Semiconductor firm ASML opened the year with lower earnings but expected an improvement in the second quarter, the company announced in a filing.

  • First-quarter net income stood at €695 million, lower than the €1.774 billion recorded in the fourth quarter of 2021. Basic earnings per share also declined to €1.73 from €4.39 the previous quarter.
  • Net sales dropped to €3.534 billion from €4.986 billion, with net bookings down to €6.977 billion from €7.050 billion. Gross profit for the quarter slipped to €1.731 billion from €2.701 billion.
  • Chief Executive Peter Wennink said the firm expects second-quarter net sales between €5.1 billion and €5.3 billion, with a gross margin falling in the range between 49% and 50%.
  • Wennink said the company continues to see demand above its current production capacity, but it is working on expanding capacity together with its supply chain partners. It is looking to revisit its 2025 scenarios.

ASML plans to repurchase up to €9-billion worth of shares, with 0.45 million shares to be used to cover employee share plans. ASML is up 4.31%.