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I confirm my intention to proceed and enter this websiteOn November 10, Taiwan Semiconductor Manufacturing Company (TSM.US) announced that its October revenue was a record-breaking US$7.53 billion (NT$243.2 billion), representing a notable 34.8% increase from September and a 15.7% raise from the same period last year. Though some customers are still working through inventory adjustments due to weaker global demand, particularly in consumer electronics, TSMC’s cumulative revenue for the first 10 months of 2023 totaled US$55.6 billion, a modest 3.7% decline from the same period in 2022. The strong demand for TSMC’s 3nm technology contributed to its ADR surging more than 6% after earning releases.
Last month, TSMC’s CEO, C. C. Wei, expressed optimism about the chip market, stating that the company anticipated it would reach its lowest point “very soon” following a period of prolonged sluggishness due to the COVID-19 pandemic. The surge in the AI industry has driven an increased need for chips used in training large language models.
In summary, TSMC’s third quarter revenue was driven by its advanced technology, with 3nm, 5nm and 7nm processes accounting for a combined 59% of the company’s total revenue. Looking ahead, TSMC plans to mass produce an even more advanced 2nm process in 2025, which is expected to solidify the company’s position as a leader in high-end technology development.
As for the outlook, TSMC expects fourth-quarter revenue for 2023 to range between US$18.8 billion and US$19.6 billion, with an estimated midpoint of US$19.2 billion (approximately NT$614.4 billion at the exchange rate of NT$32 per US$1). This represents an approximately 11.1% increase quarterly. Despite the expectation that revenue may decrease somewhat in November and December compared to October, TSMC estimates that revenue in the remaining two months will average US$5.84 billion to meet its financial forecast target.
(TSMC Consolidated October Revenue)
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