Slide 1: ASML 2018 Third-Quarter Results
Public ASML reports € 2.8 billion sales in Q3, expects € 3 billion sales in Q4 ASML sees further growth for 2019 ASML 2018 Third-Quarter Results Veldhoven, the Netherlands October 17, 2018
Slide 2: Agenda
Public Slide 2 October 17, 2018 Agenda • Investor key messages • Business highlights • Outlook • Product highlights • Financial statements
Slide 3: Investor key messages
Public Slide 3 October 17, 2018 Investor key messages
Slide 4: Investor key messages
Investor key messages Public Slide 4 October 17, 2018 • 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 • DUV, Holistic Litho and EUV are highly differentia
Slide 5: Business highlights
Public Slide 5 October 17, 2018 Business highlights
Slide 6: Q3 results summary
Q3 results summary Public Slide 6 October 17, 2018 • Net sales of € 2,776 million, net systems sales valued at € 2,081 million, Installed Base Management sales of € 695 million • Gross margin of 48.1% • Operating margin of 29.5% • Net income as a percentage of net sales of 24.5% • Net bookings of €
Slide 7: Net system sales breakdown in value
Net system sales breakdown in value Public Slide 7 October 17, 2018 Q3’18 total value € 2,081 million Q2’18 total value € 2,086 million
Slide 8: Total net sales € million by End-use
Total net sales € million by End-use Public Slide 8 October 17, 2018 Installed Base Management Logic Memory As of January 1, 2018, ASML has adopted the new Revenue Recognition Standard (ASC 606) and Lease Standard (ASC 842). The comparative numbers have not been adjusted to reflect these changes in
Slide 9: Litho systems bookings activity by End-use
Litho systems bookings activity by End-use Public Slide 9 October 17, 2018 Lithography systems Q3’18 total value New Used € 2,200 million Units 62 5 Lithography systems New Used Q2’18 total value Units 52 7 € 1,952 million Net bookings do not include High-NA EUV orders. Q3 bookings include 1 EUV sys
Slide 10: Capital return to shareholders
Capital return to shareholders Public Slide 10 October 17, 2018 • € 362 million worth of shares have been repurchased in Q3 • Around € 1.7 billion of the 2018/2019 share buyback program remaining Dividend Share buyback 2009 YTD The dividend for a year is paid in the subsequent year Capital return is
Slide 11: Outlook
Public Slide 11 October 17, 2018 Outlook
Slide 12: Q4 Outlook
Q4 Outlook Public Slide 12 October 17, 2018 • Q4 2018 net sales of about € 3.0 billion ◦ Including EUV system revenue around € 500 million • Gross margin around 48% • R&D costs of about € 420 million • SG&A costs of about € 135 million • Effective annualized tax rate around 14%
Slide 13: Product highlights
Public Slide 13 October 17, 2018 Product highlights
Slide 14: EUV commitment to volume manufacturing continues
EUV commitment to volume manufacturing continues Public Slide 14 October 17, 2018 • 5 EUV systems shipped and revenue recognized in Q3 • Received 5 EUV orders in Q3 Customers • Shipment plan of 6 systems in Q4, including 1 system commitment to insert EUV for a collaborative Research Center (imec), b
Slide 15: Financial statements
Public Slide 15 October 17, 2018 Financial statements
Slide 16: Consolidated statements of operations € million
Consolidated statements of operations € million Public Slide 16 October 17, 2018 Q3 2017 1 Q4 2017 1 Q1 2018 Q2 2018 Q3 2018 Net sales 2,447 2,561 2,285 2,740 2,776 Gross profit 1,050 1,156 1,113 1,187 1,336 Gross margin % 42.9 45.2 48.7 43.3 48.1 Other income 2 24 24 — — — R&D costs (315) (317) (35
Slide 17: Consolidated statements of Cash flows € million
Consolidated statements of Cash flows € million Public Slide 17 October 17, 2018 Q3 2017 1 Q4 2017 1 Q1 2018 Q2 2018 Q3 2018 Net income 557 644 540 584 680 Net cash provided by (used in) operating activities 400 1,037 191 759 492 Net cash provided by (used in) investing activities (72) (533) 182 (62
Slide 18: Consolidated Balance sheets € million
Consolidated Balance sheets € million Public Slide 18 October 17, 2018 Assets Q3 2017 1 Q4 2017 1 Q1 2018 Q2 2018 Q3 2018 Cash & cash equivalents and short-term investments 2,678 3,288 3,194 2,980 2,948 Net accounts receivable and finance receivables 2,066 2,096 2,025 1,932 2,794 Contract assets — —
Slide 19: Forward looking statements
Forward looking statements Public Slide 19 October 17, 2018 This document contains statements relating to certain projections, business trends and other matters that are forward-looking, including statements with respect to expected trends and outlook, bookings, expected financial results and trends
Slide 20: S ML
S ML