The market is awaiting TSMC’s financial report on Thursday. Market sentiment and capital expenditure will become the focus of attention
TSMC, the world's largest foundry, announced a new high in quarterly revenue on Monday, revealing good news in advance. The market is eagerly awaiting its financial report to be released on Thursday. By then, TSMC’s AI supply and demand outlook and capital expenditure guidance will become a key benchmark for the global semiconductor industry. According to the industry, if the net profit in the second quarter is higher than NT$572.5 billion (approximately US$17.788 billion), it will set a new record for TSMC’s single-quarter net profit and achieve the 10th consecutive quarter of year-on-year profit growth.
TSMC, the world's largest foundry, announced a new high in quarterly revenue on Monday, revealing good news in advance. The market is eagerly awaiting its financial report to be released on Thursday. By then, TSMC’s AI supply and demand outlook and capital expenditure guidance will become a key benchmark for the global semiconductor industry. According to the industry, if the net profit in the second quarter is higher than NT$572.5 billion (approximately US$17.788 billion), it will set a new record for TSMC’s single-quarter net profit and achieve the 10th consecutive quarter of year-on-year profit growth. According to LSEG's SmartEstimate forecast statistics for 18 analysts, TSMC's second-quarter net profit is expected to surge 59% to NT$632.6 billion, approximately US$19.65 billion. TSMC plans to hold a financial report conference call at 14:00 Beijing time that day, when it will also provide third-quarter performance outlook and update full-year performance guidance. On Monday, TSMC announced that its second-quarter revenue increased by 36% year-on-year, exceeding market expectations and hitting a record high. TSMC’s upcoming financial report may provide the market with the clearest signal yet to determine whether demand for AI chips still significantly exceeds existing production capacity. Rumors that TSMC's 3-nanometer production capacity has been sold out have intuitively reflected that the market demand for the most advanced chips is still extremely strong. Dan Nystedt, a research analyst at Asian private equity investment firm TriOrient, said: "TSMC's strong second-quarter revenue shows that AI demand remains healthy, which directly drives market demand for its advanced chip manufacturing and CoWoS packaging." Analysts generally expect TSMC to raise its full-year revenue growth forecast. Bank of America Asia Semiconductor Analyst Haas Liu pointed out in a research report that supply chain surveys show that potential order demand for AI is still strong, and TSMC may further increase its full-year revenue growth target from the current "more than 30%". Currently, TSMC’s market capitalization has reached approximately US$1.97 trillion, almost twice that of its South Korean rival Samsung Electronics. Another focus for investors is whether TSMC will increase its capital expenditure budget, which is seen as an important indicator of management's confidence in the sustainability of AI demand. In an earnings call in April this year, the company said capital expenditures in 2026 would be at the upper end of its previously expected range of $52 billion to $56 billion. While some analysts expect TSMC to maintain this budget range, Haas Liu predicted that TSMC may increase capital expenditures to about $58 billion given tight equipment supplies and aggressive capacity expansion by memory makers including Samsung Electronics, Micron Technology and SK Hynix. Currently, TSMC plans to invest US$165 billion to build a chip factory in Arizona, USA, and also build multiple foundry facilities in its headquarters in Taiwan. (