Taiwan Semiconductor Manufacturing Company (TSMC), the world’s largest contract chipmaker, reported a record net profit for the latest quarter, boosted by strong demand for chips used in artificial intelligence (AI) and high-performance computing.
TSMC announced a 39.1% year-over-year increase in net profit for the September quarter, reaching NT$452.3 billion (about $14.8 billion). This result exceeded analysts' expectations.
The surge in earnings highlights how the growing adoption of AI technologies is reshaping the global semiconductor industry and increasing demand for advanced chips.
Following the strong results, TSMC raised its outlook for the next year, forecasting revenue growth in the mid-30% range for 2025. The company also increased the lower end of its capital spending targets for this year.
TSMC’s strong performance contributed to gains in major stock indexes such as the Nasdaq 100 in pre-market trading.
What does TSMC do?
TSMC makes computer chips for various technology companies. It is the world’s largest contract chip manufacturer.
Why did TSMC's profit increase so much?
The profit jump was mainly due to high demand for chips used in artificial intelligence and high-performance computing.
How did TSMC's results affect the stock market?
TSMC's strong earnings helped lift major stock indexes, including the Nasdaq 100, as investors reacted positively to the news.
What was TSMC's profit for the latest quarter?
TSMC reported a net profit of NT$452.3 billion (about $14.8 billion) for the September quarter, which is a 39.1% increase compared to last year.
Sources
TSMC Posts Another Record Profit on Surging AI Chip Demand
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The world's largest contract chip maker delivered another record quarterly profit, as demand for chips needed for AI and high-performance computing showed no signs of abating.
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Taiwan Semiconductor Manufacturing Company reported a 39.1% increase in third-quarter profit, hitting a fresh record despite missing estimates.
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Reuters
TSMC, the world's largest contract chipmaker, posted a 39.1% jump in third-quarter net profit on Thursday, beating market forecasts and hitting a record as it benefited from surging demand for semiconductors used in artificial intelligence applications.
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