TSM

TSMC second-quarter profit jumps 81% to record on demand for faster chips

Credit: REUTERS/TYRONE SIU

Q2 profit T$120.8 bln vs T$111.83 bln analyst view

Q2 revenue up 34.1% on year in U.S. dollar terms

Recasts and adds details

TAIPEI, July 16 (Reuters) - Taiwan Semiconductor Manufacturing Co Ltd (TSMC) 2330.TW, TSM.N said on Thursday that quarterly net profit surged 81% to a record level on robust orders for advanced chips.

The world's largest contract chipmaker reported April-June net profit of T$120.8 billion ($4.1 billion), well ahead of the T$111.83 billion average of 19 analyst estimates compiled by Refinitiv.

Revenue for the quarter climbed 34.1% to $10.38 billion, within the company's earlier estimated range of $10.1 billion to $10.4 billion.

Although TSMC is losing Huawei Technologies Co Ltd HWT.UL as a customer after the U.S slapped the Chinese company with sales restrictions, it has managed to fill up its order book with requests from other companies, a government minister said last month.

TSMC shares have risen about 10% this year, giving it a market value of $320 billion, overtaking U.S. rival Intel Corp's INTC.O $249 billion. TSMC's shares closed down 1.5% on Thursday, underperforming a 0.4% decline on the broader market .TWII.

($1 = 29.4490 Taiwan dollars)

(Reporting by Yimou Lee and Ben Blanchard; Editing by Edwina Gibbs)

((yimou.lee@thomsonreuters.com; +886-2-8729-5122;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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