The Conversation (0)
Shares of Taiwan Semiconductor Manufacturing Company were on the rise after the company reported its latest quarterly results.
Rokas Tenys / Shutterstock
Global chipmaker Taiwan Semiconductor Manufacturing Company (TSMC) (NYSE:TSM,TPE:2330) reported strong Q3 results despite ongoing controversies over alleged violations of US export controls.
The company's consolidated revenue for the quarter reached 759.69 billion New Taiwan dollars, up 39 percent year-on-year, while its net income rose 54.2 percent to total 325.26 billion New Taiwan dollars.
In US dollar terms, TSMC's Q3 revenue came in at at US$23.5 billion, a 36 percent year-on-year rise.
Wendell Huang, senior vice president and CFO of TSMC, said on Thursday (October 17) that a key driver of the firm's Q3 success was strong demand for its advanced 3 nanometer and 5 nanometer technologies.
These cutting-edge manufacturing processes, used in the production of chips for smartphones and artificial intelligence applications, accounted for a significant portion of the company’s wafer revenue.
In addition, advanced technologies — defined by TSMC as 7 nanometer and more advanced processes — generated 69 percent of the tech behemoth's wafer revenue during the quarter.
Looking ahead to the year's final quarter, TSMC expects continued demand for its advanced process technologies to drive revenue growth. The company’s management has provided a financial outlook that anticipates Q4 revenue of between US$26.1 billion and US$26.9 billion, reflecting further growth compared to the third quarter.
While TSMC’s financial performance continues to impress, the company is currently the subject of a US Department of Commerce investigation that is seeking to establish whether TSMC is working with Chinese tech giant Huawei.
The inquiry follows concerns that TSMC may be indirectly supplying chips to Huawei through intermediary companies, despite a 2020 ban that restricts the Chinese firm from accessing semiconductors made with US technology.
TSMC has issued a statement affirming its commitment to complying with international regulations. The company has also pledged to take "prompt action" to investigate any potential issues and ensure adherence to US export controls.
TSMC's previous collaboration with Huawei was halted after the US government tightened restrictions on the Chinese company as part of national security measures.
Don't forget to follow us @INN_Technology for real-time updates!
Securities Disclosure: I, Giann Liguid, hold no direct investment interest in any company mentioned in this article.
NYSE:TSM
https://x.com/giannliguid
https://www.linkedin.com/in/giannliguid/
Giann Liguid is a graduate of Ateneo De Manila University with an AB in Interdisciplinary Studies. With a diverse writing background, Giann has written content for the security, food and business industries. He also has expertise in both the public and private sectors, having worked in the government specializing in local government units and administrative dynamics.
When he is not chasing the next market headline, Giann can most likely be found thrift shopping for his dogs.
When he is not chasing the next market headline, Giann can most likely be found thrift shopping for his dogs.
INN Article Notification
Outlook Reports world
Featured Artificial Intelligence Investing Stocks
Browse Companies
MARKETS
COMMODITIES
CURRENCIES
Giann Liguid is a graduate of Ateneo De Manila University with an AB in Interdisciplinary Studies. With a diverse writing background, Giann has written content for the security, food and business industries. He also has expertise in both the public and private sectors, having worked in the government specializing in local government units and administrative dynamics.
When he is not chasing the next market headline, Giann can most likely be found thrift shopping for his dogs.
Learn about our editorial policies.