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Taiwan Semiconductor Manufacturing Company, or TSMC, is expected to make a record profit in the third quarter of 2025. The company is seeing strong demand for artificial intelligence (AI) chips from large tech companies.
Analysts say TSMC’s net profit from July to September could reach about TWD 415.4 billion ($13.55 billion). This would be 28% higher than last year and the highest profit the company has ever achieved in a single quarter.
TSMC reported a revenue of approximately TWD $990 billion ($32.47 billion) this quarter. This is more than most analysts expected. Customers like NVIDIA and Apple rely on TSMC for advanced AI chips, which explains the strong growth.
AI technology is driving the boom. Experts say many organizations are actively spending on building AI infrastructure, cloud computing, and high-performance chips. According to Mario Morales from research firm IDC, TSMC will likely continue to grow faster than its competitors because of AI.
US tariffs and trade tensions could affect Taiwan’s exports. However, most chips are not subject to tariffs, so the impact on TSMC is less. Additionally, the company is investing $165 billion to set up new plants in Arizona, USA. This will not only increase its chip production but also mitigate the risk arising from trade issues.
TSMC’s stock has already gone up 30% this year. Its market value is around $1.22 trillion, almost three times higher than Samsung Electronics in South Korea. Investors are confident because TSMC creates the most advanced chips.
The company will release full third-quarter results and next-quarter guidance on October 16, 2025. Analysts and investors will closely monitor TSMC's management of growing AI demand and global challenges.
Overall, TSMC’s Q3 profit is going up, and it is a clear indication that AI is changing the tech industry. The company is in a favorable situation due to strong sales, new factories, and chip-making leadership. Despite trade disputes, the company will gain from the increasing demand for AI chips.
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