ASML (ASML) Q2 2026 Investor call earnings summary

Executive summary

• Q2 2026 net sales reached €9.3 billion, with net income of €2.9 billion, both exceeding guidance due to strong Installed Base Management sales and robust demand in AI, logic, and memory segments.

• High-NA EUV achieved a milestone in high-volume logic production, supporting advanced node manufacturing and flexibility.

• Ongoing AI-driven investments and customer capacity expansions are fueling industry growth and long-term order visibility.

• The company remains committed to innovation, technology leadership, and shareholder returns through dividends and buybacks.

Financial highlights

• Q2 2026 gross margin was 54.0%, operating margin 37.1%, and net income margin 31.3%; EPS was €7.59.

• Q2 2026 net system sales were €6.6 billion, with Installed Base Management sales at €2.8 billion, €300 million above guidance.

• Free cash flow in Q2 2026 was €1.3 billion; cash and equivalents at quarter-end were €6.7–€7.6 billion.

• Final 2025 dividend paid was €2.70/share, total 2025 dividend €7.50/share; €1.1 billion in share buybacks in Q2 2026.

• 91 lithography systems sold in Q2 2026, up from 79 in Q1 2026.

Outlook and guidance

• Q3 2026 net sales expected between €11–€12 billion; gross margin 55–57%; R&D ~€1.2 billion, SG&A ~€0.4 billion.

• Full-year 2026 net sales forecasted at €43–€45 billion, gross margin 54–56%, effective tax rate ~17%.

• Advanced logic foundry net system sales expected to grow over 25% in 2026; memory-related net system sales to grow over 75%.

• Plans to expand EUV and DUV immersion capacity by 30% in 2027, with further increases considered for 2028.