TSMC sees strong revenue growth in December 2021
TSMC recently released its December 2021 financials, showing strong revenue growth, ending 2021 on a high note. The data also shatters previous rumors that lower orders in the smartphone industry and major companies adjusting their inventories will lead to slower revenue growth for TSMC in the fourth quarter of 2021.
TSMC’s December 2021 revenue reached TWD 155 billion ($5.6 billion), making it its highest growth and revenue month in 2021, with a month-on-month increase of 4.8% and a year-on-year increase of 32.4%. It is expected that TSMC’s total revenue in 2021 will reach NT$1,587.42 billion, an increase of about 18.5% compared to 2020. While TSMC’s revenue growth momentum has been rapid in late 2021, throughout the year, the growth rate is still down from the previous year’s 25% annual increase.
Next, TSMC will announce the revenue for the fourth quarter of 2021 and the full year of 2021. At that time, you can also learn about the relevant expenditures. Due to capacity constraints in 2021 and the rising number of orders, TSMC has increased its investment in production capacity, and related expenditures are expected to increase accordingly. In addition, thanks to rising foundry prices, TSMC’s gross profit margin in 2021 is expected to be between 53% and 55%, and slightly higher than 53% in 2020.
