations.
Earlier this year, ASML also announced a restructuring plan expected to eliminate approximately 1,700 management positions across its operations in the Netherlands and the United States as part of broader organizational changes.
With approximately 44,000 employees worldwide, ASML remains Europe's most valuable publicly traded technology company and continues to play a pivotal role in the global semiconductor supply chain as investment in artificial intelligence accelerates.
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