Well, this is awkward. TSMC just crashed the pre-inauguration party with some absolutely monster earnings (shares popped 6%), and the timing couldn't be more perfect… or uncomfortable, depending on which side of the Pacific you're sitting on. 

The world's favorite chip manufacturer somehow managed to increase profits by a mind-boggling 57%, all while President-elect Trump is probably practicing his "tough on trade" speech in front of the mirror.

Here's the thing about TSMC's latest quarter… it's way more than good, it's "somebody check if they're cooking the books" good. Revenue shot up 38.8%, and their high-performance computing division (aka the "we make AI possible" department) is now responsible for 53% of all revenue. 

It turns out that when you're the only company that can reliably make chips that power everything from iPhone's latest party tricks to Nvidia's AI fever dreams, you tend to do pretty well for yourself.

Speaking of doing well, TSMC's CFO Wendell Huang dropped a bomb during the earnings call that would make most tech executives spit out their coffee: AI chip revenue is expected to double in 2025. Double. After already tripling in 2024. At this point, forget about TSMC riding the AI wave… they're the company making the surfboards, selling the beachwear, and probably writing the surf forecast too.

But because no tech story in 2025 can be complete without a side of political controversy, let's talk about the elephant in the room. TSMC's CEO C.C. Wei decided to skip Trump's inauguration, citing a desire to "keep a low profile." Aka "we'd rather not be in the room when you start talking about tariffs, thanks." It's worth noting that TSMC is already building multiple factories in Arizona, basically playing "How to Win Friends and Influence People" with American semiconductors. American customers do matter most. North America accounts for 75% of total sales compared to just 9% for China.

The company's already doing a delicate dance with U.S. restrictions on chip exports to China, managing to keep everyone just happy enough while simultaneously banking profits. Their strategy seems to be "build so many crucial chips that nobody can afford to mess with us," and based on these numbers, it's working pretty well.

Looking ahead, TSMC's got more orders than Wingstop during the Super Bowl. Every tech company with AI ambitions is basically standing in line with their wallet open, begging for more chips. Apple's still their favorite dance partner, Nvidia's buying chips like they're going out of style (they're not), and even the companies you've never heard of are trying to get in on the action. Their 2024 revenue hit $2.9 trillion, which is the kind of number that makes other semiconductor companies want to go home and google “best businesses to start in 2025”. No wonder, TSMC keeps going higher, now up 112% in the last year.

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Stocks.News has positions in TSMC, Apple, Nvidia, and Wingstop mentioned in article.