TSMC, turnover growing beyond expectations thanks to the 7nm chips

TSMC (Taiwan Semiconductor Manufacturing Company) has published the financial results for the fourth fiscal quarter of 2019, closing the year with a solid turnover and projecting itself into a decisive 2020 that will represent the boom year for 5G.

TSMC closed Q4 2019 with profits up 16.1% and a turnover of approximately 10.4 billion dollars with profits of 3.8 billion dollars. These results are clearly growing not only compared to the third quarter of 2019 (+ 10.6% of turnover), but also in relation to the analysts’ estimates which forecast profits of approximately 3.7 billion dollars.

According to Wendell Huang, VP and Chief Financial Officer of TSMC, sales were driven in particular by chips made with a new generation 7nm production process, especially those used for high-end smartphones, for new 5G solutions and for high-performance computing.

Huang is also very optimistic for the first quarter of 2020, a period of the year that is usually static but which will prove to be just as positive thanks to the push of the new 5G smartphone and at the start of the 5nm chip production. For Q1 2020 TSMC expects a turnover of around 10.3 / 10.2 billion dollars.

Still in relation to Q4 2019, TSMC announces that 7nm products represent 35% of total sales, with 10nm solutions stopped at 1% and those at 16nm instead of 20%.