TSMC Posts Record Profits on AI Chip Demand, Lifts 2025 Forecast

TSMC reported a 39% surge in net income to NT$452.3 billion ($14.1 billion), exceeding analyst estimates, as the artificial intelligence boom continues to fuel demand for advanced semiconductors. Revenue climbed 30% year-over-year to NT$989.92 billion, marking the second consecutive quarter of accelerating growth.

The chipmaker's high-performance computing division, which supplies processors for AI and 5G applications, accounted for 57% of total sales. CEO CC Wei noted sustained momentum across markets, with consumer adoption of AI models driving unprecedented demand for computing power. Nearly three-quarters of wafer revenue came from cutting-edge 7-nanometer or smaller chips that power modern AI infrastructure.

TSMC raised its 2025 revenue growth forecast to mid-30% range, up from July's 30% projection. Counterpoint Research analyst William Li observed the results reflect strong adoption of 3nm technology and high utilization rates at 4/5nm nodes, supported by ongoing orders from major tech clients.