TSMC Surpasses Q1 Revenue and Profit Expectations Amid Strong AI Chip Demand

Taiwan Semiconductor Manufacturing Company (TSMC) exceeded revenue and profit expectations in the first quarter, driven by strong demand for advanced chips, particularly those used in AI applications. The company reported a 16.5% increase in net revenue and an 8.9% rise in net income compared to the previous year. TSMC's focus on advanced chip development, including the shift towards 3-nanometer technology, positions it for long-term growth. The company's strong performance is attributed to its high net profit margin and dominance in the global foundry market. Additionally, TSMC's Arizona subsidiary received preliminary approval for government funding to build advanced semiconductors, while its operations in Taiwan remained largely unaffected by a recent earthquake.