Taiwan Semiconductor Manufacturing Company (TSMC) revenues rise by 48 percent

$11.6 billion in TSMC revenues in a month... an increase of 48 percent

Taiwan Semiconductor Manufacturing Company (TSMC) revenues rose by 48 percent during the month of April, confirming that technology companies in the world are seeking to purchase their basic manufacturing needs before the tariffs take effect.

Bloomberg reported that the Taiwan Semiconductor Manufacturing Company, which is the main supplier of electronic chips to companies such as Apple and Nvidia, recorded monthly sales of 349.6 billion New Taiwan dollars ($11.6 billion), while experts expect the company to record a 38 percent increase in profits during the second quarter.

Bloomberg reported that the trade war waged by US President Donald Trump prompted economists to reconsider their expectations regarding gross domestic product in various countries of the world, and cast doubt on the future of all sectors, starting from demand for iPhone phones to computing and the establishment of data centers.

But the Taiwan Semiconductor Manufacturing Company, which is considered an indicator of the volume of spending in the technology industry around the world due to its key role in the industry’s supply chains, confirmed that the volume of demand is still flexible, including for Nvidia’s advanced chips needed for the artificial intelligence industry.

But the recent increase in the value of the Taiwanese dollar may put pressure on the company's profit margins, given that it conducts most of its business in US dollars. The company had previously stated that every 1 percent increase in the value of the Taiwanese local currency results in a 0.4 percent decline in its operating profits.

It is noteworthy that the Trump administration has decided to roll back some of the restrictions imposed on artificial intelligence chips under former President Joe Biden, as part of a broader effort to review unwanted global trade restrictions on semiconductors. This represents a potential advantage for TSMC in the short term, although the new US administration is in the process of drafting its own version of the rules, which will likely focus on direct negotiations with countries.