Taiwan’s TSMC posts 13.8% rise in Q3 profit on global chip demand surge

- Advertisement -

- Advertisement -

  • Q3 Profit T$156.3 bln vs T$149 bln Market Forecast
  • Q3 Revenue in US dollar terms 22.6% year-on-year
  • TSMC raises 2021 revenue growth target to around 24%
- Advertisement -

TAIPEI, Oct 14 (Businesshala) – Taiwan chip giant TSMC (2330.TW) reported a 13.8% jump in third-quarter profit on Thursday, driven by a demand for semiconductors to power smartphones and other gadgets during the COVID-19 pandemic. This was due to the increasing demand. supply shortage.

TSMC, the world’s largest contract chip maker and a major supplier of Apple Inc (AAPL.O), reported a net profit of T$156.3 billion ($5.56 billion) in July-September, an average of T$149 billion from 22 analyst estimates. much more than . Refinitiv.

Advanced chips made by TSMC, formally known as Taiwan Semiconductor Manufacturing Company, are used for everything from high-end smartphones like Apple’s newly unveiled 5G iPhone 13 to artificial intelligence, cars and a variety of lower-end smartphones. – Made in end consumer goods.

TSMC and Taiwan in general have become central in efforts to solve a pandemic-induced global chip shortage that has forced automakers to cut production and hurt makers of smartphones, laptops and consumer devices .

“Our third-quarter business was primarily supported by strong demand across all four growth platforms,” ​​Chief Financial Officer Wendell Huang said at an analyst conference, referring to strong chip demand, including smartphones, cars and the “Internet of Things.” – The concept of connecting home appliances to the Internet.

“Looking forward into fourth quarter 2021, we expect our business to be supported by strong demand for our industry-leading 5 nanometer technology.”

The company raised its revenue growth forecast for 2021 to about 24%, citing an “industry megatrend” of strong chip demand, up from 20% forecast.

TSMC’s revenue for the quarter increased 22.6% to $14.88 billion, in line with the company’s previously estimated range of $14.6 billion to $14.9 billion.

For the quarter ending December, TSMC forecast revenue of $15.4 billion to $15.7 billion, compared to $12.68 billion in the same period a year ago.

Shares of TSMC are up about 8.5% so far this year, giving it a market value of $526.3 billion, more than twice that of competitor and client Intel Corp (INTC.O).

They closed up 0.4% on Thursday, roughly in line with a 0.2% gain in the broader market (.TWI).

($1 = 28.0950 Taiwan Dollar)

Reporting by Yimou Lee and Ben Blanchard; Editing by Christopher Cushing and Anna Nicolasi da Costa


- Advertisement -

Stay on top - Get the daily news in your inbox

DMCA / Correction Notice

Recent Articles

Related Stories

Stay on top - Get the daily news in your inbox