World's largest semiconductor foundry TSMC has raised its guidance for the third quarter and the full year, following strong performance in the second quarter.
On July 16, Chinese media, including Tonghua Shun, reported that TSMC projected its third-quarter revenue guidance to be between $44.6 billion and $45.8 billion, exceeding market expectations of $43.11 billion. The gross profit margin guidance for the third quarter is set at 65% to 67%, aligning with the midpoint of the forecasted 65.9%, while the operating profit margin guidance is between 56% and 58%, above the expected 57.7%.
Additionally, TSMC has increased its revenue growth guidance for 2026 from 30% to 40%.
TSMC attributed the upward revision to robust demand for AI-related products, citing strong orders from its customers amid a global AI boom.
Earlier, TSMC announced its second-quarter results, reporting consolidated revenue of NT$1.27 trillion (approximately $39.45 billion), a 36% increase from the same period last year. This figure surpassed expectations of NT$1.26 trillion and marked a record high, with a 12% increase from the previous quarter.
Net profit surged 77.4% year-on-year to NT$706.56 billion, also exceeding the forecast of NT$632.64 billion, achieving a record high. Compared to the previous quarter, net profit rose by 23.4%, with earnings per share (EPS) at NT$27.25. This marks the ninth consecutive quarter of double-digit growth in net profit for TSMC.
* This article has been translated by AI.
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