TSMC’s Q1 profit up 45%, beats market estimates


TAIPEI (Reuters) – Taiwanese chip agency TSMC posted a forty five% leap in quarterly web profit on Thursday, boosted by booming semiconductor demand throughout the COVID-19 pandemic that has led to a worldwide chip crunch.

Net profit for January-March at Taiwan Semiconductor Manufacturing Co Ltd (TSMC), the world’s largest contract chipmaker and a significant Apple Inc provider, rose to T$202.7 billion ($7 billion) from T$139.7 billion a 12 months earlier.

That in contrast with the T$184.67 billion common of 19 analyst estimates compiled by Refinitiv.

The firm, which additionally has clients akin to Qualcomm Inc, has beforehand stated it anticipated sturdy progress to speed up in coming years on account of strong demand for chips that energy every little thing from smartphones to vehicles and lifted capital spending for this 12 months.

TSMC’s income for the quarter climbed 36% to $17.57 billion, above the corporate’s prior estimated vary of $16.6 billion to $17.2 billion.

The firm has stated it anticipated chip capability to stay tight this 12 months, a scarcity of which has compelled automakers and electronics producers to chop manufacturing however maintaining order books full at TSMC and different chipmakers.

Shares of TSMC have fallen about 6.8% to this point this 12 months, giving the agency a market worth of $511.1 billion. The inventory closed flat on Thursday, in contrast with a 0.3% fall for the benchmark index.

($1 = 28.9510 Taiwan {dollars})

(Reporting by Yimou Lee and Ben Blanchard; Editing by Christopher Cushing)

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