TSMC Announces Substantial Profit Rise Amid AI Chip Demand in Q1 2025

(MENAFN) Taiwan Semiconductor Manufacturing Corporation (TSMC), recognized as the globe’s leading chip producer, experienced a substantial rise in earnings—soaring by 60.3 percent compared to the same timeframe last year during the initial quarter of 2025.

The organization’s earnings reached 361.56 billion new Taiwan dollars (roughly USD11.12 billion) in Q1, based on the financial summary the company issued on Thursday.

In addition to profit growth, TSMC’s overall revenue also expanded by 41.3 percent, climbing to USD25.8 billion within the same quarter.

Both the revenue and earnings outcomes surpassed expectations previously estimated by the London Stock Exchange Group (LSEG), which had forecast USD25.7 billion in sales and USD10.9 billion in profit for the opening quarter of the year.

This impressive financial performance was primarily propelled by the increasing global appetite for chips utilized in artificial intelligence (AI) technologies.

“Our business in the first quarter was impacted by smartphone seasonality, partially offset by continued growth in AI-related demand,” stated TSMC’s Chief Financial Officer, Wendell Huang.

“Moving into the second quarter 2025, we expect our business to be supported by strong demand for our industry-leading 3nm and 5nm technologies,” he continued.

“While we have not seen any changes in our customers’ behavior so far, uncertainties and risks from the potential impact from tariff policies exist. We will continue to closely monitor the potential impact on the end market demand, and manage our business prudently," Huang added.

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