Taiwan’s top contract chipmaker is on track for another strong quarter as AI-related orders keep factories busy and push profitability higher. TSMC Q4 profit is expected to rise about 27% year over year, supported by healthy demand from data centers and high performance computing customers.
Revenue growth also stayed solid. Estimates point to roughly 20.45% higher Q4 sales, above what many in the market had priced in, as customers leaned into advanced chip packaging and leading edge nodes for AI workloads.
Capacity discipline remains a key advantage. 3-nanometer production ran at high utilization through the quarter, showing that customers are committing early to next generation processors. That mix shift toward advanced nodes, plus stronger AI server demand, helped lift margins even as costs rose.
What’s Powering The Quarter:
- AI server buildouts driving more advanced wafer orders
- Strong demand for cutting edge processors and accelerators
- High 3nm utilization supporting better cost absorption
- Premium pricing from leading-edge manufacturing
On execution and advanced node scale, TSMC Q4 profit strength underlines how the company continues to outpace rival foundries in the AI manufacturing race.
