Taiwan Semiconductor Manufacturing Corporation, the world’s largest contract manufacturer of chips, forecast record sales surpassing analyst estimates amid continued growth in smartphone demand. Second-quarter revenue will be $6 billion the Hsinchu, Taiwan-based company said in a statement. Rising demand for wireless devices combined with an increased share of each smartphone sold globally prompted TSMC to boost its full-year industry growth target.
Taiwan Semiconductor Manufacturing Co. 2330.TW -0.83% , the world’s largest contract chip maker, forecast sales for the current quarter exceeding most analysts’ forecasts, citing rising demand for more powerful microprocessors. Second-quarter revenue will be 180 billion New Taiwan dollars to 183 billion New Taiwan dollars (US$5.96 billion to US$6.06 billion), Chief Financial Officer Lora Ho said Thursday. That would beat the first quarter’s NT$148.22 billion by 21% to 23%, and year-earlier revenue by 27% to 36%. On average, 20 analysts polled by Thomson One Analytics had predicted NT$169.28 billion. “Demand in smartphones appears healthier than we expected in mid-January. Demand in the second quarter will be unseasonably strong across all applications…except computers,” co-Chief Executive Mark Liu said in an investor conference in Taipei Thursday.