The growth momentum of Taiwan's TSMC, which has led the artificial intelligence (AI) chip rally, has weakened. Its April revenue growth rate fell below half the previous month's level, hitting a seven-month low.
According to Taiwan's Central News Agency and Bloomberg on Thursday, TSMC, the world's largest foundry, posted April revenue of 410.7 billion Taiwan dollars (19.2 trillion won), up 17.5% from a year earlier. The figure marks the lowest growth rate since October last year, when revenue rose 16.9%. It is roughly half the 45.2% growth recorded in March.
The April revenue itself was the highest ever for the month. However, it was down 1.1% from the record high of 415.1 billion Taiwan dollars posted in March. Analysts attributed the decline to the Taiwan dollar's 1.05% appreciation against the U.S. dollar in April.
Cumulative revenue for the January-April period reached 1.5448 trillion Taiwan dollars (72 trillion won), up 29.9% from a year earlier. Demand for TSMC chips remains strong amid a surge in AI-driven demand, analysts said.
