TSMC's third-quarter revenue surges to record, beating market forecast

TSMC, the world's largest contract chipmaker, reported on Thursday record third-quarter revenue of NT$1.49 trillion (HK$366.65 billion), beating the market forecast and rising 50 percent from the year-earlier period due to surging demand for AI applications.

Revenue in the July–September quarter of this year came in at NT$1.49 trillion, according to Reuters calculations, compared with NT$989.92 billion in the year-ago period. An LSEG SmartEstimate, drawn from 19 analysts, had predicted third-quarter revenue of NT$1.46 trillion.

Taiwan Semiconductor Manufacturing Co (TSMC) is a major supplier to companies, including Nvidia and Apple.

In July, on its last earnings call, the company predicted third-quarter revenue of between US$44.6 billion and US$45.8 billion. The company gives its forecast only in US dollars and not in Taiwan dollars.

For September alone, TSMC reported that revenue rose 54.6 percent year-on-year to NT$511.86 billion.

Samsung Electronics earlier on Thursday projected its quarterly operating profit would top 100 trillion won (HK$586.68 billion), a world first for a technology company, estimating a nearly nine-fold jump in third-quarter earnings as booming demand for AI chips drove strong memory sales.

TSMC, Asia's most valuable publicly listed company with a market capitalisation of US$2.1 trillion (HK$16.38 trillion), did not provide any details or forward guidance in its brief revenue statement.

It is scheduled to report third-quarter earnings next Thursday, where it will also update its outlook and plans for the current quarter and the rest of the year.

TSMC is expected to report a 64 percent on-year rise in third-quarter net profit to NT$740.8 billion, according to an LSEG SmartEstimate.

TSMC's Taipei-listed shares closed down 1.35 percent on Thursday ahead of the release of the revenue data. The broader market closed down 1 percent.

The shares have risen 64.52 percent so far this year, in line with the broader market.

Reuters

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