TSMC Profit Soars 58%, Boosting Advanced 3nm Chip Capacity for Apple
Taiwan Semiconductor posted a record quarterly net profit of 572.5 billion NTD ($18.1 billion), up 58.3% year-over-year, driven by surging AI-related chip demand. It lifted its 2026 capital expenditure outlook to the upper end of NT$52–56 billion to expand advanced 3nm capacity for Apple and major customers.
1. Profit and Revenue Surge
Taiwan Semiconductor posted a record first-quarter net profit of 572.5 billion NTD ($18.1 billion), a 58.3% increase year-over-year, on revenue of $35.9 billion, up 8.4% from the fourth quarter. Strong AI-related demand for advanced nodes drove the outperformance.
2. Capex Plans and 3nm Expansion
TSMC raised its 2026 capital expenditure plan to the upper end of NT$52–56 billion, signaling significant investment in new fabrication facilities. Expansions in Taiwan, the U.S. and Japan will focus on scaling 3 nanometer capacity to supply Apple and other leading customers.
3. Iran War Cost Risks and Supply Preparedness
The company warned that the Iran conflict could elevate global supply chain costs and disrupt helium and chemical supplies essential for chipmaking. TSMC has built safety-stock inventories to mitigate these risks and expects no near-term production disruptions.