ASML announced its first-quarter 2022 earnings and revealed that it had secured multiple orders for its next-generation EUV equipment, 'High NA'.

On the 20th (local time), ASML announced that it recorded 3.5 billion euros in revenue and 690 million euros in net profit for the first quarter of this year. The gross profit margin stood at 49.0%, down 4.9 percentage points from the same period last year and 5.2 percentage points from the previous quarter. However, ASML CEO Wennink predicted that the revenue growth forecast for 2022 would remain unchanged.

The operating profit margin for the first quarter was 22.2%, down 13.6%p from the same period last year and 18.5%p from the previous quarter.

Order backlog stood at 7 billion euros in the first quarter, representing 34% for the memory sector and 66% for the system sector. Total equipment sales amounted to 2.28 billion euros, accounting for 47% of argon fluoride immersion (ArFi) and 26% of EUV equipment.

ASML CEO Peter Wennink projected that "second-quarter revenue will reach 5.1 to 5.3 billion euros and the gross profit margin will be 49 to 50 percent," and stated that he maintains the forecast of a 20 percent revenue growth rate for 2022.

ASML stated that it received orders for several units of its next-generation extreme ultraviolet lithography equipment, the 'High NA,' from system and memory manufacturers in the first quarter. It revealed that the High NA, with a lens aberration of 0.55 NA, enables chip capabilities 1.7 times smaller and chip density 2.9 times higher than existing equipment.

The industry believes that Intel is highly likely to be the first supplier of High NA, which will enable such sub-3nm fine processes. It is projected that the first prototype will be provided by the end of 2024.

CEO Wennink explained, “In the first quarter, the order backlog reached 7 billion euros, driven by solid sales of EUV systems and DUV systems, which reflects the continued strong demand for advanced and mature nodes.”

He went on to predict that “the situation where demand exceeds production capacity will continue,” adding that “ASML will support customers by providing upgrades to improve productivity and shortening factory cycle times, and will continue early shipments.”