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ASML Holding Q3 Earnings Beat Estimates, Revenues Rise Y/Y

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Key Takeaways

  • ASML posted Q3 2025 EPS of 5.48 euros, up 3.8% year over year, surpassing the consensus estimate.
  • Net sales rose 0.7% year over year to 7.52B euros, driven by strong service and field revenues.
  • Gross margin expanded to 51.6%, and ASML expects 2025 sales growth of about 15% with 52% margins.

ASML Holding ((ASML - Free Report) ) reported third-quarter 2025 earnings of €5.48 per share, which increased 3.8% year over year. Converted to USD, ASML’s third-quarter 2025 earnings came at $6.41 per share, which surpassed the Zacks Consensus Estimates by 2.2%.

ASML reported total net sales of €7.52 billion for the third quarter of 2025, up 0.7% year over year. Converted to USD, ASML’s third-quarter 2025 revenues were $8.78 billion, which lagged the Zacks Consensus Estimate by 0.3%.

ASML’s Financials in Detail

Segment-wise, ASML’s Systems net sales were €5.554 billion, which contributed 73.9% to its top line, reflecting a decline of 6.3% from the year-ago quarter. The Systems’ sales were mainly driven by traction in logic, followed by memory.

ASML Holding’s Services and Field segment’s net sales were pegged at €1.962 billion (26.1% of the top line), up 27.3% from the prior-year quarter.

ASML Holding N.V. Price, Consensus and EPS Surprise

ASML Holding N.V. Price, Consensus and EPS Surprise

ASML Holding N.V. price-consensus-eps-surprise-chart | ASML Holding N.V. Quote

ASML’s gross margin was 51.6%, which expanded 80 basis points (bps) from the year-ago quarter.

Operating expenses were €1.41 billion, up 4.4% from the year-ago quarter. As a percentage of sales, the figure contracted 160 bps from the year-earlier quarter to 18.80%.

The non-GAAP operating margin of 32.8% expanded 20 bps year over year.

Balance Sheet & Cash Flow of ASML

As of Sept. 28, 2025, cash, cash equivalent balances and short-term investments were €5.13 billion, down from €7.25 billion as of June 29, 2025.

Inventories were €11.76 billion in the third quarter compared with €11.58 billion in the second quarter of 2025. Accounts receivables increased to €5.36 billion from €4.99 billion in the previous quarter.

The long-term debt was €2.70 billion at the end of the quarter, down from the previous quarter’s €3.69 billion. ASML posted a net negative cash flow of €2.117 billion.

Guidance

For the fourth quarter of 2025, ASML expects total net sales between €9.2 billion and €9.8 billion. In terms of USD, the projection stands between $10.72 billion and $11.42 billion. The Zacks Consensus Estimate is pegged at $11.02 billion.

The company anticipates a gross margin between 51% and 53%. Research and development costs are projected to be around €1.2 billion, while selling, general and administrative expenses are expected to be approximately €320 million.

For full-year 2025, ASML expects total net sales to grow by approximately 15% year over year, with a gross margin of around 52%.

Zacks Rank and Stocks to Consider

Currently, ASML carries a Zacks Rank #3 (Hold).

Some better-ranked stocks that investors can consider are Analog Devices ((ADI - Free Report) ), Dell Technologies ((DELL - Free Report) ) and CrowdStrike ((CRWD - Free Report) ), each sporting a Zacks Rank #1 (Strong Buy) at present. You can see the complete list of today’s Zacks #1 Rank stocks here.

Analog Devices’ shares have gained 11.9% year to date. The Zacks Consensus Estimate for Analog Devices’ full-year fiscal 2025 earnings is pegged at $7.75 per share, up 4.7% over the past 60 days, indicating an increase of 21.5% from the year-ago quarter’s reported figure.

Dell Technologies shares have gained 33.7% year to date. The Zacks Consensus Estimate for Dell Technologies’ full-year fiscal 2026 earnings is pegged at $9.54 per share, up 0.7% over the past 60 days, indicating a rise of 17.2% from the year-ago quarter’s reported figure.

CrowdStrike’s shares have rallied 43% year to date. The Zacks Consensus Estimate for CrowdStrike’s full-year fiscal 2026 earnings is pegged at $3.67 per share, down by a cent over the past 30 days, indicating a decline of 6.6% from the year-ago quarter’s reported figure.

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