What drove ASML's revenue growth in 2024?

ASML's revenue growth in 2024 was driven by several key factors:

1. EUV Technology and Lithography Portfolio: ASML's ability to scale EUV (Extreme Ultraviolet) technology and offer versatile holistic lithography solutions positioned the company well to capitalize on market opportunities. The company expects EUV lithography spending to grow significantly between 2025 and 2030, which aligns with its growth trajectory.
2. Artificial Intelligence (AI) Opportunity: ASML recognized the potential of AI as a significant growth driver, with AI expected to fuel global semiconductor sales to over $1 trillion by 2030. This trend is likely to boost demand for ASML's equipment and services, particularly in advanced Logic and DRAM production.
3. Market Position and Demand: ASML's dominant position in the global lithography systems market, coupled with strong demand for AI chips and other advanced semiconductor technologies, contributed to its revenue growth. The company reported strong orders in Q4, indicating sustained market demand.
4. Strategic Investments and Innovation: ASML's continued investments in research and development (R&D) and its focus on innovation have enabled it to meet evolving customer needs and stay ahead in the competitive semiconductor equipment market. The company's R&D expenses, although slightly below guidance, reflect its commitment to maintaining a competitive edge.

In summary, ASML's revenue growth in 2024 was primarily driven by the company's leadership in EUV technology, the AI-driven semiconductor industry growth, strong market demand, and its ongoing commitment to innovation and strategic investments.