TSMC‘s second-quarter profit seen hitting record on AI boom
Published Thu, Jul 16, 2026 · 11:28 AM
[TAIPEI] TSMC, the world’s largest manufacturer of advanced AI chips, is expected to notch a fifth consecutive quarter of record earnings on Thursday (Jul 16), with a 59 per cent surge in net profit for April-June, driven by booming global demand for AI infrastructure.
Analysts said demand for Taiwan Semiconductor Manufacturing Co’s (TSMC) 3-nanometre and 2-nanometre process technologies for AI chips, as well as for its advanced chip packaging technology, CoWoS, remains strong.
That has catapulted Asia’s most valuable company, a key supplier to Nvidia and Apple, to new heights. Its market capitalisation is now nearly double that of South Korean rival Samsung Electronics at around US$1.95 trillion.
TSMC is expected to report net profit of NT$632.6 billion (US$19.65 billion) for the second quarter, according to an LSEG SmartEstimate compiled from 18 analysts. SmartEstimates place greater weight on forecasts from analysts who are more consistently accurate.
An earnings call at which it will provide third-quarter and updated full-year guidance is scheduled for 0600 GMT. Any result above NT$572.5 billion would mark the company’s highest-ever quarterly net income and its 10th consecutive quarter of profit growth.
On Monday, the company announced a 36 per cent rise in second-quarter revenue, ahead of market forecasts and a record high.
Analysts broadly expect TSMC to raise its full-year revenue growth outlook and will be watching whether it also increases capital spending, a key indicator of management’s confidence in the durability of AI demand.
On its last earnings call in April, the company said 2026 capital expenditure would be at the high end of its earlier guidance of US$52 billion to US$56 billion.
TSMC is investing US$165 billion to build chip factories in the US state of Arizona. TSMC‘s Taipei-listed shares have gained 57.4 per cent so far this year, in line with the broader market. REUTERS
