Catenaa, Thursday, October 16, 2025- World’s biggest chip maker, TSMC, said Thursday that its net profit surged nearly 40% in the last quarter, boosted by the surge in use of artificial intelligence.
Taiwan Semiconductor Manufacturing Company reported a net profit of a record $15 billion in the July-September quarter, higher than analysts’ forecasts.
The company had earlier stated that its revenue increased by 30% year-over-year in the last quarter.
TSMC has been building chip fabrication plants in the United States and Japan to mitigate risks associated with China-US trade tensions. The chipmaker is a major supplier to companies such as Apple and Nvidia.
TSMC stock fell by 1% in US trading on Thursday; the stock is up by over 52% so far this year.
TSMC raised its revenue outlook for 2025 for the second time this year, as the chipmaker benefits from companies spending on artificial intelligence. TSMC sees mid-30% annual sales growth.
TSMC revenue beat estimates, coming in at $32.2 billion. Earnings per share of $2.92 per ADR unit) also beat estimates of $2.60 per ADR unit.
“Our business in the third quarter was supported by strong demand for our leading-edge process technologies,” TSMC CFO Wendell Huang said. “Moving into fourth quarter 2025, we expect our business to be supported by continued strong demand for our leading-edge process technologies.”
US Commerce Secretary Howard Lutnick proposed last month that computer chip production be divided 50-50 between Taiwan and the US, where the majority of global chip manufacturing is currently based.
The company has committed $100 billion in US investments, including building new factories in Arizona, on top of $65 billion that it pledged earlier.
