Growth opportunity
continues
VELDHOVEN, the Netherlands, November 8, 2018 - At
the Investor Day meeting today at its headquarters in Veldhoven,
the Netherlands, ASML Holding N.V. (ASML) will provide an update on
the company's strategy, performance and outlook. Chief Executive
Officer Peter Wennink, together with Chief Technology Officer
Martin van den Brink and Chief Financial Officer Roger Dassen and
other senior executives, will discuss the company's growth
opportunities and developments in the market and technology.
Highlights of the
presentations
Company
strategy, market trends and value creation
-
ASML sees a healthy semiconductor end market
growth fueled by major innovation drivers such as 5G connectivity,
artificial intelligence, autonomous driving, and big
data.
-
This translates into growth of world-wide fab
capacity in all segments, especially at the leading-edge
nodes.
-
Strong growth opportunity in lithography lasting
beyond the next decade with a mix transition from DUV to EUV.
Industry roadmap
and technology strategy
-
Moore's Law innovation continues, driven by
multiple strategies that accelerate performance scaling over the
next decade.
-
Continued process technology innovation attracts
new applications and increases wafer demand.
-
Moore's Law continues to enable industry growth
and lithography is a key enabler of cost-effective shrink.
EUV products and
business opportunity
-
ASML EUV lithography extends our Logic and DRAM
customers' roadmap by providing lithography resolution improvement,
state-of-the-art overlay performance and year-on-year cost
reduction.
-
Our customers are preparing for EUV ramp at the
7nm Logic node and the 16nm DRAM node, with systems deliveries and
ongoing qualification. EUV layer adoption continues to grow,
reducing patterning complexity and cost.
-
EUV industrialization is well underway towards
meeting our customers' requirements for availability, productivity
and yield in high-volume manufacturing. The necessary ecosystem is
also in place to support our customer EUV ramp.
-
In the second half of 2019, we will introduce
the NXE:3400C, specified at 170wph and with >90%
availability.
-
The EUV product roadmap will extend our 0.33NA
EUV platform and introduce the 0.55NA EUV platform in parallel,
providing comprehensive and flexible solutions to our customers'
continuous demand for patterning scaling well into the next
decade.
-
We are seeking EUV profitability at DUV
profitability level through the combined execution of our
value-enhancing product roadmap and aggressive systems and service
cost-reduction roadmap.
Applications
products and business opportunity
-
ASML's Holistic Lithography roadmap is driven by
its unique capability to help customers achieve their pattern
fidelity requirements.
-
2018 will be another record year for the
Applications business, with product wins across all customers and
all market segments (Logic, DRAM, NAND).
-
The primary driver of growth is the extension of
our solutions into pattern fidelity control:
-
New offerings extend the roadmap with innovative
products that combine ASML's computational technology with HMI's
e-beam expertise.
-
Hardware and software products support the
introduction of EUV into HVM.
-
New applications of deep learning in both
computational litho and defect inspection drive improved
performance.
-
The Applications business is projected to
continue to grow at 15-20% CAGR with strong gross margins for the
period 2017 through 2025.
DUV
products and business opportunity
-
DUV system revenues increased significantly over
the last decade, driven by immersion technology, and has been an
important driver of ASML's growth.
-
Over the next 5-7 years, DUV sales will remain
important and its composition will change from mainly systems sales
to approximately 50% systems and 50% Installed Base Management
sales.
-
ASML is systematically developing its DUV
service and field upgrade product portfolio to meet customer
requirements and improve performance, and/or extend the lifetime of
its installed base, while optimizing its sales opportunities in
this space.
-
DUV is well prepared to maintain margins during
this transition through:
-
An innovative DUV Technology Roadmap aligned
with customer roadmaps.
-
Adopting commonalities between EUV and DUV
module development.
-
Continuously improving its operations to become
leaner and more efficient, while driving quality of systems,
services and field options.
Business model
and capital allocation strategy
-
We have invested substantially in technology
leadership and have thereby created significant shareholder
value.
-
Our products and services will continue to
enable our customers to achieve cost-effective shrink, fueling the
highly profitable and growing semiconductor and technology
applications industry.
-
At the last Investor Day in New York in October
2016, we announced that we expected to grow our net sales to
approximately EUR 10 billion by 2020, which was adjusted after the
HMI acquisition to EUR 11 billion. We currently expect our net
sales to grow to around EUR 13 billion by 2020, which is supported
by a scenario of moderate market growth.
-
Based on different market scenarios, we have an
opportunity to grow our annual revenue for 2025 to between EUR 15
billion (low market) and EUR 24 billion (high market).
-
We expect to continue to return significant
amounts of cash to our shareholders through a combination of share
buybacks and growing dividends.
Webcast and
presentations
For those not joining the Investor Day in person, there will be a
live webcast (audio and slides) on November 8, 2018, starting at
13:00 Central European Time / 09:00 U.S. Eastern Time and ends at
17:00 Central European Time / 13:00 U.S. Eastern Time. Link:
https://asml.nepgroup-webinars.com/investor-day-2018.
The presentations and the recording of the audio webcast will be
available at www.asml.com as of November 8, 2018 at 18:00 CET.
ASML
Media Relations Contacts |
ASML
Investor Relations Contacts |
Monique
Mols, phone +31 6 528 444 18 |
Skip
Miller, phone +1 480 235 0934 |
Lucas van
Grinsven, phone +31 6 1019 9532
|
Marcel
Kemp, phone +31 40 268 6494 |
Niclas
Mika, phone +1 858 385 6623
|
Craig
DeYoung, phone +852 2295 1168 |
About ASML
ASML is one of the world's leading manufacturers of chip-making
equipment. Our vision is a world in which semiconductor technology
is everywhere and helps to tackle society's toughest challenges. We
contribute to this goal by creating products and services that let
chipmakers define the patterns that integrated circuits are made
of. We continuously raise the capabilities of our products,
enabling our customers to increase the value and reduce the cost of
chips. By helping to make chips cheaper and more powerful, we help
to make semiconductor technology more attractive for a larger range
of products and services, which in turn enables progress in fields
such as healthcare, energy, mobility and entertainment. ASML is a
multinational company with offices in 60 cities in 16 countries,
headquartered in Veldhoven, the Netherlands. We employ more than
22,000 people on payroll and flexible contracts (expressed in full
time equivalents). ASML is traded on Euronext Amsterdam and NASDAQ
under the symbol ASML. More information about ASML, our products
and technology, and career opportunities is available on
www.asml.com.
Regulated Information
This press release contains inside information within the meaning
of Article 7(1) of the EU Market Abuse Regulation.
Forward-Looking Statements
This document contains statements relating to certain projections,
business trends and other matters that are forward-looking,
including statements with respect to expected trends and outlook,
strategy, bookings, expected financial results and trends,
including expected sales, EUV revenue, gross margin, capital
expenditures, R&D and SG&A expenses, cash conversion cycle,
and target effective annualized tax rate, and expected financial
results and trends for the rest of 2018 and 2019, expected revenue
growth and demand for ASML's products in logic and memory, expected
annual revenue opportunity in 2020 and for 2025 and expected EPS
potential in 2020 with significant growth in 2025, expected trends
in the lithography system market, fab capacity by segment, the
automotive and artificial intelligence industries, connectivity,
semiconductor end markets and new semiconductor nodes, expected
acceleration of chipmakers' performance for the next decade,
expected EUV insertion and transistor density growth, trends in DUV
systems revenue and Holistic Lithography and installed based
management revenues, statements with respect to expectations
regarding future DUV sales, including composition, margins,
improvement of operations and performance, DUV product roadmaps,
expected benefits of the holistic productivity approach, including
in terms of wafers per year, expected industry trends and expected
trends in the business environment, statements with respect to
customer demand and the commitment of customers to High NA machines
and to insert EUV into volume manufacturing by ordering systems,
expected future operation of the High NA joint lab, statements with
respect to holistic lithography roadmaps and roadmap acceleration,
including the introduction of higher productivity systems in 2019
(including the expected shipment of NXE:3400C and expected timing
thereof) and the expected benefits, ASML's commitment to volume
manufacturing and related expected plans until 2030, ASML's
commitment to secure system performance, shipments, and
support for volume manufacturing, including availability, timing of
and progress supporting EUV ramp and improving consistency,
productivity, throughput, and production and service capability
enabling required volume as planned, including expected shipments,
statements with respect to growth of fab capacity driving demand in
lithography systems, planned customer fabs for 200 systems and
expected first output in 2019, expected EUV value increase and
increase in EUV margins and ASML's expectation of EUV profitability
at the DUV level, expected installed base of EUV systems, expected
customer buildout of capacity for EUV systems, EUV estimated demand
by market, expected increase in lithography intensity, statements
with respect to the expected benefits of EUV, including
year-on-year cost reduction and system performance, and of the
introduction of the new DUV system and expected demand for such
system, the expected benefits of HMI's e-beam metrology
capabilities, including the expansion of ASML's integrated Holistic
Lithography solutions through the introduction of a new class of
pattern fidelity control, the extension of EUV to enable cost
effective single patterning shrink with EUV, statements with
respect to ASML's applications business, including statements with
respect to expected results in 2018, expected growth of the
applications business and expected drivers of growth, expected
growth in margins, continued shrink and drivers, and expected
accuracy, defect control and performance improvements, shrink being
a key driver supporting innovation and providing long-term industry
growth, lithography enabling affordable shrink and delivering value
to customers, DUV, Holistic Lithography and EUV providing unique
value drivers for ASML and its customers, expected industry
innovation, the expected continuation of Moore's law and that EUV
will continue to enable Moore's law and drive long term value for
ASML beyond the next decade, intention to return excess cash to
shareholders through stable or growing dividends and regularly
timed share buybacks in line with ASML's policy, statements with
respect to the expectation to continue to return cash to
shareholders through dividends and share buybacks, and statements
with respect to the expected impact of accounting standards. You
can generally identify these statements by the use of words like
"may", "will", "could", "should", "project", "believe",
"anticipate", "expect", "plan", "estimate", "forecast",
"potential", "intend", "continue", "targets", "commits to secure"
and variations of these words or comparable words. These statements
are not historical facts, but rather are based on current
expectations, estimates, assumptions and projections about the
business and our future financial results and readers should not
place undue reliance on them.
Forward-looking statements do not guarantee future
performance and involve risks and uncertainties. These risks and
uncertainties include, without limitation, economic conditions,
product demand and semiconductor equipment industry capacity,
worldwide demand and manufacturing capacity utilization for
semiconductors, including the impact of general economic conditions
on consumer confidence and demand for our customers' products,
competitive products and pricing, the impact of any manufacturing
efficiencies and capacity constraints, performance of our systems,
the continuing success of technology advances and the related pace
of new product development and customer acceptance of and demand
for new products including EUV and DUV, the number and timing of
EUV and DUV systems shipped and recognized in revenue, timing of
EUV orders and the risk of order cancellation or push out, EUV
production capacity, delays in EUV systems production and
development and volume production by customers, including meeting
development requirements for volume production, demand for EUV
systems being sufficient to result in utilization of EUV facilities
in which ASML has made significant investments, potential inability
to successfully integrate acquired businesses to create value for
our customers, our ability to enforce patents and protect
intellectual property rights, the outcome of intellectual property
litigation, availability of raw materials, critical manufacturing
equipment and qualified employees, trade environment, changes in
exchange rates, changes in tax rates, available cash and liquidity,
our ability to refinance our indebtedness, distributable reserves
for dividend payments and share repurchases, results of the share
repurchase plan and other risks indicated in the risk factors
included in ASML's Annual Report on Form 20-F and other filings
with the US Securities and Exchange Commission. These
forward-looking statements are made only as of the date of this
document. We do not undertake to update or revise the
forward-looking statements, whether as a result of new information,
future events or otherwise.
Link to Press Release
This
announcement is distributed by West Corporation on behalf of West
Corporation clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: ASML Holding via Globenewswire
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