Taiwan Semiconductor Manufacturing Company reported second-quarter 2026 earnings on Thursday that exceeded Wall Street consensus estimates, as sustained demand for advanced AI chips lifted revenue to a fresh record. The company also raised its full-year revenue guidance.

TSMC produces the most advanced processors for customers including Nvidia, Apple and AMD. Its results are closely watched as a barometer for global technology spending and the strength of the artificial intelligence investment cycle. The company had guided in April toward continued growth in high-performance computing.

Revenue growth was driven primarily by demand for 3-nanometre and advanced packaging capacity, which remains supply-constrained. TSMC executives have said the company continues to expand capacity in Taiwan, Arizona and Japan to meet orders from AI accelerator and data-centre customers.

Chief executive C.C. Wei was expected to address capital expenditure plans on the earnings call. "AI-related demand continues to be very strong and we see this trend extending through the year," Wei told analysts, reiterating the company's confidence in structural growth across high-performance computing.

The results arrive during a busy US earnings season and are likely to influence sentiment across the semiconductor sector, including Nvidia, ASML and other suppliers. Analysts at Morgan Stanley and Goldman Sachs had forecast robust margins, aided by strong pricing and a favourable product mix, though a strengthening Taiwan dollar posed a headwind.