Strong AI Demand Fuels Revenue Growth
Taiwan Semiconductor Manufacturing Co. (TSMC) has reported its highest-ever quarterly profit, driven by robust demand for chips used in artificial intelligence applications. The company, which is the world’s largest contract chipmaker, posted a
61% rise in profit for the second quarter of 2025 compared to the same period last year[3]. This rise is attributed to continued strength in orders from leading technology firms that rely on advanced chips for emerging tools like
ChatGPT and other AI-powered products.
Upgraded Revenue Forecast for 2025
TSMC's executive team announced an upward revision to its full-year revenue outlook, now expecting
about 30% growth in US dollar terms for 2025, up from the previous estimate of "close to mid-20s percent" growth. Second-quarter revenue reached
NT$933.79 billion, a 39% year-over-year increase, and earnings per share climbed to
NT$15.36, both exceeding analyst expectations[1][2].
- Revenue for Q2 2025: NT$933.79 billion (39% year-over-year rise)
- Earnings per share: NT$15.36
- Projected Q3 2025 revenue: Between $31.8 billion and $33 billion USD
Market Impact and Industry Position
Following the strong financial results and positive outlook, TSMC's stock rose nearly 4% in premarket trading, adding to an 18% gain so far this year[1]. The company’s ongoing partnerships with major industry players such as Apple and Nvidia continue to secure its leadership in advanced chip fabrication.
Looking Ahead
TSMC’s CEO C.C. Wei cited “exceptionally high demand” for AI products as a key growth factor for the company’s performance in 2025[1][3]. As the semiconductor industry remains central to innovation in AI, expectations remain high for continued expansion—despite ongoing vigilance regarding tariffs and supply chain dynamics.