Press release - VELDHOVEN, the Netherlands, January 20, 2021
Today ASML Holding NV (ASML) has published its 2020 fourth-quarter and full-year results.
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Q4 net sales of €4.3 billion, gross margin of 52.0%, net income of €1.4 billion
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Q4 net bookings of €4.2 billion
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2020 net sales of €14.0 billion, gross margin of 48.6%, net income of €3.6 billion
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ASML expects Q1 2021 net sales of between €3.9 billion and €4.1 billion and a gross margin between 50% and 51%
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ASML intends to declare a total dividend over 2020 of €2.75 per ordinary share (15% increase)
(Figures in millions of euros unless otherwise indicated) | Q3 2020 | Q4 2020 | FY 2019 | FY 2020 |
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Net sales | 3,958 | 4,254 | 11,820 | 13,979 |
...of which Installed Base Management sales 1 | 862 | 1,056 | 2,824 | 3,662 |
New lithography systems sold (units) | 57 | 73 | 203 | 236 |
Used lithography systems sold (units) | 3 | 7 | 26 | 22 |
Net bookings 2 | 2,868 | 4,238 | 11,740 | 11,292 |
Gross profit | 1,881 | 2,212 | 5,280 | 6,798 |
Gross margin (%) | 47.5 | 52.0 | 44.7 | 48.6 |
Net income | 1,062 | 1,351 | 2,592 | 3,554 |
EPS (basic; in euros) | 2.54 | 3.23 | 6.16 | 8.49 |
End-quarter cash and cash equivalents and short-term investments | 4,408 | 7,351 | 4,718 | 7,351 |
(1) Installed Base Management sales equals our net service and field option sales.
(2) Our systems net bookings include all system sales orders for which written authorizations have been accepted (for EUV excluding the High-NA systems).
Numbers have been rounded for readers' convenience. A complete summary of US GAAP Consolidated Statements of Operations is published on www.asml.com
CEO statement and outlook
"Our fourth-quarter sales came in at €4.3 billion, which is above our guidance. This was mainly due to additional DUV shipments and upgrade opportunities. We shipped nine EUV systems and recognized revenue for eight systems in the fourth quarter. Our fourth-quarter net bookings came in at €4.2 billion, including €1.1 billion from EUV systems (net six units).
"The total net sales for the year was €14.0 billion, including €4.5 billion from 31 EUV systems. For ASML, 2020 was a year of strong growth, both in sales and in profitability.
"For 2021, we expect another year of growth driven by strong Logic demand and continued recovery in Memory. The build out of the digital infrastructure and the continued technology innovation is relevant to the consumer, automotive and industrial markets and drives demand across our entire product portfolio," said ASML President and Chief Executive Officer Peter Wennink.
ASML expects first-quarter revenue between €3.9 billion and €4.1 billion with a gross margin between 50% and 51%, R&D costs of €620 million and SG&A costs of €165 million. The estimated annualized effective tax rate is expected to be between 14% and 15% for 2021.
Products and business highlights
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In our EUV business, we celebrated the milestone of the 100th EUV system shipment. By end 2020, 26 million wafers were exposed on our EUV installed base, of which 9 million in the fourth quarter.
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In our DUV business, we focused on meeting our customers' increasing demand for all DUV systems as well as on optimizing factory capacity, reducing the install cycle time and supporting the tools in the field for maximum productivity. While the first NXT:2050i systems took up to 120 days to build, at the end of last year we already showed build time capability of 60 days over the last five systems.
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In our Applications business, we shipped the first YieldStar 385 to a customer in Q4 and achieved a record year for YieldStar shipments. The YieldStar 385 offers the latest in-resist overlay and focus metrology, with enhanced throughput and accuracy, to meet N3 requirements. Compared to previous systems, key enhancements include a faster stage and faster wavelength switching, which enable highly accurate overlay measurements and tool matching using multiple wavelengths.
Dividend proposal and share buyback program update
ASML intends to declare a total dividend in respect of 2020 of €2.75 per ordinary share. Recognizing the interim dividend of €1.20 per ordinary share paid in November 2020, this leads to a final dividend proposal to the General Meeting of €1.55 per ordinary share. This is a 15% increase compared to the 2019 total dividend of €2.40 per ordinary share.
As part of its financial policy to return excess cash to its shareholders through growing dividends and share buybacks, in January 2020, ASML announced a new three-year share buyback program, to be executed within the 2020–2022 time frame. As part of this program, ASML intends to purchase shares up to €6 billion, which includes a total of up to 0.4 million shares to cover employee share plans. ASML intends to cancel the remainder of the shares repurchased. To date, €1.2 billion worth of shares has been repurchased under the current program.
About ASML
US GAAP and IFRS Financial Reporting
2020 Annual Reports
Regulated information
Forward Looking Statements