On October 14, JPMorgan analysts highlighted in a research report that ASML, the Dutch semiconductor equipment manufacturer, posted an impressive third-quarter gross margin of 57.5%. This figure not only outperformed market expectations, which hovered near 56%, but also exceeded the company’s own prior guidance range of 55% to 57%. JPMorgan analysts pointed out that ASML’s strong profitability was mainly fueled by the revenue growth from equipment maintenance and upgrade services. Customers’ ongoing efforts to maintain, modify, and enhance the performance of their existing lithography equipment have been a significant source of high-margin revenue for ASML. Looking ahead to the current quarter, ASML anticipates a gross margin of around 57%, which is above the market consensus of 56.4%. Analysts suggest that as semiconductor manufacturers strive to optimize their production lines and boost equipment utilization efficiency, the equipment maintenance and upgrade business is emerging as a crucial pillar supporting ASML’s profitability.