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      TSMC Anticipates Record Profit Amid AI Demand Surge

      Taiwan Semiconductor Manufacturing Company (TSMC) is projected to report a record net profit for the third quarter, driven by increased spending in the technology sector on artificial intelligence infrastructure. Analysts estimate a 65% rise in profit to approximately T$746 billion ($23 billion), marking the company's 11th consecutive quarter of growth. A profit exceeding T$707 billion would set a new quarterly record for TSMC, which is recognized as the world's largest manufacturer of advanced AI chips.

      The company's third-quarter revenue has already shown a 50% year-on-year increase, surpassing expectations. TSMC's strong performance is attributed to robust demand for its AI chipmaking capabilities and its advanced packaging technology, which is essential for developing high-performance AI accelerators. As a key supplier to major companies like Nvidia and Apple, TSMC has solidified its position as Asia's most valuable company, with a market capitalization of around $2.1 trillion, nearly double that of its South Korean competitor, Samsung Electronics.

      The upcoming earnings call, scheduled for Thursday at 06:00 GMT (2:00 am ET), will focus on TSMC's guidance for the fourth quarter and updated full-year forecasts. Analysts expect the company to raise its full-year revenue growth forecast to the low-to-mid 40% range, reflecting strong demand for its 3-nanometre chips. Additionally, there is speculation regarding TSMC's potential expansion in Texas, following comments from Elon Musk about a new AI chip complex that TSMC might sublease part of. TSMC's shares have risen 63% this year, mirroring the broader market's performance in Taiwan.

      © 2026 KLEA News. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

      Source: KLEA News

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