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Record sales at Taiwanese chip company

TSMC, the world's largest chip maker, generated $17 billion in revenue in the first quarter, beating the median estimates of analysts. The company announced that it will realign its production priorities at the end of March due to strong remaining demand and continued supply shortages.

Record sales at Taiwanese chip company

Taiwan Semiconductor Manufacturing Co. (TSMC) posted record revenue in the first quarter as demand for chips used for smartphones, cars and computers surged and prolonged supply shortages pushed prices up.

Revenues of the company increased 36 percent in the first three months of the new year to $491.1 Taiwan ($17 billion). Analysts' median expectation was 469.4 billion Taiwan dollars.

Although consumers in the European and US markets have abandoned their habits of working from home after the pandemic, the demand for chips for smartphones, televisions and other devices from manufacturers such as Apple and Samsung remains strong.

On the other hand, according to the research of Susquehanna Financial Group, the expected relaxation in the supply shortage in the chip has not yet occurred, and the delivery waiting time was extended again in March due to the shutdowns in China and the earthquake in Japan, which reduced production.

Although many factories operating in China have stopped production due to the local pandemic policy, TSMC continues production in the country.

The chip maker announced that it will redefine its production priorities at the end of March to meet the demand shift caused by the Kovid-19 restrictions in Shanghai and Shenzhen. The head of the company, Mark Liu, noted that the company will not revise its sales downwards.

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