Slide 1: Q3 sales strong across the full product portfolio
Public Q3 sales strong across the full product portfolio Very strong demand for DUV systems EUV shipments continue to ramp in support of customer plans ASML 2017 Third-Quarter Results Veldhoven, the Netherlands October 18, 2017
Slide 2: Agenda
Public Slide 2 October 18, 2017 Agenda • Investor key messages • Business highlights • Outlook • Product / Market highlights • Financial statements
Slide 3: Investor key messages
Public Slide 3 October 18, 2017 Investor key messages
Slide 4: Investor key messages
Investor key messages Public Slide 4 October 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 October 18, 2017 Business highlights
Slide 6: Q3 results summary
Q3 results summary Public Slide 6 October 18, 2017 • Net sales of € 2,447 million, net systems sales valued at € 1,819 million, net Installed Base Management sales at € 628 million • Gross margin of 42.9% • Operating margin of 26.8% • Net bookings of € 2,154 million • Backlog at € 5,693 million, inc
Slide 7: Net system sales breakdown in value
Net system sales breakdown in value Public Slide 7 October 18, 2017 Q3’17 total value € 1,819 million Q2’17 total value € 1,384 million Lithography systems do not include metrology and inspection systems
Slide 8: Total net sales million € by End-use
Total net sales million € by End-use Public Slide 8 October 18, 2017 Installed Base Management Foundry IDM Memory YTD Net Installed Base Management equals our service and field option sales
Slide 9: Bookings activity by sector
Bookings activity by sector Public Slide 9 October 18, 2017 Lithography systems Q3’17 total value New Used € 2,154 million Units 65 5 Lithography systems New Used Q2’17 total value Units 49 6 € 2,375 million Lithography systems do not include metrology and inspection systems
Slide 10: System backlog in value
System backlog in value Public Slide 10 October 18, 2017 Q3’17 total value Lithography systems € 5,693 New Used million Units 110 12 Q2’17 total value Lithography systems € 5,351 New Used million Units 93 14 Lithography systems do not include metrology and inspection systems
Slide 11: Capital return to shareholders
Capital return to shareholders Public Slide 11 October 18, 2017 Progress of 2016/2017 share buyback program for up to € 1.5 billion • € 569 million worth of shares (6.0 million) have been repurchased so far ◦ repurchased shares worth € 169 million in Q3 • As a result of the pause in the program from
Slide 12: Outlook
Public Slide 12 October 18, 2017 Outlook
Slide 13: Q4 Outlook
Q4 Outlook Public Slide 13 October 18, 2017 • Q4 2017 net sales around € 2.1 billion ◦ EUV revenue approximately € 300 million • Gross margin around 44% • R&D costs of about € 315 million • SG&A costs of about € 110 million • Other income (Customer Co-Investment Program) of about € 24 million • Effe
Slide 14: Product / Market highlights
Public Slide 14 October 18, 2017 Product / Market highlights
Slide 15: EUV shipments ramp in support of customers production plans
EUV shipments ramp in support of customers Public Slide 15 production plans October 18, 2017 • 3 NXE:3400B systems shipped in Q3, 4 Customers recognized in revenue show commitment to insert EUV in • Shipped 6 EUV systems YTD, targeting 6 to be volume manufacturing by ordering shipped in Q4 • 23 EUV
Slide 16: Pattern Fidelity Metrology: high capture rate of defects at a throughput supporting volume production
Pattern Fidelity Metrology: high capture rate of defects Public Slide 16 October 18, 2017 at a throughput supporting volume production • We shipped the first product that was jointly developed with the engineering team of HMI, which ASML acquired last year. The product, ePfm5, is a pattern fidelity
Slide 17: E-Beam inspection for EUV mask defects
E-Beam inspection for EUV mask defects Public Slide 17 October 18, 2017 • E-beam enables improved defect detection as optical inspection has resolution challenges on EUV reticles • Multi-column technology enables faster throughput to inspect full reticle in < 24 hours • First eXplore 6000 system shi
Slide 18: Financial statements
Public Slide 18 October 18, 2017 Financial statements
Slide 19: Consolidated statements of operations M€
Consolidated statements of operations M€ Public Slide 19 October 18, 2017 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Net sales 1,815 1,907 1,944 2,101 2,447 Gross profit 834 901 925 946 1,050 Gross margin % 46.0% 47.2% 47.6% 45.0% 42.9% Other income 1 23 23 24 24 24 R&D costs (273) (287) (315) (313) (3
Slide 20: Consolidated statements of Cash flows M€
Consolidated statements of Cash flows M€ Public Slide 20 October 18, 2017 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Net income 396 524 452 466 557 Net cash provided by (used in) operating activities (3) 1,193 (168) 530 400 Net cash provided by (used in) investing activities (485) (2,498) 150 (754) (72
Slide 21: Consolidated Balance sheets M€
Consolidated Balance sheets M€ Public Slide 21 October 18, 2017 Assets Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Cash & cash equivalents and short-term investments 4,313 4,057 3,836 2,514 2,678 Net accounts receivable and finance receivables 1,593 1,264 1,426 1,758 2,066 Inventories, net 2,697 2,781 2
Slide 22: Forward looking statements
Forward looking statements Public Slide 22 October 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, systems backlog, expected financial results and trends for the
Slide 23: S ML
S ML