ASM International expects sales to decline in China after US sanctions

ASM International expects sales to decline in China after US

(Finance) – ASM Internationala Dutch multinational active that produces equipment for the semiconductor sector, has registered revenues up 33% to 610 million euros in third quarter of 2022, beating the company’s guidance from € 570 million to € 600 million. THE new orders amounted to € 676 million and reflected the expected negative impact of recent US export restrictions to China. New orders increased by 1% in constant currencies compared to the same period last year (8% on a reported basis).

L’normalized net profit for the third quarter it was 175 million euros, up from 132 million in the third quarter of last year.

“ASM continued its strong third quarter performance with once again record revenues – said the CEO Benjamin Loh – Supply chain conditions remained challenging in the third quarter and are expected to show a moderate improvement in the fourth quarter “

“We anticipate that the new export regulations announced by the US government on October 7, 2022 will have a negative impact on our business in China – he added – Our equipment sales in China, equal to 16% of our total turnover in the first nine months of 2022, have been a growing part of our business with a strong contribution to the profitability of the group. Based on a conservative scenario, we expect the new export restrictions will affect over 40% of our sales in China“.

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