tsmc surges: april revenue jumps 48% year-over-year

2025-05-09 tsmc

Taipei, Friday, 9 May 2025.
Taiwan Semiconductor Manufacturing Company (TSMC) reported a record-breaking April. Revenue soared to nearly nt$350 billion, a staggering 48% increase compared to last year. Month-over-month growth also impressed at 22.2%. This surge is fueled by strong demand for its advanced chip manufacturing, especially for ai applications. Chairman c. c. wei anticipates ai-related revenue to double in 2025, driving further expansion and innovation at tsmc.

Financial highlights

TSMC’s April revenue reached NT$349.567 billion [1][2][4]. This represents a 22.2 % increase from the previous month and a 48.1% increase year-over-year [1][2][4]. The company’s accumulated revenue for January through April 2025 totaled NT$1.188821 trillion, marking a 43.5% increase compared to the same period in 2024 [1][4]. TSMC anticipates second-quarter revenue to range between $28.4 billion and $29.2 billion [1]. This translates to a 30% year-over-year increase and over 10% quarter-over-quarter growth [1].

Stock market reaction

The robust revenue figures positively impacted TSMC’s stock [1]. During trading on May 8, TSMC shares (2330) peaked at NT$939 before closing at NT$918 [5]. The stock had opened at NT$938, reaching a high of NT$949, which was up NT$31 or 3.38% [1]. However, the Taiwan stock market closed slightly lower on May 8, down 0.015% to 20,543.40 points [5]. Market analysts noted that TSMC’s late-session decline dragged down the overall index [7].

Factors driving growth

The surge in revenue is attributed to strong demand for TSMC’s 3-nanometer and 5-nanometer technologies, particularly driven by high-performance computing (HPC) platforms [3]. TSMC’s Board Chairman, C. C. Wei, highlighted that the company’s business would continue to benefit from robust demand related to artificial intelligence [1]. TSMC is also committed to doubling its CoWoS production capacity this year [1]. Wei projects AI-related revenue to double in 2025 [1].

Currency fluctuations and concerns

Recent appreciation of the New Taiwan dollar has raised concerns about potential impacts on revenue and profitability [2][3]. The New Taiwan dollar is currently hovering around 30.3 against the U.S. dollar, a nearly 7% increase compared to the previously estimated rate of 32.5 [2]. TSMC has stated it will continue to monitor exchange rate fluctuations and has not revised its second-quarter or full-year outlook [2]. TSMC estimates that every 1% depreciation of the U.S. dollar against the New Taiwan dollar could decrease the company’s operating profit margin by 0.4 percentage points [2].

Geopolitical and trade dynamics

Broader economic factors and geopolitical events are also influencing the market [3]. Uncertainty surrounding tariffs and order visibility in the second half of the year remains a concern [3]. China’s Vice Premier He Lifeng is scheduled to visit Switzerland from May 9 to 12 for talks with the U.S [1]. The U.S. and the UK recently announced a limited trade agreement, with the UK reducing tariffs on U.S. imports [1]. These international dynamics add layers of complexity to TSMC’s market position [alert! ‘geopolitical impacts are difficult to predict precisely’] [GPT].

Market outlook and analyst views

Despite macroeconomic uncertainties, TSMC anticipates overall wafer manufacturing to experience a mild recovery [3]. The company expects 2025 to be a year of steady growth [3]. However, some market analysts believe that the recent surge in TSMC’s stock might be influenced by speculative trading, with potential profit-taking activities impacting short-term performance [7]. Eight major government-owned banks sold off 728 TSMC shares on May 8, with a total sell-off value of NT$682 million [5]. Foreign investors also adjusted their positions, selling NT$2.83 billion worth of TSMC shares [7].

Bronnen

tsmc revenue semiconductor sales