TSM Earnings Prediction
The chart below shows how TSM performed 10 days before and after its earnings report, based on data from the past quarters. Typically, TSM sees a -3.65% change in stock price 10 days leading up to the earnings, and a -0.13% change 10 days following the report. On the earnings day itself, the stock moves by +2.64%. This data can give you a slight idea of what to expect for the next quarter's release.
TSM Key Earning Data
TSM Earnings Analysis
Positive
Earnings Per Share Beat: TSMC reported an EPS of $2.12, exceeding expectations of $2.03, indicating strong financial performance.
Revenue Resilience Amid Decline: Despite a 3.4% sequential decrease in revenue, TSMC's revenue was slightly above the midpoint of their guidance, showcasing resilience in operations.
Advanced Technology Leadership: The 3-nanometer process technology contributed 22% of wafer revenue, highlighting TSMC's leadership in advanced technology.
HPC Revenue Growth: High-Performance Computing (HPC) revenue increased by 7% quarter-over-quarter, accounting for 59% of total revenue, reflecting strong demand in this segment.
Strong Liquidity Position: The company ended the quarter with cash and marketable securities totaling TWD2.7 trillion (US$81 billion), indicating a strong liquidity position.
Strong Cash Flow Generation: TSMC generated approximately TWD626 billion in cash from operations, demonstrating robust cash flow generation capabilities.
Negative
Revenue Decline Analysis: First quarter revenue decreased 3.4% sequentially in NT dollar or 5.1% in U.S. dollars, indicating a decline in business performance.
Gross Margin Decline: Gross margin decreased 0.2 percentage points sequentially to 58.8%, primarily due to the earthquake impact and the start of overseas dilution.
Operating Margin Decline: Operating margin decreased 0.5 percentage points sequentially to 48.5%, reflecting increased costs and operational challenges.
Smartphone Revenue Decline: Smartphone revenue decreased 22% quarter-over-quarter, indicating a significant drop in demand from this key segment.
IoT Revenue Decline: IoT revenue decreased 9% quarter-over-quarter, showing weakness in this market segment as well.
Rising Current Liabilities Concerns: Current liabilities increased by TWD135 billion quarter-over-quarter, raising concerns about financial obligations and cash flow management.
Accounts Receivable Delays: Accounts receivable turnover days increased one day to 28 days, suggesting potential delays in collecting payments.
Inventory Buildup Impact: Days of inventory increased three days to 83 days, indicating a buildup of unsold products, which could affect future cash flow.
TSM FAQs
How does TSM typically perform around its earnings report dates?
TSM's stock performance around earnings reports can vary, but historical data shows specific patterns, such as a -3.65% change leading up to the report and a -0.13% change in the 10 days following the release.
Is Taiwan Semiconductor Manufacturing Co Ltd (TSM) Q1 2025 Earnings Call Summary positive or negative?
How can historical earnings data help predict future stock performance?
TSM Earning Call Sentiment
Taiwan Semiconductor Manufacturing Company Limited (NYSE:TSM) Q1 2025 Earnings Call Transcript
TSM.N
3.75%
