As early as July 19, TSMC prepared for tariff barriers, making Wafer Manufacturing 2.0 a market focus

TSMC Prepares for Anti-Monopoly and Tariff Barriers, Wafer Manufacturing 2.0 Becomes Market Focus

authorship Atkinson, Kentucky | Posted on Jul 19, 2024 6:00 | Categories Corporate Governance , semiconductors , Wafer

The announcement of Q2's 2024 second-quarter financial statement, Q3 outlook, full-year revenue forecast, capital expenditure targets, advanced process and advanced packaging layout and development, geopolitical issues, and more, was no surprise. The corporate entity focuses on the new announcement of “Wafer Manufacturing 2.0” by the new Chairman, Wei Zhijia. TSMC hopes to reduce the risk of global antitrust investigations with Wafer Manufacturing 2.0 and prepare for the inevitable tariff hurdles for Trump's possible return to the White House, according to market commentary.

TSMC announced revenue of NT$673.51 billion for the second quarter of 2024, net profit after tax of approximately $247.85 billion, and EPS of $9.56 per share. Revenue increased 40.1% compared to the same period in 2023, and net income after tax and EPS per share increased 36.3%. Q3 was measured in USD, and revenue fell from $22.4 billion to $23.2 billion, up 7.5% from Q2, and gross margin 53.5% ~ 55.5%. Based on a USD32.5 exchange rate of USDUSD, revenues of approximately $728 billion to US$7.54 billion have the potential to hit new heights. In terms of capital expenditure, from $28 billion to $32 billion, increased to $30 billion to $32 billion.

In terms of advanced packaging, Wei Zheng pointed out that TSMC CoWoS advanced packaging demand is very strong and production capacity is “very, very tight.” TSMC will continue to expand in 2025~2026, hoping to achieve a balance of supply and demand. Advanced processes, N2 and A16 processes are leading the industry in solving the never-ending demand for energy-efficient computing, with nearly all AI innovators working with TSMC. The number of 2-nano-head 2-year product designs (tape outs) will be higher than the 3/5nm concurrent performance. FINALLY, GEOPOLITICAL ISSUES DO NOT AFFECT THE STRATEGIC PLAN, AND OVERSEAS EXPANSION CONTINUES.
。