TSMC Reports First Quarter EPS of NT$5.39

Hsinchu, Taiwan, R.O.C., Apr. 15, 2021 – TSMC (TWSE: 2330, NYSE: TSM) today announced consolidated revenue of NT$362.41 billion, net income of NT$139.69 billion, and diluted earnings per share of NT$5.39 (US$0.96 per ADR unit) for the first quarter ended March 31, 2021.

Year-over-year, first quarter revenue increased 16.7% while net income and diluted EPS both increased 19.4%. Compared to fourth quarter 2020, first quarter results represented a 0.2% increase in revenue and a 2.2% decrease in net income. All figures were prepared in accordance with TIFRS on a consolidated basis.

In US dollars, first quarter revenue was $12.92 billion, which increased 25.4% year-over-year and increased 1.9% from the previous quarter.

Gross margin for the quarter was 52.4%, operating margin was 41.5%, and net profit margin was 38.6%.

In the first quarter, shipments of 5-nanometer accounted for 14% of total wafer revenue; 7-nanometer accounted for 35%. Advanced technologies, defined as 7-nanometer and more advanced technologies, accounted for 49% of total wafer revenue.

“Our first quarter business was supported by HPC-related demand, balanced by a milder smartphone seasonality than in recent years,” said Wendell Huang, VP and Chief Financial Officer of TSMC. “Moving into second quarter 2021, we expect our revenue to be flattish, as HPC-related demand will continue to grow, offset by smartphone seasonality.”

Based on the Company’s current business outlook, management expects the overall performance for second quarter 2021 to be as follows:

• Revenue is expected to be between US$12.9 billion and US$13.2 billion;

And, based on the exchange rate assumption of 1 US dollar to 28.4 NT dollars,

• Gross profit margin is expected to be between 49.5% and 51.5%;
• Operating profit margin is expected to be between 38.5% and 40.5%.

The management further expects the 2021 capital budget to be around US$30 billion.

TSMC's 2021 fourth Quarter Consolidated results:
(Unit: NT$ million, except for EPS)

	1Q21 Amount a	1Q20 Amount	YoY Inc. (Dec.) %	4Q18 Amount	QoQ Inc. (Dec.) %
Net Sales	362,410	310,597	16.7	361,533	0.2
Gross profit	19,839	160,777	18.1	195,236	(2.8)
Income from operations	150,538	128,522	17.1	157,120	(4.2)
Income before tax	155,064	132,147	17.3	161,107	(3.8)
Net income	139,690	116,987	19.4	142,766	(2.2)
EPS (NTS)	5.39b	4.51b	19.4	5.51b	(2.2)

a: 1Q2021 figures have not bee approved by Board of Directors
b: Based on 25,930 million weighted average outstanding shares