A day after a profit warning that rocked the stock market, executives at ASML Holding said the slower-than-expected recovery in the microchip market will have the sharpest impact on sales to China while having a relatively minor impact on sales of its most advanced systems elsewhere in the world.

ASML said it expects net sales for 2025 to come in between 30 billion euros and 35 billion euros ($32.7 billion and $38.1 billion), at the lower half of the range it had previously provided. CFO Roger Dassen warned that China is expected to account for around 20% of the company's total revenue for the next year.

Investors in the semiconductor sector are facing renewed uncertainty following a sobering outlook from ASML Holding NV, one of the world’s leading chip equipment manufacturers. The Dutch company’s revised forecast triggered a sharp decline in global chip stocks,

Computer chip equipment maker ASML reported on Tuesday third-quarter earnings that surprised markets with weak bookings and lower than expected sales forecasts for 2025, sending the company's shares to their biggest one-day drop since 1998.

However, ASML warned that its momentum won’t carry over into next year. The company estimated today that its 2025 revenue will range between €30 billion and €35 billion, down from the €30 billion to €40 billion it had projected previously.

ASML shares plunged 15.7% on Tuesday, the worst drop since the chipmaker went public in 2002, after an early earnings release revealed a lowered sales outlook for 2025. View on euronews