TSMC beats forecasts to post record quarterly profit of US$13.5 billion

TSMC, the world's main producer of advanced AI chips, posted record profit in the second quarter with forecast-beating growth of 60 percent, and noted that demand for artificial intelligence was getting stronger and stronger.

It said it expects another robust leap in revenue for the third quarter but it was cautious about the outlook for later in the year, citing the unknown impact of U.S. tariffs and other uncertainties.

Taiwan Semiconductor Manufacturing Co said net profit for April-June climbed to T$398.3 billion (HK$106.2 billion), its fifth straight quarter of double-digit growth.

That was well ahead of a T$377.9 billion LSEG SmartEstimate drawn from 20 analysts.

For the third quarter, it expects revenue of US$31.8-US$33 billion, up from US$23.5 billion in the same period earlier and US$30 billion in the second quarter.

In addition to the potential impact of tariffs, TSMC said it would also be greatly affected by the strengthening of the Taiwan dollar.

TSMC, whose customers include Apple and Nvidia, announced plans for a US$100 billion US investment with Trump at the White House in March, on top of $65 billion pledged for three plants in the state of Arizona, one of which is up and running.

Taiwan-listed shares in TSMC surged some 80% last year but have climbed just 5 percent for the year to date on worries about tariffs and unfavourable currency exchange rates.

Reuters