Slide 1: ASML 2016 Fourth-Quarter Results
Public ASML reports record 2016 net sales and net income EUV orders show strong customer commitment to production insertion ASML 2016 Fourth-Quarter Results Veldhoven, the Netherlands January 18, 2017
Slide 2: Agenda
Public Slide 2 January 18, 2017 Agenda • Investor key messages • Business highlights • Outlook • EUV highlights • Financial statements
Slide 3: Investor key messages
Public Slide 3 January 18, 2017 Investor key messages
Slide 4: Investor key messages
Investor key messages Public Slide 4 January 18, 2017 • Shrink is a key industry driver supporting innovation and providing long term industry growth • Lithography enables affordable shrink and therefore delivers compelling value for our customers • EUV will enable continuation of Moore’s Law and wi
Slide 5: Business highlights
Public Slide 5 January 18, 2017 Business highlights
Slide 6: 2016 - highlights
2016 - highlights Public Slide 6 January 18, 2017 • Record net sales of € 6.79 billion, including record net service and options sales of € 2.22 billion, gross margin 44.8%, net income € 1.47 billion and EPS € 3.46 • EUV lithography: demonstrated our productivity and availability targets, exiting th
Slide 7: Q4 results summary
Q4 results summary Public Slide 7 January 18, 2017 • Net sales of € 1,907 million, 38 litho systems sold valued at € 1,223 million, net service and field option sales at € 684 million, including HMI • Average selling price of € 32.2 million per system • Gross margin of 47.2%, including the effects o
Slide 8: Net system sales breakdown in value
Net system sales breakdown in value Public Slide 8 January 18, 2017 Technology End-Use Region (ship to location) Sales in Units China 3% ArF Dry 2% Japan 2% 17 15 KrF Q4’16 11% I-line 1% Memory Taiwan EMEA 18% 39% 36% 4 total value Foundry 1 1 35% € 1,223 ArF EUV 12% Immersion EUV ArF i ArFdry KrF I
Slide 9: Total net sales million € by End-use
Total net sales million € by End-use Public Slide 9 January 18, 2017 8,000 7,000 6,795 6,287 6,000 5,856 2,224 5,245 2,050 5,000 4,732 1,614 Service & Options 1,252 Net Sales 930 4,000 Foundry 1,186 2,155 1,608 3,000 2,064 IDM 2,279 831 514 2,000 Memory 945 440 588 2,225 1,000 2,115 1,489 1,471 935
Slide 10: Bookings activity by sector
Bookings activity by sector Public Slide 10 January 18, 2017 Memory 34% New Used Q4’16 total value systems systems € 1,580 million IDM Units 39 5 Foundry 15% 51% Value M€ 1,549 31 Memory 36% New Used Q3’16 total value systems systems € 1,415 million IDM Units 37 6 12% Foundry Value M€ 1,396 19 52%
Slide 11: System backlog in value
System backlog in value Public Slide 11 January 18, 2017 Technology End-Use Region (ship to location) ArF Dry 3% China 8% KrF 9% Memory Rest of Asia 1% Taiwan Q4’16 ArF Immersion I-line 1% 31% 33% EMEA 7% total value 37% € 3,961 IDM New Used 23% systems systems million Foundry Korea USA EUV 46% 25%
Slide 12: Capital return to shareholders
Capital return to shareholders Public Slide 12 January 18, 2017 • Paid € 446 million of dividend and purchased € 400 million worth of our own shares in 2016 • Propose to 2017 Annual General Meeting of Shareholders to declare a dividend of € 1.20 per ordinary share • Share buyback program is currentl
Slide 13: Outlook
Public Slide 13 January 18, 2017 Outlook
Slide 14: Outlook
Outlook Public Slide 14 January 18, 2017 • Our guidance for first-quarter: • Q1 2017 net sales approximately € 1.8 billion • Gross margin around 47% • R&D costs of about € 320 million • SG&A costs of about € 95 million • Other income (Customer Co-Investment Program) of about € 23 million • Effective
Slide 15: EUV highlights
Public Slide 15 January 18, 2017 EUV highlights
Slide 16: EUV 2016 achievements
EUV 2016 achievements Public Slide 16 January 18, 2017 Productivity - Target: 1500 wafers per day • More than 1,500 wafers per day (wpd) exposed on NXE:3350B at a customer site on average over a three days period Availability - Target: 80% • Best performance is four-week average above 90% on two NXE
Slide 17: Commitments to EUV production insertion
Commitments to EUV production insertion Public Slide 17 Initial customer manufacturing targeted for 7 nm logic and mid-10 nm DRAM node January 18, 2017 Customers • Six NXE:3400s orders received in Q4 show commitment to insert EUV in • Backlog now 18 EUV systems, value around volume manufacturing by
Slide 18: Financial statements
Public Slide 18 January 18, 2017 Financial statements
Slide 19: Consolidated statements of operations M€
Consolidated statements of operations M€ Public Slide 19 January 18, 2017 2012 2013 2014 2015 2016 Net sales 4,732 5,245 5,856 6,287 6,795 Gross profit 2,005 2,177 2,596 2,896 3,044 Gross margin % 42.4% 41.5% 44.3% 46.1% 44.8% Other income* — 64 81 83 94 R&D costs (589) (882) (1,074) (1,068) (1,106)
Slide 20: Consolidated statements of operations M€
Consolidated statements of operations M€ Public Slide 20 January 18, 2017 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Net sales 1,434 1,333 1,740 1,815 1,907 Gross profit 660 568 741 834 901 Gross margin % 46.0% 42.6% 42.6% 46.0% 47.2% Other income* 21 23 23 23 23 R&D costs (273) (275) (270) (273) (287)
Slide 21: Consolidated statements of Cash flows M€
Consolidated statements of Cash flows M€ Public Slide 21 January 18, 2017 2012 2013 2014 2015 2016 Net income 1,146 1,016 1,197 1,387 1,472 Net cash provided by (used in) operating activities 704 1,054 1,025 2,026 1,666 Net cash provided by (used in) investing activities (1,120) (368) (16) (1,160) (
Slide 22: Consolidated statements of Cash flows M€
Consolidated statements of Cash flows M€ Public Slide 22 January 18, 2017 Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Net income 292 198 354 396 524 Net cash provided by (used in) operating activities 985 (6) 481 (3) 1,193 Net cash provided by (used in) investing activities (1,078) (183) (24) (484) (2,4
Slide 23: Consolidated Balance sheets M€
Consolidated Balance sheets M€ Public Slide 23 January 18, 2017 Assets 2012 2013 2014 2015 2016 Cash & cash equivalents and short-term investments 2,698 3,011 2,754 3,409 4,057 Net accounts receivable and finance receivables 909 1,175 1,304 1,208 1,264 Inventories, net 1,857 2,393 2,550 2,574 2,781
Slide 24: Consolidated Balance sheets M€
Consolidated Balance sheets M€ Public Slide 24 January 18, 2017 Assets Q4 2015 Q1 2016 Q2 2016 Q3 2016 Q4 2016 Cash & cash equivalents and short-term investments 3,409 3,138 2,926 4,313 4,057 Net accounts receivable and finance receivables 1,208 1,302 1,362 1,593 1,264 Inventories, net 2,574 2,750 2
Slide 25: Forward looking statements
Forward looking statements Public Slide 25 January 18, 2017 This document contains statements relating to certain projections and business trends that are forward-looking, including statements with respect to expected trends and outlook, including expected customer insertion of EUV in volume manufac
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