Taiwan Semiconductor Manufacturing Company Limited Earnings Recaps
Q1 2026
Apr 16, 2026
TSMC delivered solid first quarter results with an 8.4% sequential revenue increase, driven by strong demand for advanced process nodes, and provided optimistic guidance for Q2 2026, maintaining robust profitability outlook.
Key takeaways
- Q1 revenue rose to USD 35.9 billion, up 8.4% sequentially, with gross margin expanding to 66.2% amid improved capacity utilization and cost efficiencies.
- Advanced technologies (7nm and below) accounted for 74% of wafer revenue, with 3nm contributing 25%, highlighting leadership in cutting-edge process adoption.
- Q2 revenue guidance of USD 39.0–USD 40.2 billion reflects a 10% sequential growth, with gross margins projected at ~66.5%.
- Capital expenditures for Q1 reached USD 11.1 billion; cash and marketable securities stood at USD 106 billion, supporting ongoing expansion and technology ramp-ups.
- While geopolitical factors pose potential risks, TSMC’s diversified supply chain and energy resilience strategies aim to mitigate near-term disruptions.