TAIPEI—Taiwan Semiconductor Manufacturing Co. (TSMC), the world's largest contract chipmaker, is due to report its second-quarter earnings on Thursday, with investors closely watching the company's outlook for artificial intelligence-driven demand after it posted record quarterly revenue earlier this week.
TSMC is expected to release its full April-to-June financial results and hold an earnings conference on July 16 in Taipei, according to the company's financial calendar. The announcement follows the release of preliminary monthly revenue data showing second-quarter revenue reached a record T$1.27 trillion (about $39.6 billion), up 36% from a year earlier and slightly above market expectations.
The company said revenue growth was supported by strong demand for chips used in artificial intelligence applications. TSMC manufactures advanced semiconductors for major technology companies including Nvidia and Apple, making its results a closely watched indicator for global AI-related spending.
Analysts surveyed by LSEG before the earnings announcement expected second-quarter net profit to rise by roughly 59% from a year earlier, extending a period of strong earnings growth fueled by demand for advanced manufacturing technologies.
In April, TSMC forecast second-quarter revenue of between $39.0 billion and $40.2 billion, with gross margin expected to range from 65.5% to 67.5% and operating margin between 56.5% and 58.5%. The company also said continued demand for its leading-edge process technologies would support business during the quarter.
Investors will focus on whether management updates its full-year outlook, provides guidance for the third quarter and comments on capital spending, production capacity and demand for advanced chips used in AI servers and high-performance computing.
TSMC's preliminary June revenue rose 67.9% from a year earlier to T$442.68 billion, bringing first-half revenue growth to more than 35%. The monthly revenue release was delayed because Typhoon Bavi prompted a market closure in Taiwan.
Shares of TSMC have significantly outperformed broader markets this year, reflecting investor optimism over sustained AI investment and the company's leadership in advanced semiconductor manufacturing. Market participants are expected to scrutinize management's comments for signs of continued strength in AI-related demand and any potential impact from broader macroeconomic or geopolitical developments.
