A logo of Taiwan Semiconductor Manufacturing Company (TSMC) is seen through the opening ceremony of the TSMC Global RnD Center in Hsinchu on July 28, 2023. (Photo by Amber Wang / AFP)
Amber Wang | Afp |
TSMCthe world’s largest contract chip manufacturer, reported strong second-quarter revenue growth on Wednesday, significantly exceeding market forecasts, because of booming demand for artificial intelligence (AI) applications.
Taiwan Semiconductor Manufacturing Co, whose customers include Apple and Nvidia, has benefited from the boom in the usage of artificial intelligence, which has helped the corporate weather the pandemic-related drop in demand and pushed TSMC’s share price to a record high.
According to Reuters calculations, sales within the period April to June this 12 months amounted to T$673.51 billion (US$20.67 billion). In contrast, an LSEG SmartEstimate compiled by 21 analysts involves T$654.27 billion.
This represents growth of 32% in comparison with the identical period last 12 months (US$15.68 billion).
This shouldn’t be a direct comparison, as TSMC provides monthly revenue data only in Taiwan dollars, but provides quarterly revenue figures and the outlook in quarterly earnings conference calls in US dollars.
At its most up-to-date earnings call in April, Taiwan Semiconductor Manufacturing Co. forecast second-quarter revenue in a spread of $19.6 billion to $20.4 billion.
For June alone, TSMC reported a 33% year-on-year increase in sales to T$207.87 billion.
The company didn’t provide any details in its temporary profit and loss statement.
TSMC, Asia’s most useful listed company with a market capitalization of $830 billion, provided no details or forecasts in its temporary earnings statement.
On July 18, the corporate is scheduled to announce its second-quarter results and in addition update its guidance and plans for the present quarter and the rest of the 12 months.
According to an LSEG SmartEstimate, TSMC is anticipated to report a 30% year-on-year increase in net profit within the second quarter.
TSMC’s Taipei-listed shares traded at a historic high, closing 0.5 percent higher on Wednesday ahead of the discharge of revenue figures, according to the broader market.
Shares have risen 76 percent to this point this 12 months, compared with a 34 percent gain for the general market.
TSMC’s ADRs rose 4.8% to a record $192.79 on Monday, briefly pushing the corporate’s market value to $1 trillion.
