ASM International, a leading manufacturer of semiconductor production equipment based in the Netherlands, has substantially raised its financial projections for 2027. The company now anticipates revenues exceeding €5.7B, a significant jump from its prior forecast of above €4.6B issued in July. This represents an increase of approximately 24% and reflects accelerating demand from chipmakers focused on memory and artificial intelligence applications.
The revised forecast means ASM will reach its original 2030 revenue target a full three years earlier than initially planned. The company announced on Tuesday that it will also initiate a share repurchase programme of up to €300M. In the third quarter alone, revenue climbed 44% to reach a record €1.16B, while net income totalled €308.1M, both figures exceeding analyst expectations. Trading markets responded positively, with ASM's US-listed shares gaining 6.7% on the day.
ASM manufactures equipment that deposits extremely thin layers of material onto silicon wafers—a critical process in chip fabrication. The company benefits from the current AI infrastructure boom by supplying essential tools to manufacturers rather than developing AI systems themselves. Major customers include TSMC, which has committed to spending up to $64B this year following its sixth consecutive record profit, and Intel.
According to chief executive Hichem M'Saad, "Capacity remains tight across our customer base, and customers are moving quickly to increase output." Despite strong demand, ASM acknowledged that its own supply chain faces constraints. The company is actively collaborating with both suppliers and customers to accelerate delivery timelines and address production bottlenecks.
The supply-chain pressures affecting ASM are not unique within the sector. ASML, another prominent Dutch toolmaker, reported earlier this month that it cannot satisfy current demand levels in 2027 and 2028 given its present manufacturing capacity.
Source: The Next Web
