Taiwan Semiconductor Manufacturing Co (TSMC), the world’s largest contract chipmaker, announced its third-quarter revenue on Wednesday, exceeding both market expectations and its own forecasts. The company, driven by strong demand in artificial intelligence (AI), recorded revenue of T$759.69 billion ($23.62 billion) for the July-September period, surpassing the LSEG SmartEstimate of T$750.36 billion ($23.33 billion) calculated from 23 analysts.
TSMC, whose key customers include Apple and Nvidia, has maintained its growth trajectory thanks to AI, despite a slowdown in demand following the pandemic. The reported revenue marks a 36.5% increase compared to the same period last year, when TSMC generated $17.3 billion in revenue. Although TSMC only provides monthly revenue in Taiwan dollars, its quarterly earnings calls offer figures in U.S. dollars for easier comparisons.
In July, TSMC had forecast third-quarter revenue in the range of $22.4 billion to $23.2 billion. September alone saw a notable year-on-year revenue jump of 39.6%, reaching T$251.87 billion. While the company refrained from offering further details in its brief statement, it is set to release full third-quarter earnings and provide an updated outlook on October 17.
TSMC’s stock, listed in Taipei, has surged 72% this year, significantly outperforming the broader market’s 26% gain. On Wednesday, prior to the revenue announcement, the stock closed up 1%.
