LONDON (ShareCast) - (Sharecast News) - Shares in ASML jumped on Wednesday after the Dutch chipmaking supplier reported a doubling of orders in the third quarter, with investors seemingly shrugging off comments about an expected decline in sales from China.
The company, which makes advanced photolithography machines used in semiconductor manufacturing, reported net bookings of €5.40bn over the three months to 30 September, slightly lower than the second quarter but double the €2.63bn reported a year earlier. According to Visible Alpha consensus, the market was looking for orders of €5.36bn.

Some €3.60bn of bookings taken during the period were for extreme ultraviolet (EUV) lithography machines, essential in the production of chips that power AI.

"We have seen continued positive momentum around investments in AI, and have also seen this extending to more customers," said chief executive Christophe Fouquet in a statement. "On the technology side, we see litho intensity continue to develop positively as EUV adoption gains momentum."

Net sales totalled €7.52bn at a gross margin of 51.6%, a slight improvement on the €7.47bn top line and 50.8% gross margin recorded last year. However, sales came in slightly behind the €7.79bn expected by analysts.

Nevertheless, ASML booked a net income of €2.13bn, up from €2.08bn last year and ahead of the €2.11bn consensus forecast.

Looking forward, the company acknowledged that demand from China - and accordingly, sales - would "decline significantly" in 2026 from the very strong growth seen in 2024 and 2025. The sector is having to contend with tightening US chip export controls to China as Washington and Beijing continue to ramp up their protectionist measures.

However, overall net sales next year are still expected to be at least in line with 2025, with more details expected in the 2026 outlook in January.

Shares were 3.5% higher at €876 by 1137 in Amsterdam.

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