Taiwan Semiconductor Manufacturing Company (TSMC) Headquarters in Hsinchu, Taiwan, April 16, 2025.
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Taiwan Semiconductor Manufacturing Company in Thorsday exceeded profit expectations for the first quarter, thanks to a continuous increase in the demand for chips of AI.
Here are the results of the first trimester of TSMC versus LSEG’s consensus estimates:
- Income: $ 839.25 billion New Taiwan Dollars, USA
- Net income: NT $ 361.56 billion, vs. NT $ 354.14 billion
The net income of TSMCS increased 60.3% from the same period last year to NT $ 361.56 billion, while the net income in the quarter of March increased 41.6% to NT $ 839.25 billion.
Advanced technologies, defined as 7 nanometers and less, represented 73% of the total income of the wafer, said the company.
The world’s largest contract chips has benefited from the AI boom, as it produces advanced processors for clients such as the American chip designer Nvidia.
However, the company faces winds against the commercial policy of the president of the United States, Donald Trump, who has placed commercial tariffs in Taiwan and export controls more strict in the clients of TSMC NVIDIA and AMD.
Semiconductor export controls could also be extended below, the “rules of dissemination of” proposed for the first time by the Biden administration, further restricting sales manufacturers that use the foundations of TSMC.
Currently, Taiwan faces a 10% general rate of the Trump administration and that could increase to 32% after the 90 -day pause of the president of his “reciprocal rates” ends unless he reaches an agreement with the United States.
As part of the efforts to diversify its supply chains, TSMC has been investing billions in facilities abroad, thought that the lion part in its manufacture remains in Taiwan.
In an apparent response to Trump’s commercial policy, TSMC announced plans to invest $ 100 billion last month in the US.
On Monday, AMD said it would soon make processor chips in one of the new TSMC facilities based in Arizona, marking the first time its chips will be manufactured in the US.
The same day, Nvidia announced that the production of its Blackwell chips in TSMC plants in Arizona has already begun. It plans to produce up to half a billion dollars of the infrastructure of AI in the USA during the next four years through partners, including TSMC.
The actions or TSMC fell almost 1%. The shares have lost about 20% so far this year.
