ASML Has More Work to Do on AI

Core Viewpoint - ASML Holding's third-quarter financial results showed modest revenue growth, falling short of investor expectations, despite a slight increase in earnings per share and a significant rise in net bookings [4][6]. Financial Performance - Net sales for Q3 2024 were reported at 7.47 billion euros, a 1% increase from 7.52 billion euros in Q3 2025, which missed expectations [3]. - Earnings per share increased by 4%, from 5.28 euros in Q3 2024 to 5.48 euros in Q3 2025, which beat expectations [3]. - Lithography systems sold decreased by 38%, from 116 units in Q3 2024 to 72 units in Q3 2025 [3]. - Net bookings surged by 105%, from 2.63 billion euros in Q3 2024 to 5.40 billion euros in Q3 2025 [3]. Strategic Developments - CEO Christophe Fouquet highlighted the launch of an advanced packaging product as a significant advancement in 3D integration and emphasized the benefits from the partnership with Mistral AI to enhance equipment productivity [5]. - The company anticipates a 15% sales growth for the full year of 2025, although most of this growth is expected to occur early in the year [6]. Market Reaction - Following the announcement, ASML shares rose over 5% in early trading, driven by solid order bookings and positive outlooks for 2026, despite the weaker quarterly figures [7]. - The company is seen as a potential beneficiary of AI spending, although recent growth has not met expectations [8].