A：The key financial results include total net sales of €8 billion in the fourth quarter and €32.7 billion for the full year 2025. Net system sales were driven by logic at 70%, with the remaining 30% coming from memory. Gross margin for the quarter was 52.2%, and the effective tax rate for the full year 2025 was 17.7%. Net income was €2.8 billion in Q4, and for the full year, it was €9.6 billion. Additionally, the company had a backlog of around €38.8 billion as of December 31, 2025.

A：For the full year 2026, ASML expects net sales to be between €34 billion and €39 billion with a gross margin of between 51% and 53%.

A：For the first quarter of 2026, ASML expects total net sales between €8.2 billion and €8.9 billion, with an expected gross margin between 51% and 53%. They anticipate installed base management sales around €2.4 billion and expect RD expenses of about €1.2 billion and GA expenses around €375 million. Additionally, the company expects to generate free cash flow of €11 billion in the full year 2025.

A：KMA declared a total dividend for 2025 of €7.5 per ordinary share, a 17% increase compared to 2024. An interim dividend of €1.6 per ordinary share will be paid on February 18, 2026. ASML also announced a new share buyback program effective in 2026 to repurchase up to €2 billion of its shares, with a remainder of shares repurchased intended to cover employee share plans.

A：The market outlook has improved notably over the last months, especially related to the continued buildup of data centers and AI-related infrastructure. This has translated into additional capacity needs at advanced logic and DRAM customers, leading to an increased demand across ASML's product portfolio, with a particular boost in the EUV business.

A：The notable increase in capacity expansion planning is attributed to advanced logic customers becoming more positive on the long-term sustainability of demand, migrations of AI accelerators to more litho-intensive nodes, and the ramping of the script nanometer node for next-generation HPC and mobile applications. Additionally, there is strong demand for HBM and DDR products with supply expected to remain tight through at least 2026, and customers are continuing to adopt more EUV layers on various nodes.

A：Revenues are expected to be significantly up for the current year due to dynamics in advanced logic and EUV. However, for non-EUV, revenues are expected to be similar to the previous year as advanced logic and memory customers expand capacity. The revenue outlook for the China region in 2026 is expected to align with the current system backlog at around 20%. The metrology and inspection businesses are expected to grow significantly due to increased investment in process control strategies. Revenues from installed base management are projected to grow, mainly from increasing service revenue from a growing installed base and customers' plans for performance upgrades.

A：The progress in EUV technology includes driving down the cost of technology for advanced processes, ramping the next-generation tool, and productivity gains supporting the replacement of complex multi-patterning with single-exposed UV. There is an expectation for immersion and EUV lithography intensity to increase as customers migrate from 6F square technology to 4F square architectures. The introduction of Ina for logic and DRAM applications is reported, with the acceptance of the Exe 5200 B system for high-volume manufacturing. The adoption of multi-EBM inspection systems is anticipated to detect non-provisional year-limiting defects. Overall, the focus remains on supporting the roadmap requirements of customers and enhancing competitiveness.

A：The speaker views the impact of AI on customer demand for advanced products as positive, particularly for their advanced EUV products. End market dynamics are supporting a shift towards increased demand for advanced lithography products and an enhanced intensity. The introduction of EUV supports the conversion of multipatterning to single DUV exposure, especially on advanced DRAM nodes. The speaker reaffirmed the 2024 Capital Market Day revenue opportunity between €44 billion and €60 billion with a gross margin between 56% and 60%.

A：Based on EUV bookings, it appears the speaker is entering the year with approximately 114 low tools and an implied guidance of about 56. This suggests a lack of clarity around the precise timing of clean room space additions and challenges in sourcing lenses from Carl Zeiss. There could be issues with lead time extensions. The factors contributing to revenue expectations include the ramping during the year to accommodate demand, customers completing their fabs, execution and continuous ramping of EUV tool rate, and the qualification data collection process extending into most of the year.

A：Follow-on high NA orders in the second half of 2026 are a possibility, but there is no definitive prediction. The speaker notes continued good progress at both DRAM and logic customers and the testing of limited product wafers. Decisions on new orders are expected to be made in the second half of 2026 and 2027. It is a neck-to-neck race between DRAM and logic for the first insertion of new orders, and it is hard to say which will adopt sooner. However, there is an indication of an increased appetite for technology adoption in both sectors.

A：The revenue growth guidance for 2026 is influenced by the progress that customers make in completing their fabs and their ability to integrate tools, which is a significant determinant in whether demand materializes in 2025 or beyond. The company's ability to execute is also crucial, but customer progress is a primary variable.

A：ASML has designed its infrastructure to respond within a few months or slightly over to meet demand. Long lead-time items are in place, including a clean room and equipment, to support a quick response. In response to stronger demand signals in recent months, ASML is ramping up capacity gradually, increasing the move rate quarter on quarter, and coordinating with the supply chain to ensure sustainable increases in production.

A：Customers are providing some visibility on equipment needs for next year and the year after. They have been discussing the sustainability of AI-related demand and have shown this through both concrete orders and indications of demand. Public commentary from customers and discussions with ASML indicate a strong alignment on the forecast for growth and expectations for 2027 and beyond.

A：The recent alignment in the ecosystem, with customers being more vocal about capacity planning and providing midterm demand indications, signifies a strong buildup of demand. This is supported by evidence from logic and DRAM customers in recent weeks. The alignment across the ecosystem suggests a robust demand outlook in the next few months and beyond.

A：If there is a significant increase in demand for EUV tools beyond the current discussions for the 2030 timeframe, the impact on ASML's lead time would depend on the extent of the demand surge. The company may need to invest in research and development to enhance tool productivity or adjust its production capacities to meet the higher demand. The exact lead time implications are not specified in the transcript.

A：The key elements that could drive an expectation of China being 20% of total sales include customers' ability to utilize the company's tools effectively, executing on the current plans, and a robust installed base business, particularly on upgrades, due to high demand for additional capacity in the current market.

A：The road map on low NA tools will continue to push for lower cost tools with higher throughput, while an increased number of high NA tools will provide significant additional output capacity. This combination is expected to provide customers with considerably higher numbers of output capabilities than discussed previously.

A：The company's flexibility in responding to market developments is attributed to the ongoing work and productivity it has planned, which provides additional flexibility. The steps taken on capex in the last few years, despite lower-than-anticipated demand at certain points, have created the right flexibility to anticipate market changes.

A：The increase in memory orders was not just driven by DPV but also by Eev. The company expects a major memory play in its sales by 2026. The demand composition in the future is more balanced with respect to logic and memory compared to the past. This indicates that the strength in memory demand is not isolated to DPV and is a broader market trend.

A：The company expects the demand for UV layers on DRAM to continue increasing, which is supported by strong capacity demand and discussions with customers. The potential impact on revenue is positive, as this growth is anticipated to lead to an increase in revenue from the sale of DRAM capacity in the future.

A：EUV manufacturing capacity is dynamic and not a limiting factor for growth next year. Capacity can be increased over time in a sustainable manner, and there is no indication that it will constrain growth. The movement of tools between this year and next year has not led to a significant change in revenue guidance for the upcoming year.

A：The key factors impacting the ramp-up of EUV capacity include clear communication with customers about the company's ability to increase capacity and the flexibility built into the company's model. This transparency and flexibility are expected to positively influence customer confidence and bookings for future capacity, indicating that there is not a delay in bookings due to uncertainty about capacity.

A：Customers are concerned about supply constraints if they believe capacity might become a chokepoint, which prompts them to place orders to ensure they get their bookings before it's too late.

A：The ability to hit the high end of revenue guidance is influenced by customers' readiness to use tools and their ability to complete fabrication construction and integration with pedestals. Additionally, the company's execution and coordination within the supply chain are critical factors.

A：The two main constraints are the readiness of customers to use tools and the company's ability to execute and coordinate with the supply chain to meet the increased demand.

A：The demand for upgrades is a factor, as well as the specific mention that China represents 20% of revenue, which is included in the guidance provided.

A：The introduction of For SQL is expected to increase the demand for EUV tools due to more complex lithography requirements, which will require additional steps in the manufacturing process. This is supported by discussions with customers and confidence in the growth of lithography intensity with For SQL.

A：Customers in the industry dislike the concept of a 'cliff' in EUV tool demand as it is detrimental to operations. Instead, there is a preference for optimized technology across multiple nodes. EUV tools are seen as beneficial for simplifying processes, reducing cycle time, and increasing capacity, which makes customers more inclined to adopt it.

A：The company anticipates that the EUV mix in 2027 should be substantially better than in 2026, influenced by customer preferences and the completion of older 3600 models. The EUV mix is crucial for achieving the target gross margin; new generations of low and AUV are expected to improve the EUV mix, which is essential for reaching the projected 56% to 60% gross margin in 2030.

A：There is a possibility that the industry's capacity rush could delay the adoption of new technology or result in risky investment decisions due to the industry being too busy to add capacity. However, the speaker suggests that proper planning and qualification phases provide enough time to address these concerns.

A：The speaker indicates that there is no significant risk of delayed investment due to the capacity rush, as customers and manufacturers have planning time to ensure proper qualification of new technology and the use of existing products does not make the industry overly sensitive to capacity fluctuations.

A：In 2025, the non-China DPV growth was not as strong as the EUV growth, creating a disconnect between the two. However, in 2026, there was a noticeable reversal of this trend, with the non-China DPV business showing signs of growth in the last month of the year and continuing into 2026.

A：The expectation is that the second half of the year will have stronger deliveries compared to the first half, primarily due to the availability of fabrication space for customers and a continuous quarterly ramp-up in the move rate. A significant portion of the orders received in the second quarter are for delivery in the third quarter.

A：Several factors influence gross margins for the year, including emerging sales which are expected to be below script due to supply constraints on the emergence side, impacting the growth margin positively. Additionally, the mix effect on EUV due to the presence of 3600 S in the year and the potential for a higher mix of high in A tools could slightly depress gross margins. On the positive side, higher EUV numbers and the health of the installed base, particularly with high demand for upgrades, are significant factors that could positively affect gross margins.