Taiwan Semiconductor Manufacturing Company’s (TSMC’s) profit surged in the final quarter of 2022, as the chipmaker shrugged off macroeconomic headwinds to book year-on-year sales growth each month throughout a volatile year.

Net income in Q4 2022 rose 78 per cent year-on-year to a record high of TWD295.9 billion ($9.7 billion), with consolidated revenue growing 42.8 per cent to TWD625.5 billion.

Sales growth for the current quarter is forecast at between 3.7 per cent and 8.9 per cent, to between $16.7 billion and $17.5 billion.

CFO Wendell Huang noted overall macroeconomic conditions remains weak, with the company expecting business in Q1 to be impacted by continued demand softness and further inventory adjustment by customers, which it experienced in the final three months of 2022.

Its net profit margin in Q4 2022 rose to 47.3 per cent from 39.5 per cent in Q4 2021.

Shipments of 5nm chips accounted for 32 per cent of total wafer revenue and 7nm semiconductors 22 per cent.

Counterpoint Research estimated TSMC’s share of the global semiconductor foundry market increased to 60 per cent from 56 per cent in Q4 2021.

As a major supplier of processors to Apple, Arm and Nvidia, TSMC hasn’t been impacted by a decline in the price of memory chips which hurt Samsung and SK Hynix.