TSMC October Revenue Hits Record, 2025 Surpasses 2024

On November 10, TSMC announced its preliminary revenue results for October 2025, reporting NT$367.47 billion—an 11% month-over-month and 16.9% year-over-year increase, marking the highest monthly revenue in its history.

For the first ten months of 2025, TSMC's total revenue reached NT$3.13 trillion, up 33.8% year-on-year, already surpassing the full-year total of NT$2.89 trillion in 2024.

In the third quarter of 2025, the company posted consolidated revenue of NT$989.92 billion, up 30.3% year-over-year and 6% quarter-over-quarter. Net profit reached NT$452.3 billion, increasing 39.1% year-on-year and 13.6% quarter-over-quarter, with EPS at NT$17.44 (US$2.92 per ADR).

Looking ahead to Q4 2025, TSMC expects revenue between US$32.2 billion and US$33.4 billion. Assuming an exchange rate of US$1 = NT$30.6, this translates to roughly 22% year-on-year growth and 1% sequential decline. The gross margin is projected between 59% and 61%, with a midpoint of 60%, slightly higher than the previous quarter by 50 basis points—mainly supported by favorable exchange rates, though partially offset by the continued impact of overseas wafer plants. The operating margin is estimated at 49%–51%.

TSMC emphasized its ongoing efforts to optimize cost structures while expanding capacity in Arizona. The company aims to leverage its leadership in process technology and large-scale manufacturing capabilities to remain the most efficient and cost-effective chipmaker across all operating regions.

Regarding the impact of overseas expansion on profitability, TSMC provided updated margin dilution forecasts. According to Senior VP Huang Jen-Chau, although overseas fabs still have higher costs, the effect is being mitigated by the company's expanding scale. By the second half of 2025, the gross margin dilution from these facilities is expected to narrow to around 2%, revising earlier estimates of 2%–3% to 1%–2% for the full year. In the coming years, the dilution impact is projected to stay around 2%–3% in the early stages and expand to 3%–4% later on as new plants reach maturity.