Capital allocation policy

Find out the details of our capital allocation policy

At ASM, we have set four priorities for our capital allocation:

1. Invest in growth

Our first priority is investing in the growth of our business, both organically – CapEx and R&D – and also scanning the market for potential M&A opportunities. In 2022, we increased gross R&D spending by 46%, reflecting our strong pipeline of opportunities such as in next-generation GAA technologies. We spent €101 million on CapEx, including the expansion of our manufacturing and R&D facilities. We did two acquisitions in 2022, Reno and LPE.

2. Maintain a strong balance sheet

It remains key for us to maintain a strong balance sheet. At the Investor Day in September 2021, we communicated that we intended to gradually increase our cash towards a target of €600 million, up from a cash target of €300 million in previous years, reflecting the increased size of our company.

3. Pay a sustainable dividend

We remain committed to paying a sustainable dividend. With the publication of our Q4 2022 results on February 28, 2023, we announced a proposed dividend of €2.50 per share to be paid over 2022.

4. Return excess cash through share buybacks

Finally, our policy regarding excess cash is unchanged: we continue to return excess cash to our shareholders in the form of share buybacks. We intend to execute in 2023 the buyback program of €100 million that we announced in February 2022.