TSMC Reports Revenue and Profit Jumps

Taiwan Semiconductor Manufacturing Company (TSMC) reported a jump in revenue and profits in the third quarter of 2025. The company expects Q4 revenue to grow by at least 22%.

In its Q3 earnings call, chair and CEO C.C. Wei said that, given strong AI-related demand, it is preparing to upgrade its facilities in Arizona faster than previously planned to start 2 nm production. He added that it is close to securing a second plot of land near existing plants to support the expansion and provide more flexibility in response to the robust multiyear AI-related demand.

Revenue in the current quarter is expected to reach between $32.2 billion and $33.4 billion, up from $26.4 billion in the same period of 2024. Net profit in the July to September period jumped 39.1% to TWD452.3 billion ($14.7 billion). TSMC previously reported its revenue grew 30.3% to TWD989.9 billion. Even with limited opportunity from China for now, CFO Wendell Huang said, given the positive AI outlook, the company is confident it can achieve 40% annual growth in AI accelerator revenue.

The chipmaker narrowed its 2025 capex guidance from between $38 billion and $42 billion to a range of $40 billion and $42 billion. The outlay in 2024 was $30 billion. Shipments of 3nm chips accounted for 23% of total wafer revenue, up from 20% a year earlier, while 5nm products made up 37%, compared with 32% in 3Q24.