Taiwan Semiconductor Manufacturing Co. raised its quarterly dividend to NT$6 ($0.19) per share, marking a 20% increase from the previous NT$5 payout and the highest level in the chipmaker’s history. The board approved the distribution on Nov. 11, which will result in NT$155.6 billion ($5 billion) flowing to shareholders.
The move follows TSMC’s sustained expansion program, with 2025 capital expenditure projected between $38 billion and $42 billion, as the company builds capacity for advanced nodes including its 2-nanometer process technology. The dividend adjustment represents the second increase this year, following a February rise from NT$4.50 to NT$5 per share.
The new dividend will be paid April 9, 2026, with the ex-dividend date set for March 17. TSMC’s 1.74 million shareholders will benefit from the increased payout, according to the company’s latest registry data. The state-run National Development Fund, holding 1.65 billion shares, stands to receive approximately NT$9.9 billion ($319 million).
The board separately approved $15 billion in capital appropriations for factory construction, advanced process technology deployment, and research initiatives through 2026. At current exchange rates of approximately 31 Taiwan dollars to the U.S. dollar, the capital budget totals NT$465 billion. The company also authorized equipment sales of $20 million to $23 million to affiliate Vanguard International Semiconductor.
Financial analysts project TSMC’s annual cash dividends could reach NT$20 to NT$24 per share for 2025-2026, driven by strengthening free cash flow generation. Chief Financial Officer Wendell Huang previously indicated the company aims to distribute roughly 70% of its cash flow as dividends while maintaining steady quarterly increases.
