Taiwanese chip maker, TSMC, announced its Q3 2019 financial results recently. TSMC’s Q3 2019 revenue was as high as NT$293 billion ($9.5 billion), a year-on-year increase of 21.6%, a record high. This performance also exceeded the expectation that TSMC will increase its revenue by 18% on a month-on-month basis.
Previously, the highest quarterly revenue of the company was in Q4 2018, with revenue of NT$289.8 billion ($9.4 billion). In the first three quarters of this year, TSMC’s revenue was NT$752.7 billion ($24.5 billion), a year-on-year increase of 1.5%. However, TSMC’s Q3 2019 revenue was the highest. As TSMC’s customer demand continues to increase, the industry expects that TSMC’s fourth-quarter revenue will exceed NT$300 billion ($9.7 billion), another new record high. Analysts said that TSMC’s current revenue performance is strong mainly due to the demand for 5G infrastructure, smartphones, and HPC.
TSMC expenditure is also on the high side. It is reported that this year’s capital expenditure exceeds $11 billion. Not only did it expand its 7nm production capacity, it is also working on a 5nm plant. The first phase of Fab 18 plant built for 5nm process has been completed and trial production is expected to commence in the first half of next year.