Taiwan Semiconductor Manufacturing Co. delivered NT$452.30 billion ($14.3 billion) in net income for the third quarter, marking a sharp increase from the prior year as artificial intelligence applications continued driving demand for the company’s most advanced chips.
The Hsinchu-based chipmaker posted revenue of NT$989.92 billion ($33.10 billion) for the quarter ended September, representing a 30% climb from the same period in 2024. TSMC’s gross margin reached 59.5%, while operating margin hit 50.6%, the manufacturer said Wednesday.
Advanced process technologies—defined as 7-nanometer and below—accounted for 74% of total wafer revenue during the quarter. The company’s newest 3-nanometer process contributed 23% of revenue, while 5-nanometer and 7-nanometer nodes made up 37% and 14% respectively.
High-performance computing drove growth, comprising 57% of platform revenue and increasing 14% from the previous quarter. Smartphone sales represented 30% of revenue. The foundry attributed performance to persistent demand for its leading-edge manufacturing capabilities, particularly from data center customers.
Looking ahead to the fourth quarter, TSMC expects revenue between $32.2 billion and $33.4 billion. The company now anticipates full-year 2025 revenue will climb approximately 30% in dollar terms, supported by continued strength in 3-nanometer and 5-nanometer production.
Management noted that supply remains tight across advanced nodes, with capacity constraints persisting into 2026. The manufacturer is expanding production through multiple facility additions in Taiwan, Arizona, Japan and Germany to address customer requirements for geographic flexibility while maintaining technology leadership.
