TSMC, the world's leading contract chipmaker, revealed a 30% year-on-year increase in third-quarter revenue on Thursday, surpassing market expectations. This surge in revenue was fueled by a significant rise in demand for the company's products, fueled by growing interest in artificial intelligence applications. The revenue for July to September reached T$989.92 billion ($32.47 billion), as calculated by Reuters, compared to T$759.69 billion in the same period last year.
This latest financial result comfortably exceeded the T$973.26 billion Smart Estimate from 22 analysts gathered by LSEG and fell within the guidance range of $31.8 billion to $33 billion provided by TSMC during its last earnings call in July, which is only given in U.S. dollars. TSMC (2330.TW) is set to unveil its complete third-quarter earnings on October 16, along with an updated forecast for the ongoing quarter and the full year.
As a company with clients like Nvidia and Apple, TSMC has notably benefited from the evolution of AI technology, effectively compensating for the slowdown in chip demand related to consumer electronics like tablets seen during the pandemic. TSMC's listed shares on the Taipei stock exchange have surged by 34% this year, outpacing the broader market index (.TWII) by 18.5%.
Taiwan's Foxconn (2317.TW), the largest contract electronics manufacturer globally and Nvidia's primary server manufacturer, also achieved record-breaking sales with its highest-ever revenue in the third quarter. These positive financial results underscore the strong performance of major players in the tech industry.
($1 = 30.4880 Taiwan dollars)
