Taiwan Semiconductor surged 4% in after-hours trading, with Q1 revenue increasing by 41.6%
This growth is primarily driven by strong demand for advanced chips and AI-related applications, while Nvidia's stock price rebounded from a 2% decline in after-hours trading
On Thursday, TSMC announced a significant increase in March revenue, driven primarily by strong demand for advanced chips and AI-related applications.
March revenue reached NT$ 285.96 billion (US$ 8.71 billion), a 46.5% increase from NT$ 195.21 billion (US$ 5.94 billion) in the same period last year. March revenue increased by 10% compared to February.
According to the company's statement, total revenue for the first quarter ending in March was NT$ 839.25 billion, a 41.6% increase compared to the same period in 2024.
It is worth mentioning that the release of this report comes amid escalating global trade tensions triggered by U.S. tariffs. TSMC is a major supplier for Apple (NASDAQ: AAPL) and NVIDIA (NASDAQ: NVDA).
U.S. President Donald Trump announced a 90-day tariff suspension for most trading partners—excluding China. This temporary relief helped ease global market concerns, but the 125% tariff increase on China raised worries about supply chain disruptions and geopolitical resistance.
Additionally, foreign media reported that TSMC is accused of "illegally" manufacturing AI chips for a certain company and will face a fine of over US$ 1 billion from the U.S. Department of Commerce. Such penalties are extremely rare and could even be record-breaking. The penalty amount is based on the illegal transaction amount assessed by the U.S., up to twice the amount