Taiwan chipmaker TSMC continues to impress with its latest financial report, showcasing a 16.5% increase in first-quarter revenue. This surge in revenue has exceeded market expectations and falls at the high end of the company’s own guidance, thanks to the growing demand for artificial intelligence applications.
As the world’s largest contract chipmaker, TSMC boasts an impressive list of customers including tech giants like Apple and Nvidia. The company’s success in the first quarter is evident with revenue reaching T$592.64 billion ($18.54 billion), a significant jump from the previous year.
The AI trend has played a crucial role in driving TSMC’s sales, allowing the company to navigate through the tapering off of pandemic-led demand. This success has also propelled TSMC’s stock to a record high, showcasing investor confidence in the company’s future prospects.
Despite the traditionally quieter first half of the year for Taiwanese tech firms, TSMC has managed to capitalize on the AI boom, leading to a 34.3% year-on-year revenue increase in March alone. The company’s upcoming earnings report on April 18 is highly anticipated, where it is expected to provide further insights into its performance and outlook for the year.
With a market capitalization of $662 billion, TSMC remains Asia’s most valuable publicly listed company. The chipmaker’s shares have seen a remarkable 37% surge this year, outperforming the broader market and solidifying its position as a key player in the semiconductor industry.