Chip machine manufacturer ASML has recorded lower turnover in the first three months of the year than a year earlier. Demand for the equipment to make semiconductors is still very high due to chip shortages, but according to the Veldhoven company, its own production capacity is lagging behind. Expenditure to be able to produce more took a bite out of the profits.
In the first quarter, ASML sold 3.5 billion euros worth of chip machines and related maintenance services. A year earlier, that was barely 4.4 billion euros. Another factor is that the chip machine manufacturer can only record turnover from the sale of its highly advanced machines after tests at customer sites.
Profit amounted to 695 million euros, compared to 1.3 billion euros in the first three months of 2021.
“We still see that the demand for our systems exceeds our current production capacity,” CEO Peter Wennink said in a comment on the figures. Wennink warned earlier in an interview with business newspaper Financial Times that it takes a lot of time to expand.