ASML acquires German ceramic and optical fiber manufacturer

Chip machine builder ASML, based in Veldhoven, has had a good second quarter and intends to acquire Berliner Glas. This manufacturer makes ceramic and optical modules, which are important for ASML’s machines.

In an explanation of the quarterly figures, ASML says it has agreed to acquire all shares of the private company Berliner Glas. The Veldhoven-based company says that the ceramic and optical modules are important to support the future roadmap of EUV and DUV products. However, the takeover is not yet a fact; this will only be the case when all relevant regulators have given their blessings. This is expected before the end of this year. ASML does not share financial details about the transaction. The companies have been working closely together for a long time.

ASML further reports that it delivered nine EUV machines during the previous quarter and realized sales of those nine shipped systems for a total of seven machines. This is because in two cases the customers have indicated that they will postpone the factory acceptance tests to their factories, instead of already carrying out those tests before they are delivered. As a result, these two systems will only contribute to turnover in the next quarter. CEO Wennink attributes this delay to the covid-19 situation during the second quarter, which caused some delays in production at the beginning of the second quarter.

Turnover came to 3.3 billion euros, while that figure in the first quarter of this year was 2.44 billion euros. Net profit amounted to 751 million euros, compared to 391 million euros a quarter earlier. According to Wennink, the 3.3 billion euros in turnover would have amounted to 3.6 billion euros if the delivery of the two euv systems mentioned above had already been completed, including the acceptance tests.

In total, the company sold 57 new lithography systems. ASML booked 1.1 billion in orders, including three EUV machines. The order book in the first quarter was just over 3 billion euros, which at the time could be explained by a substantial order of nine EUV machines. However, Wennink argues that this is no reason for negativity, since the order book is now just under ten billion euros with 54 EUV systems.

In a video interview, Wennink also briefly discussed the progress that ASML is making with the EUV technology. He says that EUV is now really getting to the point of high-volume manufacturing and that it is thus part of the normal operational profile. He explains that good progress was made in the second quarter with the delivery of the modular vessel, which he describes as a new solution for EUV, with an in-line tin refill. This module shoots laser pulses on a stream of tin droplets to generate broadband light. The annual capacity of EUV machines, such as the NXE: 3400C, will be 45 to 50 systems next year, according to Wennink.