Taiwan Semiconductor Manufacturing Co. (TSMC) posted a 39.1% year-over-year increase in third-quarter profit, beating analyst estimates and setting a new company record. Net income reached NT$452.3 billion ($15.13 billion USD), exceeding expectations of NT$417.69 billion. Revenue also outperformed forecasts, rising 30.3% to NT$989.92 billion ($33.10 billion USD).<\/p>\n\n\n\n
The company has benefited heavily from surging demand for artificial intelligence chips, with major clients like Nvidia and AMD fueling growth. \u201cRecent developments in the AI market continue to be very positive,\u201d said TSMC CEO C.C. Wei. \u201cOur conviction in the AI megatrend is strengthening,\u201d he added during Thursday\u2019s earnings call.<\/p>\n\n\n\n
TSMC\u2019s high-performance computing (HPC) segment, which includes AI and 5G applications, made up 57% of the company\u2019s revenue for the July\u2013September quarter. The strong momentum led TSMC to raise its full-year 2025 revenue growth projection to the mid-30% range, up from July\u2019s 30% estimate.<\/p>\n\n\n\n
In addition, the company increased its planned capital expenditure floor from $38 billion to $40 billion for 2025, reflecting robust customer demand and ongoing capacity upgrades.<\/p>\n\n\n\n
Advanced chips measuring 7 nanometers or smaller accounted for 74% of TSMC\u2019s total wafer revenue. Smaller nanometer chips deliver higher processing efficiency and power, making them central to AI and smartphone applications.<\/p>\n\n\n\n
\u201cTSMC\u2019s robust earnings are a direct reflection of the strong traction at 3nm as well as high utilization at 4\/5nm,\u201d said William Li, senior analyst at Counterpoint Research. These technologies are in high demand for AI GPUs, HPC platforms, and premium smartphones.<\/p>\n\n\n\n
While TSMC executives acknowledged ongoing U.S. tariff negotiations, they expect potential exemptions for key products. \u201cThere are uncertainties and risks, especially in price-sensitive segments,\u201d said Wei. The company has invested heavily in U.S. manufacturing to reduce exposure, with facilities under construction as part of its international expansion.<\/p>\n\n\n\n
Despite global tensions, TSMC stock has surged over 38% in 2025, driven by the AI revolution and its dominant position in the advanced semiconductor space.<\/p>\n","protected":false},"excerpt":{"rendered":"
Strong earnings driven by AI boom and advanced chip sales Taiwan Semiconductor Manufacturing Co. (TSMC) posted a 39.1% year-over-year increase in third-quarter profit, beating analyst estimates and setting a new company record. Net income reached NT$452.3 billion ($15.13 billion USD), exceeding expectations of NT$417.69 billion. Revenue also outperformed forecasts, rising 30.3% to NT$989.92 billion ($33.10 […]<\/p>\n","protected":false},"author":10772,"featured_media":12811,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8],"tags":[3073,3078,3071,3076,3074,3079,3072,3081,3077,3075],"class_list":{"0":"post-12810","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-finance","8":"tag-3nm-chips","9":"tag-advanced-nanometer-chips","10":"tag-ai-chip-demand","11":"tag-amd-chipmaker","12":"tag-high-performance-computing","13":"tag-nvidia-supplier","14":"tag-semiconductor-profits","15":"tag-taiwan-semiconductor-stock","16":"tag-tsmc-earnings","17":"tag-u-s-tariffs-on-semiconductors"},"_links":{"self":[{"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=\/wp\/v2\/posts\/12810","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=\/wp\/v2\/users\/10772"}],"replies":[{"embeddable":true,"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=12810"}],"version-history":[{"count":1,"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=\/wp\/v2\/posts\/12810\/revisions"}],"predecessor-version":[{"id":12812,"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=\/wp\/v2\/posts\/12810\/revisions\/12812"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=\/wp\/v2\/media\/12811"}],"wp:attachment":[{"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=12810"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=12810"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thetimesfinancial.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=12810"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}