TSMC reports record profit and keeps its $60-64 billion spending plan

TSMC reported a record third-quarter profit of NT$763.06 billion on October 15. Net income rose 68.7% from a year earlier. The quarter ended September 30.

Revenue reached US$46.72 billion, up 41.2% in US dollars. Management raised its full-year revenue growth forecast to about 44% in US dollars.

The company kept its 2026 capital budget at US$60-64 billion. It linked demand to advanced chips, including AI accelerators, processors and networking chips. TSMC did not raise the budget in this announcement.

These results cover all of TSMC. They do not break out AI revenue.

TSMC expects its overseas factories to reduce its overall gross margin by about two percentage points in 2026. It expects that effect to reach three to four points over the next few years. The margin estimates and revenue outlook are forecasts.

TSMC is earning record profit while it builds more factories. Its customers may still lose money on the AI services that use those chips.

TSMC expects fourth-quarter revenue of US$52.3-54.3 billion. Its next results will show whether revenue reached that range and how much it cost to bring the new factories online.