Taiwan Semiconductor Manufacturing Co. reported a 35% year-on-year rise in first-quarter revenue, beating market estimates and pointing to continued demand for AI chips. Revenue for January through March reached T$1.134 trillion, up from T$839.3 billion a year earlier. The result came in above an LSEG SmartEstimate of T$1.125 trillion and stayed within the company’s January guidance range of $34.6 billion to $35.8 billion.
TSMC said first-quarter revenue reached T$1.134 trillion, or about $35.71 billion, based on its monthly sales update released on Friday. The company does not provide detailed commentary with its monthly revenue figures. However, the sales result suggested that demand for advanced chips remained firm through the quarter.
March revenue also rose sharply. TSMC reported monthly revenue of T$285.96 billion, up 45% from a year earlier. That monthly result helped lift total first-quarter sales above analyst expectations and kept TSMC on track ahead of its full earnings report due on April 16.
The company only gives revenue guidance in US dollars, and its latest quarterly figure matched the range it set during its January earnings call. Analysts now expect TSMC’s April-to-June revenue to reach a record T$1.2 trillion, according to LSEG data, after forecasts moved 2.3% higher over the last 30 days.
TSMC has remained a major supplier to large technology companies building AI systems. Its customer base includes NVIDIA, while market participants also link its growth to broader spending by cloud and data center operators. Demand for advanced chips has helped offset softer orders in parts of the consumer electronics market, including tablets and other devices that saw stronger demand during the pandemic.
The latest sales figures also came as investors watched whether conflict in the Middle East would slow AI-related investment. Some concerns focused on the risk that disruption in the Strait of Hormuz could affect helium shipments. Helium is used in semiconductor wafer production, and supply pressure could affect parts of the manufacturing chain.
Despite the geopolitical concerns, TSMC’s first-quarter revenue suggested that chip demand tied to AI projects remained stable. The company’s figures came after Foxconn also reported a 30% year-on-year rise in first-quarter sales. Samsung, meanwhile, reported a sharp profit increase tied to AI memory chip demand.
TSMC’s Taipei-listed shares have gained 29% this year, ahead of a 22% rise in the benchmark index. The stock rose by 2.3% on Friday after the sales announcement. In the United States, TSMC’s American depositary receipts rose 2.4% in premarket trading to $374.08 after the monthly update.
Over the past year, TSMC ADRs have climbed about 133%, supported by continued spending plans from large technology companies developing AI products and infrastructure. The revenue update added to investor focus on the company’s upcoming earnings report, where TSMC is expected to provide a fuller view of first-quarter performance and updated guidance for the second quarter and full year.
Analysts expect TSMC to report first-quarter net income of NT$536.73 billion on April 16. That would mark a 49% increase from a year earlier. Investors will also watch for any details on capacity, pricing, and demand for advanced AI chip production as the company moves into the second quarter.
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