TSMC, Taiwan Semiconductor Manufacturing Co. reported an impressive growth in quarterly sales despite their ongoing chip shortage. The sales of the quarter ended in june reads a remarkable $13.3 billion and the revenue was $148.5 billion, up 23% from a year ago.
“TSMC’s better pricing power on the back of the capacity tightness should largely offset the margin pressure it is seeing from the massive capex spending. Meanwhile, TSMC’s technology/productivity breakthrough in EUV should enlarge its technology gap with peers and ensure a better cost structure for leading edge technology nodes,” Citi analysts Roland Shu and Grant Chi wrote in a recent note.
The company plans to invest $100 billion to increase production and meet customer’s demand.