The results of operations for December last year published by the Taiwanese contract chip manufacturer TSMC allow us to estimate the amount of quarterly revenue of this company. According to Bloomberg, it grew by 34% year-on-year to $26.3 billion in dollar terms, exceeding analysts’ expectations ($25.9 billion).
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TSMC will publish a full quarterly report next week, but for now Bloomberg Intelligence representatives suggest that the company’s profit margin has reached a two-year high of 58%. At the upcoming quarterly conference call, investors should listen for four main topics: the company’s progress in expanding CoWoS chip packaging capacity, the progress of the US facility in Arizona, the potential for lower profitability due to falling demand for more mature processes, and the outlook for capital expenditures. for the current year, which will allow us to understand the speed of expansion of the 2nm process technology.
Morgan Stanley analysts expect TSMC’s first-quarter revenue to decline 5% sequentially due to a seasonal adjustment in iPhone demand. Based on the results of this year, TSMC will most likely be able to count on an increase in revenue by about 20 percent in dollar terms. Last year, TSMC incurred capital expenditures of about $30 billion, but may increase them this year. The company today reported that its December revenue rose 57.8% year-over-year to $8.4 billion. TSMC’s full-year 2024 revenue is estimated to be up 33.9% year-over-year to $87.8 billion.