TSMC First-Quarter Revenue Jumps 35% as AI Demand Drives Growth
TAIPEI, April 10 — Taiwan Semiconductor Manufacturing Company reported a sharp rise in first-quarter revenue, driven by sustained global demand for artificial intelligence applications that continues to fuel growth in advanced chip manufacturing.
The world’s largest contract chipmaker said revenue for the January–March period reached T$1.134 trillion (approximately $35.7 billion), marking a 35% increase from T$839.3 billion in the same period last year. The result exceeded market expectations, surpassing an LSEG SmartEstimate of T$1.125 trillion based on analyst forecasts.
The figures also aligned with the company’s earlier guidance of $34.6 billion to $35.8 billion issued during its previous earnings call.
AI Demand Offsets Broader Market Pressures
TSMC’s strong performance underscores the continued momentum of AI-driven demand, which has helped offset slowing growth in consumer electronics such as tablets and other pandemic-era devices. The company remains a key supplier to major technology firms, including Nvidia, whose AI-focused chips have seen surging demand.
Despite broader macroeconomic concerns—including rising energy costs linked to geopolitical tensions and potential disruptions to semiconductor supply chains—analysts remain optimistic about TSMC’s outlook.
Forecasts Point to Continued Growth
According to LSEG data, analysts have raised their revenue forecasts for the April–June quarter by 2.3% over the past month, projecting a record T$1.2 trillion in revenue. Expectations are being supported by constrained global capacity for advanced AI chip production, which continues to drive pricing power and demand.
TSMC is scheduled to release its full first-quarter earnings report on April 16, along with updated guidance for the current quarter and the full year.
Market Performance Reflects Investor Confidence
TSMC’s shares, listed in Taipei, have risen 29% so far this year, outperforming the broader benchmark index’s 22% gain. The stock closed up 2.3% ahead of the revenue announcement.
The broader supply chain is also benefiting from AI-driven growth. Foxconn, a major contract electronics manufacturer and key server supplier for Nvidia, recently reported a 30% year-on-year increase in first-quarter sales.
