Hsinchu, Taiwan, R.O.C., April 17, 2025 — TSMC today announced consolidated revenue of NT$839.25 billion, net income of NT$361.56 billion, and diluted earnings per share of NT$13.94
(US$2.12 per ADR unit) for the first quarter ended March 31, 2025. Year-over-year, first quarter revenue increased 41.6%, while net income and diluted EPS increased 60.3% and 60.4% respectively. Compared to fourth quarter 2024, first quarter results represented a 3.4% decrease in revenue and a 3.5% decrease in net income. All figures were prepared in accordance with TIFRS on a consolidated basis. In US dollars, first quarter revenue was $25.53 billion, which increased 35.3% year-over-year but decreased 5.1% from the previous quarter. Gross margin for the quarter was 58.8%, operating margin was 48.5%, and net profit margin was 43.1%.
In the first quarter, shipments of 3-nanometer accounted for 22% of total wafer revenue; 5- nanometer accounted for 36%; 7-nanometer accounted for 15%. Advanced technologies, defined
as 7-nanometer and more advanced technologies, accounted for 73% of total wafer revenue.
“Our business in the first quarter was impacted by smartphone seasonality, partially offset by continued growth in AI-related demand.” said Wendell Huang, Senior VP and Chief Financial Officer
of TSMC. “Moving into second quarter 2025, we expect our business to be supported by strong demand for our industry-leading 3nm and 5nm technologies. While we have not seen any changes
in our customers’ behavior so far, uncertainties and risks from the potential impact from tariff policies exist. We will continue to closely monitor the potential impact on the end market demand,
and manage our business prudently.”
Based on the Company’s current business outlook, management expects the overall performance for second quarter 2025 to be as follows:
- Revenue is expected to be between US$28.4 billion and US$29.2 billion; And, based on the exchange rate assumption of 1 US dollar to 32.5 NT dollars,
- Gross profit margin is expected to be between 57% and 59%;
- Operating profit margin is expected to be between 47% and 49%
Q1 2025 Highlights:
- Net revenue was NT$839.25 billion, representing a 3.4% decrease from NT$868.46 billion in 4Q24 and a 41.6% increase from NT$592.64 billion in 1Q24.
- Gross margin was 58.8%, 0.2 percentage point lower than 4Q24 and 5.7 percentage points higher than 1Q24.
- Operating margin was 48.5%, down 0.5 percentage point from 4Q24 and up 6.5 percentage points from 1Q24.
- Non-operating items were a gain of NT$23.82 billion, compared to a gain of NT$23.09 billion in 4Q24 and a gain of NT$17.52 billion in 1Q24.
- Net income attributable to shareholders of the parent company was NT$361.56 billion, down 3.5% from 4Q24 and up 60.3% from 1Q24. Net profit margin was 43.1% and diluted EPS was NT$13.94.
Revenue Analysis:
- In the first quarter, revenue decreased 3.4% quarterover-quarter, as our business was impacted by smartphone seasonality, partially offset by continued growth in AI-related demand.
- By technology, 3nm process technology contributed 22% of total wafer revenue in 1Q25 while 5nm and 7nm accounted for 36% and 15% respectively.
- Advanced technologies (7nm and below) accounted for 73% of total wafer revenue.
- By platform, HPC and Smartphone represented 59% and 28% of net revenue respectively, while IoT, Automotive, DCE, and Others each represented 5%, 5%, 1%, and 2%.
- Sequentially, revenue from HPC, Automotive, DCE, and Others increased 7%, 14%, 8%, and 20% respectively, while Smartphone and IoT decreased 22% and 9% respectively.
- From a geographic perspective, revenue from customers based in North America accounted for 77% of total net revenue in 1Q25 while revenue from China, Asia Pacific, Japan, and EMEA (Europe, Middle East, and Africa) accounted for 7%, 9%, 4%, and 3% of total net revenue respectively.
