Taiwan Semiconductor Manufacturing Co (TSMC) raised its full-year revenue forecast on Thursday, signaling confidence in the ongoing AI megatrend after posting record quarterly profits that beat expectations.
The world’s largest contract chipmaker now expects mid-30% revenue growth in 2025, up from its previous forecast of around 30%. The company cited booming demand for AI chips, which continues to exceed earlier projections.
“AI demand actually continues to be very strong — stronger than we thought three months ago,” CEO C.C. Wei told investors. “We are also receiving very strong signals from our customers requesting capacity to support their business.”
TSMC reported a 39.1% rise in third-quarter net profit to T$452.3 billion ($14.76 billion), surpassing analysts’ estimates of T$417.7 billion, according to LSEG SmartEstimate data. The company said it remains “prudent” in planning for 2026 amid global trade uncertainty.
The Taiwanese chipmaker supplies giants such as Apple, Nvidia, AMD, and Broadcom, all of whom are expanding their investments in AI-driven data centers. Recent multi-billion-dollar partnerships between OpenAI, chipmakers, and infrastructure providers have reinforced expectations of sustained semiconductor demand.
Despite trade tensions and U.S. tariffs, Wei said he remained optimistic: “Even if the China market was not available, AI’s growth will still be very dramatic.”
TSMC’s shares have risen 38% in 2025, outpacing Taiwan’s broader market, reflecting investor confidence that the company remains central to the global AI hardware boom.
