Dutch semiconductor equipment manufacturer ASM International revealed on Tuesday that its new orders have almost halved over the second quarter due to a decline in demand as well as delays at its production facility.
New orders slumped from 942.7 million euros during the second quarter of last year to 485.8 million euros ($536.2 million) in Q2 of this year. Second quarter net earnings fell from 160.4 million euros a year ago to 151.2 million euros.
“Demand in the memory market continued to be weak in Q2 and is not expected to recover in the remainder of the year”, ASM International revealed in a statement. The semiconductor industry at large has been experiencing a demand slump as geopolitical tensions between China and the United States persist. Supply chain disruptions and a shortage of specialist workers have also slowed production.
ASM International forecasts a third-quarter revenue of 580-620 million euros on a currency-comparable level, compared to 650 million euros a year earlier.