Investors sent shares in ASML Holding NV (NASDAQ:ASML) climbing to a record level Wednesday after the Netherlands-based manufacturer of chip-making equipment trounced Wall Street’s estimates for second-quarter sales and earnings.
By the late afternoon, ASML shares were up 6.5% to hit a high of US$217.64 and the stock was the second-leading gainer on the Nasdaq.
The Dutch group earned €1.37 (US$1.60) per share on net sales of €2.74bn (US$3.19bn). Its net income, meanwhile, swung to €584mln (US$680m), from €540mln (US$628.9mln) in the previous quarter.
The results whizzed past the expectations of analysts who had projected that ASML would earn US$1.42 per share on sales of US$3.05bn.
ASML’s results were helped by booming sales of its extreme ultraviolet lithography systems or EUVs, which can trace smaller circuits onto silicon chips and lift speed and capacity.
The company reported the shipping of four EUV systems in the second quarter and it’s on track to supply 20 EUV systems this year. EUVs reportedly cost more than 100mln euros each.
“After an excellent first half of 2018, we expect the second half to be stronger, with improved profitability and continued growth from the third quarter to the fourth quarter,” said CEO Peter Wennink in a statement.
Contact Ellen Kelleher at [email protected]