ASML Posts Higher Profit

reported results for the fourth quarter and full year. ASML posted full-year 2014 profit of EUR 1.2 billion, versus a profit of EUR 1.02 billion in FY2013. Its earnings per share climbed 16% to EUR 2.74 per share. The company posted Q4 net income of 305 million euros ($445.60 million), on net sales of 1.49 billion euros. However, analysts were expecting earnings of 221 million euros on net sales of 1.31 billion euros. ASML's EPS for the fourth quarter gained to EUR 0.70 per share, from EUR 0.56 per share in the third quarter. Its sales surged to EUR 5.86 billion in the full year, up from EUR 5.25 billion. ASML projects Q1 net sales of around EUR 1.6 billion and a gross margin of about 47%. ASML also proposed a dividend of EUR 0.70 per ordinary share for 2014, a 15% rise from 2013. The company also announced a new EUR 1 billion share buyback program. "Our 2014 fourth-quarter net sales came in ahead of guidance, as the memory sector was stronger than we expected…Looking ahead to H1 2015, we expect both our sales to the memory segment and our service and field option business to continue to be strong and sales to the logic segment to increase from H2 2014 to H1 2015, underpinned by the EUR 2.8 billion backlog," ASML President and Chief Executive Officer Peter Wennink said. ASML shares rose 0.75% to close at $103.81 yesterday.