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Investing.com-- Taiwan Semiconductor Manufacturing Corp, or TSMC (NYSE:TSM), on Wednesday announced a nearly 34% jump in its total sales in August, as the world’s biggest contract chipmaker continued to benefit from outsized AI-fueled chip demand.
TSMC’s August revenue rose 33.8% to T$335.77 billion ($11.09 billion), the company said in a statement. Its revenue in the January-August period rose to T$2.43 billion, up 37.1% from the same period last year.
Sales in August grew 3.9% from the prior month, with sales data for July and August indicating that TSMC was likely headed for a robust third quarter.
The company’s earnings in the first six months of 2025 continued to show outsized growth, as TSMC benefited from robust chip demand stemming from the artificial intelligence industry.
Wall Street’s so-called AI hyperscalers– a group of megacap technology companies spending hundreds of billions on building out more data centre infrastructure– continued to spend on their AI efforts in recent months.
TSMC is a key supplier to NVIDIA Corporation (NASDAQ:NVDA), which is Wall Street’s premier maker of the advanced processors that are crucial towards running and maintaining AI programs. Nvidia had last month also flagged a robust outlook for AI chip demand.
Outside server chips, TSMC signaled that chip demand from consumer electronics is also expected to recover in the coming months.
But the company faces some potential headwinds from trade ructions between the U.S. and China, which could limit its business with the mainland. Washington was last week seen revoking TSMC’s authorization to freely ship essential chipmaking gear to its Chinese factories.