$Taiwan Semiconductor(TSM.US) Quick Interpretation: The company's revenue and gross margin this quarter are quite good, although some of the company's production capacity was affected by the earthquake in the first quarter, the two core metrics still reached the previous guidance. The gross margin is close to the upper limit of the guidance, mainly driven by AI demand and full production of advanced processes.

Specifically, the revenue from advanced processes accounted for over 70% this quarter, with strong demand for 3nm and 5nm. High-performance computing is the main source of the company's growth, currently accounting for nearly 60% of total revenue.

Compared to the first quarter data, the company's guidance for the second quarter is even better. The company expects second-quarter revenue to reach $28.4 billion to $29.2 billion, with a gross margin maintained in the range of 57-59%. Benefiting from the demand for AI, the company's high-performance computing business will continue to drive performance growth.

Recently, due to tariff issues, market expectations for the company and the industry have been somewhat worried. However, the company has maintained its annual revenue growth target (around 25%) and annual capital expenditure target ($38-42 billion), which further stabilizes market confidence.

With the increase in Qualcomm's demand and Intel's outsourcing business, the company is continuously consolidating its leading advantage in the manufacturing end of advanced processes. With its "voice" in the industry chain, the company can transfer some impacts while also achieving relatively stable performance in operations.