TSMC ups guidance
TSMC reported first‑quarter revenue of $35.9 billion and raised full‑year revenue‑growth guidance to above 30% in dollar terms. Tom’s Hardware says the company increased capital spending, tied its outlook to a multiyear AI trend, warned Middle East conflict could raise costs, and called Intel Foundry a 'formidable competitor.' (digitimes.com) (tomshardware.com)
Taiwan Semiconductor Manufacturing Co. raised its 2026 sales outlook after first-quarter revenue hit $35.9 billion, with management now expecting full-year growth above 30% in U.S. dollar terms. (investor.tsmc.com) The company reported first-quarter net income of NT$572.48 billion, up from NT$361.56 billion a year earlier, while gross margin rose to 66.2% from 58.8%. Second-quarter revenue guidance came in at $39.0 billion to $40.2 billion. (investor.tsmc.com) (pr.tsmc.com) TSMC’s March revenue report had already pointed to the acceleration: January-through-March sales reached NT$1.134 trillion, up 35.1% from the same period in 2025. On the April 16 earnings call, Chief Executive C.C. Wei and Chief Financial Officer Wendell Huang tied the stronger outlook to demand for leading-edge chips. (pr.tsmc.com) (investor.tsmc.com) TSMC is the contract manufacturer behind chips designed by companies such as Nvidia, Apple and Advanced Micro Devices. When it raises guidance, it is also signaling that customers still expect to spend heavily on artificial-intelligence servers and other high-performance computing gear. (investor.tsmc.com 1) (investor.tsmc.com 2) The company also told investors it would increase capital spending as it expands capacity for advanced manufacturing, according to Tom’s Hardware’s report on the call. That spending matters because TSMC’s newest plants and packaging lines are where the most in-demand AI chips get made. (tomshardware.com) (investor.tsmc.com) Management also flagged a geopolitical risk outside the chip market itself. In the call, TSMC said the recent Middle East situation could affect profitability by raising materials and energy costs. (investor.tsmc.com) TSMC did not frame its position as unchallenged. Tom’s Hardware reported that the company called Intel Foundry a “formidable competitor,” a notable acknowledgment as Intel tries to win more outside manufacturing customers. (tomshardware.com) The next test comes in the June quarter, when TSMC says revenue could top $40 billion for the first time if demand and margins hold near current levels. (investor.tsmc.com)
