Taiwan Semiconductor Manufacturing Co. said Thursday its third-quarter net profit hit a record T$763.1 billion ($23.59 billion), up 69% from a year earlier, Reuters reported. That beat a T$746.3 billion LSEG SmartEstimate. It was TSMC's sixth straight quarter of record profit, Reuters and CNBC reported.

TSMC is the world's largest contract chipmaker, CNBC said, and a key supplier to Nvidia and Apple, Reuters said. Its operating margin came in at 58.7%, above the top of its guidance range, CNBC reported.

The company forecast fourth-quarter revenue of $52.3 billion to $54.3 billion. It now expects 2026 revenue to grow about 44%, up from a forecast of more than 40% last quarter, Reuters reported. TSMC kept its 2026 capital spending plan at $60 billion to $64 billion.

But Chief Executive C.C. Wei struck a note of caution about next year. "Looking ahead, we continue to observe consumer and price-sensitive end-markets segments are being challenged due to the impact of rising component prices and macroeconomic uncertainties," he said on an earnings call, Reuters reported. "As such, we are being prudent in our business planning going into 2027."

High-performance computing made up 68% of revenue, and 3-nanometer chips were the biggest share of revenue at 33%, CNBC reported.

TSMC said its second factory in Arizona is built and equipment is being installed, with mass production expected to start in the third quarter of 2027, ahead of schedule, both outlets reported. It is investing $265 billion in Arizona. Wei said TSMC is studying sites outside Arizona. "Texas is one," he said, according to Reuters.

TSMC's Taipei-listed shares closed down 2% ahead of the results, amid a broader tech sell-off, Reuters reported.

What we know: TSMC beat profit forecasts and raised its 2026 revenue growth outlook.
What we don't: How rising component prices and economic worries will affect demand in 2027.