TSMC sales grow 29% in October, but at slower pace from prior month

Investing.com– Taiwan Semiconductor Manufacturing Co (NYSE:TSM) (TSMC) clocked a slower pace of sales growth in October than in the prior month, the company said on Friday, while growth in its sales for the year also fell slightly.

TSMC’s October revenue was T$314.24 billion ($9.80 billion), up 24.8% from the prior month and up 29.2% from October 2023. 

But the year-on-year figure slowed substantially from the nearly 40% growth seen in the prior month. 

Revenue for January to October rose to T$2.340 trillion, up 31.5% from the same period last year. But this was also slightly softer than the 31.9% rise seen in the January to September period.

TSMC- the world’s biggest contract chipmaker- clocked stellar earnings in the September quarter, as demand from the artificial intelligence sector for its advanced chips remained strong. The firm also flagged an improved outlook for the coming year from robust AI demand.

But TSMC warned that chip demand from other sectors, especially personal computers, smartphones and consumer electronics, was weakening, with little signs of improvement. 

The firm is a key component of the chipmaking supply chain, and is a major supplier to U.S. tech giants such as NVDA and AAPL.