Taiwan Semiconductor Manufacturing Co (TSMC) on Thursday reported a 77.4% jump in second-quarter profit year-on-year, surpassing market estimates, as the world's largest contract chipmaker continues to benefit from surging demand for artificial intelligence chips.
Net profit for the April-June period reached T$247.8 billion ($7.6 billion), up from T$139.7 billion a year earlier, according to a company filing. Revenue rose 40% to T$673.5 billion, driven by advanced 3-nanometer and 5-nanometer technologies.
TSMC, whose clients include Apple and Nvidia, has raised its capital expenditure forecast for 2026 to $32-$36 billion, up from $30-$32 billion, to expand production capacity for AI-related chips. The company expects third-quarter revenue between $22.4 billion and $23.2 billion.
CEO C.C. Wei said demand for AI chips is "insatiable" and will drive growth for years, though he warned of potential macroeconomic uncertainties. TSMC's gross margin for Q2 was 53.2%, slightly above its guidance.
