TSMC Jumps After Capex Cut and Better-Than-Expected Earnings
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The TSMC headquarters in Hsinchu, Taiwan
Photographer: Lam Yik Fei/BloombergThis article is for subscribers only.
Taiwan Semiconductor Manufacturing Co. shares had their biggest jump in three months after the company slashed its 2022 capital spending target by roughly 10% and reported better-than-expected earnings.
TSMC said it expects to spend about $36 billion in 2022 on capital equipment, down from at least $40 billion previously. The company, which reported better-than-estimated third-quarter net income of NT$280.9 billion ($8.8 billion), is projecting revenue of $19.9 billion to $20.7 billion in the December quarter, though that assumes certain US dollar expectations at a time Asian currencies have weakened.