AI buildout is pulling in chip-gear orders
ASM tied the stronger outlook to orders connected to artificial intelligence spending. It expects next year's growth to come from memory makers and advanced logic producers supplying AI data centers. Its tools lay down thin film layers on wafers - a foundational step in chip manufacturing - and it is booking more business as customers raise output and chase higher efficiency and performance.
Updated outlook and Q3 scorecard
The lifted 2027 view of above €5.7 billion compares with the prior guide from July of more than €4.6 billion. For the most recent quarter, revenue at constant currencies climbed 44% to €1.16 billion, and net income fell to €308.1 million. Both surpassed the average analyst estimates compiled by Bloomberg.
Customers, capex, and a tight supply chain
ASM's customer list includes Taiwan Semiconductor Manufacturing Co. and Intel Corp. TSMC, which builds chips for Nvidia and Apple, intends to spend up to $64 billion, while Intel estimated about $20 billion of investment for new fabrication facilities and equipment this year. Peer ASML Holding NV said earlier this month it is increasing production capacity after finding it could not meet demand in 2027 and 2028 at current output. ASM said its own supply chain is stretched and that it is coordinating with vendors and clients to speed up deliveries.
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What this means for your portfolio
"The demand environment remains very strong," Chief Executive Officer Hichem M'Saad said, adding, "Capacity remains tight across our customer base, and customers are moving quickly to increase output." In plain English: AI infrastructure is still pulling forward spending on chipmaking tools, and ASM is catching that wave with a higher multiyear revenue path and a €300 million buyback.
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