TSMC's revenue for the first three months of this year reached NT$1.134 trillion (approximately US$35 billion), a year-on-year increase of 35%, slightly exceeding market expectations. TSMC stated that 74% of its wafer revenue came from the advanced process segment, including the 7nm process launched in 2018 and subsequent updates.
The company's most mainstream manufacturing process is the 3nm node, which entered mass production in 2020. Chips manufactured using this process contributed 36% of revenue. The revenue share of the next-generation 3nm process increased from 22% in the same period last year to 25%.
TSMC has not yet separately disclosed sales figures for its latest 2nm node. This process entered mass production at the end of last year and is still expanding, with two of its 11 wafer fabs currently producing 2nm products.
TSMC is developing a new node, N2P, expected to enter mass production in the second half of 2026, offering a 5% performance improvement over the standard 2nm process. The company anticipates this technology may become the mainstream solution for 2nm processes in the future.
Following N2P, TSMC plans to launch the even faster N2X process, optimized specifically for high-speed data center chips such as graphics cards.
Processors are composed of basic units called "cells," each containing a small number of transistors. N2X offers two types of cells: standard cells and high-speed cells. TSMC will embed high-speed cells into critical parts of client server chips to improve performance.
TSMC's High Performance Computing (HPC) segment (including data center chips) saw a 20% quarter-over-quarter increase in revenue, making it the second-largest growth business after Digital Consumer Electronics (DCE). The Digital Consumer Electronics segment provides chips for devices such as smart TVs and VR headsets, with sales increasing by 28% quarter-over-quarter.
TSMC manufactures DCE processors using six legacy nodes, the latest being the process introduced in 2019. Customers can choose to integrate embedded RRAM into the chip, a special type of memory optimized for low power consumption.
Rising chip demand significantly improved TSMC's profitability. The company's net profit reached US$18.11 billion, a 58% year-on-year increase, exceeding analysts' expectations. Benefiting from cost reductions, improved capacity utilization, and favorable exchange rates, TSMC's gross margin improved by 3.9 percentage points quarter-on-quarter.
TSMC expects full-year revenue growth exceeding 30%. Capital expenditures (including purchases of major equipment such as lithography machines) are projected to fall at the upper end of the US$52 billion–56 billion range, consistent with the guidance given in January.
Tags：