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TSMC Reaps Dividends of AI Boom as Revenue Beats Forecasts

Revenue for the first quarter of 2024 was $18.54 billion, up from $16.72 billion in the same three months last year

Logo of Taiwan Semiconductor Manufacturing Co (TSMC) in Hsinchu
The logo of Taiwan Semiconductor Manufacturing Co (TSMC) in Hsinchu, Taiwan. Photo: Reuters


Taiwanese chip giant TSMC posted an expectation-beating 16.5% first-quarter revenue rise on Wednesday, thanks to a surge in demand for artificial intelligence applications.

The world’s largest contract chipmaker, whose customers include Apple and Nvidia, has benefited from the AI boom that has helped it weather the tapering off of pandemic-led demand and pushed TSMC’s stock to a record high.

Revenue in the first three months of this year came in at $18.54 billion, up from $16.72 billion in the year-ago period.

That was towards the higher end of Taiwan Semiconductor Manufacturing Co’s (TSMC) previous prediction for first-quarter revenue to range between $18 billion and $18.8 billion.

The result beat an LSEG SmartEstimate of $18.07 billion drawn from 23 analysts, weighted toward those who are more consistently accurate.


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The first half of the year is traditionally quieter for Taiwanese tech firms, coming after the end-of-year holiday rush for goods like tablets and smartphones in major Western markets, but the AI trend is boosting demand even in the off-season.

For March alone, TSMC reported revenue rose 34.3% year-on-year to $6.07 billion and was up 7.5% from the previous month.

TSMC, Asia’s most valuable publicly listed company with a market capitalisation of $662 billion, did not provide any details or forward guidance in its brief revenue statement.

It is scheduled to report first quarter earnings on April 18, where it will also update its outlook for the current quarter and the year.

TSMC is expected to report a 4% rise in first quarter net profit, according to an LSEG SmartEstimate.

TSMC’s Taipei-listed shares closed down 0.5% on Wednesday ahead of the release of the sales data. The broader market ended down 0.2%.

The chipmaker’s shares have surged 37% so far this year, compared with a 16% gain for the broader market.


  • Reuters with additional editing by Sean O’Meara


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Sean O'Meara

Sean O'Meara is an Editor at Asia Financial. He has been a newspaper man for more than 30 years, working at local, regional and national titles in the UK as a writer, sub-editor, page designer and print editor. A football, cricket and rugby fan, he has a particular interest in sports finance.


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