ASML Q4 Results Rise, Bookings Down; Lifts Dividend, Backs FY25 View; Stock Up

(RTTNews) - Shares of ASML Holding N.V. were gaining around 9 percent in the morning trading in Amsterdam as well as around 7 percent in pre-market activity on the Nasdaq Stock Exchange, after the Dutch semiconductor equipment maker reported Wednesday higher profit and net sales in its fourth quarter, despite weak bookings. Further, the company issued first-quarter outlook, confirmed forecast for fiscal 2025, and also lifted its total dividend.

ASML President and Chief Executive Officer Christophe Fouquet, said, "Consistent with our view from the last quarter, the growth in artificial intelligence is the key driver for growth in our industry. It has created a shift in the market dynamics that is not benefiting all of our customers equally, which creates both opportunities and risks as reflected in our 2025 revenue range."

Looking ahead to the first quarter, the company projects total net sales between 7.5 billion euros and 8.0 billion euros, and a gross margin between 52 percent and 53 percent.

For fiscal 2025, ASML continues to expect total net sales to be between 30 billion euros and 35 billion euros, with a gross margin between 51 percent and 53 percent.

In 2024, the company achieved total net sales of 28.3 billion euros, and a gross margin of 51.3 percent.

Further, ASML said it intends to declare a total dividend for the year 2024 of 6.40 euros per ordinary share, which is a 4.9 percent increase compared to 2023.

An interim dividend of 1.52 euros per ordinary share will be made payable on February 19. This leads to a final dividend proposal to the General Meeting of 1.84 euros per ordinary share.

For the fourth quarter, net income was 2.69 billion euros, higher than last year's 2.05 billion euros. Earnings per share climbed to 6.84 euros from 5.20 euros a year ago.

Total net sales were 9.26 billion euros, higher than prior year's 7.24 billion euros.

The company noted that both total net sales and a gross margin of 51.7 percent were above its guidance.

Sales of lithography systems grew to 132 units from prior year's 124 units.

Net bookings, meanwhile, dropped to 7.09 billion euros from last year's 9.19 billion euros.

In pre-market activity on the Nasdaq, ASML shares were gaining around 7.03 percent to trade at $731.40.

In Amsterdam, ASML shares were trading at 704.90 euros, up 9.02 percent.

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