ASM announces third quarter 2024 results

Core Insights - ASM International reported strong Q3 2024 results, with new orders reaching €815 million, a 30% increase year-over-year at constant currencies, driven by demand for gate-all-around (GAA) and high-bandwidth memory (HBM) technologies [2][3] - Revenue for Q3 2024 was €779 million, reflecting a 26% increase at constant currencies, which is at the upper end of the guidance range of €740-780 million [2][3] - The adjusted operating result margin improved to 28.2%, up from 25.3% in Q3 2023, primarily due to higher revenue and a one-off positive result from the sale of a building [2][3] Financial Highlights - New orders in Q3 2024: €815 million, up 30% year-over-year [2][3] - Revenue in Q3 2024: €779 million, up 26% year-over-year [2][3] - Adjusted gross profit margin: 49.4% in Q3 2024, compared to 48.1% in Q3 2023 [2][3] - Operating result: €215.2 million in Q3 2024, with an operating result margin of 27.6% [2][3] - Net earnings: €127.9 million in Q3 2024, slightly down from €129.6 million in Q3 2023 [2][3] Market Dynamics - AI continues to be the primary driver of demand in the semiconductor market, particularly for advanced devices in logic/foundry and HBM DRAM [3][4] - Sales and orders in China performed better than expected in Q3, although a decline is anticipated in the second half of 2024 [4] - The company expects a substantial increase in GAA-related sales in 2025, despite recent capex reductions impacting advanced logic/foundry spending [4][5] Outlook - Q4 2024 revenue is projected to be between €770-810 million, with a year-on-year increase of approximately 10% expected for FY 2024 [5] - For 2025, revenue is anticipated to be in the range of €3.2-3.6 billion, driven by GAA-related sales [5] - Order intake for Q4 is expected to be solid but lower than Q3, with GAA-related orders anticipated to increase [5] Share Buyback Program - ASM completed a share buyback program of up to €150 million, repurchasing 228,389 shares at an average price of €656.77 [6]