TSMC posts strongest-ever quarterly profit, lifts 2025 growth outlook to mid-30 per cent range

Taiwan Semiconductor Manufacturing Co. (TSMC) (NYSE: TSM) reported a record-high profit for the third quarter on Thursday, October 16, driven by soaring demand for artificial intelligence (AI) infrastructure. The world’s largest contract chipmaker said its net profit for the three months ended September 30 reached T$452.30 billion ($14.75 billion), surpassing the Reuters/LSEG estimate of T$417.7 billion and marking its strongest-ever quarterly performance.

With this, the Taiwan Semiconductor Manufacturing Co. hiked its projection for 2025 revenue growth to the mid-30 per cent range, reports Bloomberg. TSMC also expressed confidence in continued AI-driven growth, reports investing.com. downplaying investor concerns about potential disruptions from U.S.-China trade tensions.

The results follow the company’s earlier disclosure of a 30 per cent jump in quarterly revenue, which rose to T$989.92 billion ($32.30 billion). TSMC’s gross margin for the quarter stood at 59.5 per cent.

About TSMC

Taiwan Semiconductor Manufacturing Co. (TSMC) is the world’s largest dedicated chip foundry, expected to hold a market share in the mid-60 per cent range in 2024. Established in 1987 as a joint venture between Philips, the Taiwanese government, and private investors, TSMC went public in Taiwan in 1994 and later listed as an ADR in the U.S. in 1997.

The company’s vast scale and cutting-edge technology have enabled it to maintain strong operating margins despite the fierce competition in the semiconductor industry. The global shift toward the fabless chipmaking model has further fueled TSMC’s growth, with major clients including Apple, AMD, and Nvidia. TSMC employs over 83,000 people and has a market capitalization of $1.58 trillion, cementing its position as a dominant force in the global technology and semiconductor sectors.