Taiwan Semiconductor Manufacturing Co. reported another quarter of rapid growth, with third-quarter profit reaching a record amid strong demand for advanced chips. In its official earnings release, the company reported NT$1.494 trillion in revenue, equivalent to $46.72 billion, for the three months ended Sept. 30.
Net income reached NT$763.06 billion, or about $23.6 billion, and diluted earnings per share were NT$29.43. Compared with the same quarter a year earlier, revenue rose 50.9% while net income and diluted EPS increased 68.7%. Revenue was 17.6% higher than in the second quarter, and net income increased 8%.
Revenue and profit top estimates
CNBC reported that both major figures beat LSEG SmartEstimates. Revenue of roughly NT$1.49 trillion came in above an NT$1.47 trillion estimate, while net income of NT$763.1 billion topped the NT$746.34 billion estimate.
The publication described the result as TSMC’s sixth consecutive quarter of record profit and linked the performance to continuing demand for AI chips. Bloomberg also reported that sales and profit surpassed expectations as AI orders continued to arrive, while noting broader questions about how long the pace of AI infrastructure spending can last.
TSMC reported a gross margin of 66.4%, an operating margin of 58.7% and a net profit margin of 51.1%.
Advanced nodes dominate wafer revenue
TSMC’s process-node mix offers another view of where its sales came from. The company said 3-nanometer chips represented 33% of wafer revenue, 5-nanometer chips accounted for 28%, and 7-nanometer chips contributed 10%. Its 2-nanometer process accounted for 8%.
Combined, technologies at 7 nanometers or more advanced represented 79% of wafer revenue. That makes these process nodes the clear majority of TSMC’s reported wafer business. The release does not break those figures out by individual customer or application.
