Taiwan Semiconductor Manufacturing Company (NASDAQ:TSMC) shares showed some mojo on Thursday, as the company maintained its annual revenue forecast after it quarterly beat profit expectations, thanks to a continued surge in demand for AI chips.
Here are TSMC’s first-quarter results versus
First-quarter revenue: $839.25 billion New Taiwan dollars, vs. NT$835.13 billion expected
Net income: NT$361.56 billion, vs. NT$354.14 billion
TSMC’s net income increased 60.3% from the same period last year to NT$361.56 billion, while net revenue in the March quarter rose 41.6% to NT$839.25 billion.
TSMC’s high-performance computing division which encompasses artificial intelligence and 5G applications drove sales in the quarter, increasing 7% since the last quarter to account for 59% of total revenue.
Meanwhile, the company said advanced technologies, defined as 7-nanometer and less, accounted for 73% of total wafer revenue. In semiconductor technology, smaller nanometer sizes signify more compact transistor designs, which lead to greater processing power and efficiency.
“Business in the fourth quarter was impacted by smartphone seasonality, partially offset by continued growth in AI related demand,” TSMC CEO C.C. Wei said in an earnings call.
TSMC opened in New York ahead $2.14, or 1.4%, Thursday to $153.81.