ASM Surges on AI Chip Demand, Forecasts Strong 2026 Growth

ALMERE, The Netherlands – March 03, 2026 – ASM International N.V. delivered a robust financial report, signaling that the insatiable demand for artificial intelligence is translating into booming business for the companies that build the backbone of the digital world. The Dutch semiconductor equipment maker reported double-digit growth for 2025, its ninth consecutive year, and issued a bullish forecast for 2026, driven by heavy investment from chipmakers in next-generation technology.

The company announced that its full-year 2025 revenue hit a record €3.2 billion, a 12% increase at constant currencies. This performance was underpinned by a strong fourth quarter, where revenue of €698 million surpassed its own guidance. A solid rebound in new orders, which climbed to €803 million in Q4, was driven by strong demand in the advanced logic and foundry market—the segment responsible for producing the world's most powerful processors.

Reflecting its confidence, ASM announced shareholder-friendly moves, proposing a dividend increase to €3.25 per share and launching a new €150 million share buyback program. The results paint a picture of a company capitalizing on its critical position in the semiconductor supply chain at a time when the industry is racing to build out capacity for the AI revolution.

Powering the Next Wave of Technology

At the heart of ASM's success is its specialization in deposition equipment, particularly Atomic Layer Deposition (ALD), a technology essential for manufacturing the most advanced microchips. As the industry transitions to new, more complex chip architectures to meet the performance demands of AI, ASM's solutions are becoming increasingly indispensable.

In his comments on the results, CEO Hichem M’Saad highlighted this trend, stating, “ASM’s revenue increased to a record €3.2 billion in 2025, driven primarily by the advanced logic/foundry segment as customers increased their investments in 2nm GAA capacity.” GAA, or Gate-All-Around, is the next major evolution in transistor design, allowing for smaller, faster, and more power-efficient chips. ASM noted that its technologies, such as Molybdenum ALD and area selective deposition (ASD), have already entered high-volume manufacturing for this 2nm node.

The AI boom is a capital-hungry force driving the semiconductor industry, with global spending on AI infrastructure projected to surpass $1.3 trillion in 2026. This spending directly fuels demand for the equipment ASM produces. The company’s outlook for 2026 reflects this, with an expected revenue increase to €830 million in the first quarter and an even stronger second half of the year. This growth is not only tied to the current 2nm ramp-up but also to the horizon of innovation. ASM anticipates the first investments in pilot lines for the next node, 1.4nm, will begin in the second half of 2026, further expanding its market opportunity.

While the advanced logic segment is the star performer, the company also anticipates healthy growth in its DRAM sales, partly fueled by the explosive demand for High-Bandwidth Memory (HBM) stacked alongside AI processors in data centers.

A Global Chessboard of Strategic Expansion

To fortify its market leadership and meet surging demand, ASM is executing an ambitious global expansion strategy. The company is making significant investments in new facilities across three continents, placing itself at the epicenters of semiconductor innovation and manufacturing.

In December 2025, ASM announced its intention to invest several hundred million euros in a new global headquarters and state-of-the-art R&D center in its home city of Almere. This move signals a deep commitment to cementing its technological leadership from its base in the Netherlands. Simultaneously, the company has completed a new manufacturing and innovation center in Korea, a critical hub for memory giants like Samsung and SK Hynix, placing ASM in close proximity to key customers driving the HBM and advanced memory markets.

Across the Atlantic, development of a major site in Scottsdale, Arizona, is on track for completion in early 2027. This positions ASM to directly support the revitalization of the U.S. semiconductor ecosystem, which is being supercharged by the CHIPS and Science Act and the construction of massive new fabrication plants by Intel, TSMC, and Samsung.

Complementing this geographic expansion is a strategic broadening of its technological portfolio. The December 2025 acquisition of Axus Technology, a provider of Chemical Mechanical Polishing (CMP) equipment, is a key move. CMP is a crucial process for smoothing wafer surfaces during manufacturing, and its importance grows with the complexity of 3D integration and advanced packaging—techniques essential for stacking memory and logic chips to boost performance. This acquisition allows ASM to offer a more comprehensive suite of solutions, strengthening its position as a one-stop-shop for critical manufacturing steps.

Navigating Market Dynamics and Geopolitics

ASM's strong performance comes amidst a complex and shifting market. While advanced logic is booming, the company noted that sales in the power/analog/wafer segment declined in 2025, reflecting a continued downturn in that market, though a recovery is anticipated in 2026. This ability to thrive despite weakness in some segments is a testament to its operational discipline, which delivered a record full-year adjusted operating margin of 30.2%.

Perhaps the most notable shift in the company's outlook is its forecast for China. After previously anticipating a double-digit decline, ASM now expects its sales in China to increase in 2026. This revised forecast comes despite ongoing U.S. and allied export controls aimed at curbing China's access to leading-edge semiconductor technology. Industry analysts suggest this resilience may stem from a strategic focus on supplying equipment for mature process nodes, which are less affected by restrictions but are still part of a massive domestic capacity build-out by Chinese firms.

China remains one of the world's largest markets for semiconductor equipment, and ASM's ability to navigate the intricate geopolitical landscape highlights its adaptability. By catering to the segments of the Chinese market that remain accessible, the company has turned a potential headwind into a source of growth, further diversifying its revenue streams.

As ASM moves into 2026, it does so from a position of strength. With a clear strategy tied to the powerful, multi-year trend of AI, a global footprint aligned with key manufacturing hubs, and a proven ability to manage financial and geopolitical complexities, the company is well-equipped to continue its role as a fundamental enabler of the world's technological future.