Nvidia-Supplier Taiwan Semiconductor On A Roll, Profit Explodes With Strong Margin Growth

Nvidia-Supplier Taiwan Semiconductor On A Roll, Profit Explodes With Strong Margin Growth

Benzinga
July 17, 2025

Taiwan Semiconductor Manufacturing Co. (TSM) stock soared Thursday after the contract chipmaker delivered second-quarter results that blew past analyst expectations, driven by insatiable global demand for its advanced processor technologies essential for artificial intelligence applications.

As a key supplier to tech giants like Nvidia (NASDAQ:NVDA) for its graphics processing units (GPUs) and Apple (NASDAQ:AAPL) for its smartphones, the company’s strong results underscore its critical role in the global technology ecosystem. The company also provided an optimistic revenue forecast for the third quarter, further boosting investor confidence.

Taiwan Semiconductor reported quarterly net sales of $30.07 billion (933.79 billion New Taiwanese dollars), up 38.6% year-over-year (Y/Y), topping the analyst consensus estimate of $30.04 billion. Net sales grew 11.3% quarter over quarter (Q/Q).

Also Read: What To Expect From Taiwan Semiconductor Q2 Performance?

Net income and earnings per share were $398.27 billion New Taiwanese dollars and 15.36 New Taiwanese dollars per share (or $2.47), up by 60.7% Y/Y, topping the analyst consensus estimate of $2.37.

In U.S. dollar terms, revenue growth was 44.4% Y/Y and up by 17.8% Q/Q. The top-line performance topped the company’s guidance of $28.4 billion-$29.2 billion.

The company said 3-nm accounted for 24% of the total revenue, 5-nm accounted for 36%, and 7-nm technologies accounted for 14%. Advanced technologies (7nm and below) accounted for 74% of total wafer revenue.

By platform, High-Performance Computing (HPC) and ...

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