Taiwan Semiconductor Manufacturing Co. has upgraded this year’s earnings guidance following better-than-expected figures recorded in the fourth quarter of 2021, the company announced in a filing.

  • The fourth-quarter net income jumped 16.4% to $166.232 billion, bringing diluted earnings per share up to $6.41 from $5.51. Consolidated revenues for the period grew by 21.1% to $438.189 million from $361.533 million.
  • The growth was driven by strong demand for its nanometer technology, and TSMC expects the business to be supported by high-performance computing demand in the automotive and smartphone segments.
  • TSMC upgraded its revenues to fall between $16.6 billion and $17.2 billion in the first quarter of 2022, and full-year average sales growth of 12% to 20% or up to double its previous outlook.
  • The tech giant has earmarked $40 billion to $44 billion for its capital expenditures in 2022, which will be used mainly to expand and upgrade its capacity moving forward.

First-quarter gross profit margin is projected between 53% and 55%, and the operating margin between 42% and 44%. TSM is up 4.36%.