TSMC Jumps on 40% Year-Over-Year Q2 Revenue Increase

Trending 6 days ago

Key Takeaways

  • Taiwan Semiconductor Manufacturing Company connected Wednesday released income figures for June that showed gross roseate 33% from a twelvemonth earlier.
  • The June information completes nan company's second-quarter gross numbers, which surpassed expert estimates.
  • Investors will get a clearer image of TSMC's 2nd 4th erstwhile nan institution reports net adjacent week.

Taiwan Semiconductor Manufacturing Company's (TSM) American depositary receipts (ADRs) roseate successful intraday trading Wednesday aft nan chipmaker released gross figures for June, offering a afloat image of nan company's second-quarter performance.

June gross roseate 33% from a twelvemonth earlier, pinch TSMC reporting 207.87 cardinal New Taiwan dollars ($6.38 billion) successful income for nan month.

Added to its capacity from April and May, nan June information puts TSMC's second-quarter gross astatine NT$673.51 cardinal ($20.67 billion), astir NT$20 cardinal amended than what analysts had projected and 40% supra past year's people of NT$480.84 billion.

AI Boom Still Boosting TSMC Revenue

The company, which supplies tech giants for illustration Apple (AAPL) and Nvidia (NVDA), has been a beneficiary of nan artificial intelligence (AI) boom, arsenic accrued request for chips to make AI products has offset little request for its different products, for illustration semiconductors utilized successful nan accumulation of cars.

TSMC besides hit its ain gross projections for nan quarter, which it said successful April was betwixt $19.6 cardinal to $20.4 billion. First-quarter revenue was a 17% summation from nan first 4th of fiscal 2023, pinch analysts noting astatine nan clip that AI and rising cryptocurrency prices were imaginable explanations for nan emergence successful sales.

Earlier this year, nan Biden management announced plans to grant TSMC up to $6.6 cardinal successful grants from nan CHIPS and Science Act to thief nan spot shaper summation its accumulation capacity successful nan U.S. TSMC started building a mill successful Arizona successful 2021, and said erstwhile nan national backing was announced successful April that it planned to adhd a 3rd mill to nan tract pinch plans for nan 3 accommodation to beryllium operational successful 2025, 2028, and 2030.

Investors will get much item connected nan company's second-quarter capacity erstwhile it reports net July 18.

ADRs of TSMC roseate 2.5% to $189.17 arsenic of 10:49 a.m. ET Wednesday, putting them up much than 80% truthful acold this year.

More
Source investopedia
investopedia