Taiwan Semiconductor Manufacturing Co (TSMC) expressed confidence about its financial performance in Q4 based on expectations for continued chip demand, after recording double-digit rises in revenue and profit during Q3.
The company recorded net profit of TWD156.3 billion ($14.8 billion), up 13.8 per cent year-on-year, on revenue of TWD414.7 billion, 16.3 per cent higher. In an earnings statement TSMC explained much of the rise was driven by smartphone chip gains, which accounted for 44 per cent of sales.
Most gains came from customers in North America (65 per cent of total revenue), followed by the Asia Pacific region and China.
Following “strong demand” across its four growth platforms of smartphones; high performance computing; IoT; and automotive during the quarter, TSMC VP and CFO Wendell Huang stated the company expected future growth to be fuelled by demand for its “industry-leading 5nm technology”.
It expects Q4 revenue of between $15.4 billion and $15.7 billion compared with $12.7 billion in the same period of 2020.
Alongside the results, Reuters reported TSMC confirmed plans to establish a chip plant in Japan to meet long-term demand, with production scheduled to begin in late 2024.
Earlier reports suggested Sony would also participate in a Japanese factory move.Subscribe to our daily newsletter Back