ASML Expects Significant Sales Drop in China
ASML president and CEO Christophe Fouquet was very conservative in his outlook for 2026.
ASML president and CEO Christophe Fouquet was very conservative in his outlook for 2026. He stated that the company doesn't expect total revenue to be below 2025 despite forecasting demand in China to drop.
In an earnings release for the third quarter of 2025, Fouquet said ASML expects net sales in China in 2026 to decline significantly compared to the very strong business there in 2024 and 2025. He anticipates a very strong final quarter of 2025, with full-year sales to increase 15%.
The Netherlands-based chip equipment maker predicts Q4 sales at between €9.2 billion and €9.8 billion, compared with €3.2 billion in 4Q24. Fouquet added that the company experienced continued positive momentum around investments in AI and also saw this extending to more customers.
Net profit in Q3 grew 7.8% year-on-year to €2.1 billion, with revenue rising 2.3% to €7.5 billion. China accounted for 42% of net system sales, down from 47% in 3Q24. ASML had €5.4 billion in net bookings in, up from €2.6 billion. Revenue in September reached a 20-year high. Its business in China was hit by restrictions on the export of advanced machinery to local chipmakers, led by the US.