TSMC, the company that manufactures roughly all of the world’s most advanced chips, just posted a 77.4% year-over-year profit increase for Q2 2026. Net profit hit NT$706.6 billion, or approximately $22 billion, blowing past analyst estimates of about NT$632.6 billion. Revenue climbed 36% to NT$1.27 trillion, roughly $39.45 billion.
TSMC’s own shares rose about 1.23% on the day. For a company that just printed its fifth consecutive record quarter, that’s the market equivalent of “cool, what else you got.”
The AI machine keeps feeding
High-performance computing, the category that includes AI chips, accounted for 66% of total revenue. Advanced nodes, meaning chips built at 7 nanometers or smaller, represented 77% of wafer revenue. Within that, 5nm chips contributed 33% and 3nm chips added another 30%. These are the bleeding-edge processes that power everything from Nvidia’s AI accelerators to Apple’s latest silicon.
Analysts had expected around NT$632.6 billion in net income. TSMC delivered NT$706.6 billion, a beat of roughly 12%. On a sequential basis, profits jumped 23.4% from the previous quarter.
