TAIPEI – Taiwan Semiconductor Manufacturing Co.’s net income fell less than expected in another sign that a chip industry downturn may have bottomed out.
TSMC, the main chipmaker to Apple and Nvidia, reported net income for the fourth quarter of NT$238.7 billion (S$10.2 billion), beating the average analyst estimate of NT$224.1 billion.
The company got a boost from frenzied demand for Nvidia’s artificial intelligence chips in 2023, offsetting a global smartphone slump. Revenue in the holiday quarter was US$625.5 billion (S$841.5 billion), TSMC reported earlier, matching the previous holiday quarter and arresting a series of falls.
Signs of recovery for the chipmaking sector have emerged in recent weeks. The Semiconductor Industry Association estimated chip sales increased in November after more than a year of declines.
For TSMC, which counts Android chipmaker Qualcomm and Apple among its biggest customers, a robust consumer economy will help stabilise sales. Executives including chief executive officer C. C. Wei said they expect “healthy growth” this year. BLOOMBERG