Dutch high tech group ASML reports profit fall, sees pick-up

Jul 17, 2013

Dutch company ASML, which supplies computer chip making systems, reported a big fall in quarterly profit on Wednesday but said it expected business to bounce back later this year, driven by growing demand for smartphones and tablets.

ASML is regarded as a global high-tech bellwether company

Net profit stood at 221 million euros ($290 million) in the second quarter, down by 24.3 percent from 292 million euros in the second quarter of 2012, ASML said.

The results included the effects of a deal to buy the San Diego-based Cymer corporation for 1.95 billion euros, finalised in May.

ASML is one of the world's leading makers of lithography systems used by the to make and microchips, while Cymer makes the light sources used in the lithography systems.

Based in Veldhoven, southern Netherlands, ASML said that net sales fell by 6.5 percent to 1.15 billion euros with the result matching expectations by analysts.

Despite the dip ASML remained optimistic, saying it expected increased sales to towards the end of 2013, boosted by demand for direct (DRAM) chips on the back of growing global appetites for new smartphones and a myriad of new touch-screen tablets.

DRAM is the memory used in computers to make instant calculations and loses its data quickly when the device is switched off.

"During the second quarter we started to see additional demand from DRAM customers, driven by a healthy mobile DRAM memory market, which could potentially drive 2013 sales to a level of five billion euros, excluding Cymer sales," Peter Wennink, ASML's chief executive said in the statement.

Headquartered just outside the city of Eindhoven, ASML operates in 16 countries and is considered a good indicator of conditions in the microprocessing industry.

It employs about 12,400 people and counts world high-tech leaders such as Samsung and Intel among its customers.

Explore further: Zynga founder Pincus leaving operations role

add to favorites email to friend print save as pdf

Related Stories

Dutch high-tech group ASML posts sharp Q1 slump

Apr 17, 2013

The Dutch company ASML, which supplies computer chip-making systems and is a global high-tech bellwether, posted on Wednesday sharp drops in sales and net profit for the first quarter 2013, but said it expected business to ...

Dutch hi-tech company ASML profits rise

Jan 18, 2012

ASML, key global supplier of computer chip-making systems and high-tech bellwether, Wednesday posted record sales for 2011 alongside a fourth-quarter slump of nearly 30 percent in net income.

Dutch tech company ASML posts profit rise

Oct 12, 2011

Dutch company ASML, a key global supplier of computer chip-making systems, said Wednesday net profits had jumped 32 percent in the third quarter and maintained its outlook to achieve record sales by the end of 2011.

Chipmaker ASML sees Q2 profit drop on sales fall

Jul 18, 2012

(AP) — ASML Holding NV, the largest supplier of manufacturing equipment to computer chip makers, says its net profit fell to €292 million ($359 million) in the second quarter from €432 million in the same period ...

Recommended for you

Amazon Prime wins streaming deal with HBO

8 hours ago

Amazon scored a deal Wednesday to distribute old shows from premium cable TV channel HBO to its monthly Prime subscribers, landing a blow on rival Netflix in the streaming video battle.

LinkedIn to anchor new San Francisco high-rise

18 hours ago

San Francisco Mayor Ed Lee says the professional networking site LinkedIn will expand its presence in the city by anchoring a high-rise office building under construction.

User comments : 0

More news stories

US urged to drop India WTO case on solar

Environmentalists Wednesday urged the United States to drop plans to haul India to the WTO to open its solar market, saying the action would hurt the fight against climate change.