TSMC Reports Third Quarter EPS of NT$6.03

Hsin­chu, Tai­wan, R.O.C., Oct. 14, 2021TSMC (TWSE: 2330, NYSE: TSM) today announ­ced con­so­li­da­ted reve­nue of NT$414.67 bil­li­on, net inco­me of NT$156.26 bil­li­on, and diluted ear­nings per share of NT$6.03 (US$1.08 per ADR unit) for the third quar­ter ended Sep­tem­ber 30, 2021.

Year-over-year, third quar­ter reve­nue increased 16.3% while net inco­me and diluted EPS both increased 13.8%. Com­pared to second quar­ter 2021, third quar­ter results repre­sen­ted a 11.4% increase in reve­nue and a 16.3% increase in net inco­me. All figu­res were pre­pared in accordance with TIFRS on a con­so­li­da­ted basis.

In US dol­lars, third quar­ter reve­nue was $14.88 bil­li­on, which increased 22.6% year-over-year and increased 12.0% from the pre­vious quarter.

Gross mar­gin for the quar­ter was 51.3%, ope­ra­ting mar­gin was 41.2%, and net pro­fit mar­gin was 37.7%.

In the third quar­ter, ship­ments of 5‑nanometer accoun­ted for 18% of total wafer reve­nue; 7‑nanometer accoun­ted for 34%. Advan­ced tech­no­lo­gies, defi­ned as 7‑nanometer and more advan­ced tech­no­lo­gies, accoun­ted for 52% of total wafer revenue.

Our third quar­ter busi­ness was main­ly sup­port­ed by strong demand across all four growth plat­forms, which are smart­phone, HPC, IoT and Auto­mo­ti­ve-rela­ted appli­ca­ti­ons,” said Wen­dell Huang, VP and Chief Finan­cial Offi­cer of TSMC. “Moving into fourth quar­ter 2021, we expect our busi­ness to be sup­port­ed by strong demand for our indus­try-lea­ding 5nm technology.”

Based on the Company’s cur­rent busi­ness out­look, manage­ment expects the over­all per­for­mance for fourth quar­ter 2021 to be as follows:

  • Reve­nue is expec­ted to be bet­ween US$15.4 bil­li­on and US$15.7 billion;

And, based on the exch­an­ge rate assump­ti­on of 1 US dol­lar to 28.0 NT dollars,

  • Gross pro­fit mar­gin is expec­ted to be bet­ween 51% and 53%;
  • Ope­ra­ting pro­fit mar­gin is expec­ted to be bet­ween 39% and 41%.

The abo­ve gui­dance includes expen­ses rela­ted to TSMC’s dona­ti­on of vac­ci­nes, which impacts ope­ra­ting mar­gin by appro­xi­m­ate­ly one per­cen­ta­ge point in the fourth quarter.