Taiwan Semiconductor Manufacturing Company Limited (2330) Earnings Call Transcripts

Taiwan Semiconductor Manufacturing Company Limited's Latest Earnings Call - Q1 FY2026

In the first quarter of 2026, Taiwan Semiconductor Manufacturing Company (TSMC) reported revenue of USD 35.9 billion, exceeding guidance and reflecting a 6.4% sequential increase. Gross margin improved to 66.2%, driven by cost efficiencies and high capacity utilization. Management has raised guidance for the second quarter, expecting revenue between USD 39.0 billion and USD 40.2 billion, indicating a 10% sequential increase and a 32% year-over-year growth at the midpoint. The company also signaled a robust demand outlook, particularly in AI and HPC applications, which supports a full-year revenue growth expectation of over 30%.

Reported metrics

Guidance from management

Management expects second quarter revenue to be between USD 39.0 billion and USD 40.2 billion, representing a 10% sequential increase. They also anticipate a full-year revenue growth of over 30% in U.S. dollar terms.

What management said

Thank you, C.C. This concludes our prepared statements. [Operator Instructions]. Now let's begin the Q&A session. Operator, can we proceed with the first participant on the line, please? Thank you.

Okay. So the first question from Haas Liu of Bank of America, it's 2 parts on 3-nanometer. First, as C.C. described, we are executing a plan for expanding 3-nanometer capacity. So he wants to understand what are the applications to drive such a strong multiyear looking ahead pipeline of demand for 3-nanometer since it's already been around in volume production since late '22. That's the first part of his question.

What analysts pressed on

Analysts expressed concerns regarding the sustainability of margins amid rising component prices and geopolitical uncertainties. There were also questions about the timeline for resolving supply constraints and the impact of competition from emerging players in the semiconductor space.

Main topics on the call

• Revenue Growth and Guidance — TSMC's first quarter revenue of USD 35.9 billion was slightly above guidance, reflecting strong demand for leading-edge technologies. The company has guided for second quarter revenue between USD 39.0 billion and USD 40....
• Gross Margin Improvement — Gross margin increased to 66.2%, up 3.9 percentage points sequentially, attributed to cost improvements and high capacity utilization. Management noted, "Our actual gross margin exceeded the high end of the range provide...
• CapEx and Capacity Expansion — TSMC has revised its 2026 capital expenditures to the high end of USD 52 billion to USD 56 billion, driven by robust demand, particularly in AI and HPC applications. Management emphasized the need for increased capacity,...
• AI Demand Outlook — Management highlighted strong demand for AI-related applications, particularly in HPC, which is driving the need for more advanced silicon. C.C. Wei stated, "Our conviction in the multiyear AI megatrend remains high, and...

Read the full Taiwan Semiconductor Manufacturing Company Limited transcript (Q1 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 25 Taiwan Semiconductor Manufacturing Company Limited earnings call transcripts on record, spanning January 16, 2020 to July 16, 2026. Based on this history, Taiwan Semiconductor Manufacturing Company Limited reports quarterly. The most recent call on file is dated July 16, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

2330

Exchange

TWSE

Country

TW

Sector

Information Technology

Industry

Semiconductors and Semiconductor Equipment

Calls on record

25

First call

January 16, 2020

Most recent

July 16, 2026

Reporting cadence

quarterly