Tech giant Taiwan Semiconductor Manufacturing Company (TSMC) said that its net profit surged 58.3% year-over-year in the first quarter of 2026, driven by strong global demand for advanced semiconductor technologies.

The Hsinchu City-based chipmaker said in its quarterly earnings release on Thursday that first-quarter revenue was US$35.90 billion. Revenue rose 6.4% from the previous quarter, while net income increased 13.2%.

TSMC’s Senior Vice President and Chief Financial Officer Wendell Huang said strong demand for leading-edge technologies supported the company’s first-quarter performance. 

Based on its current projections, TSMC said it expects second-quarter revenue to be even bigger than first-quarter revenue, ranging between US$39.0 billion and US$40.2 billion.

TSMC is Taiwan’s most valuable company according to market capitalization, and the strength of the island’s economy is strongly linked to the performance of its microchip manufacturing industry. 

Taiwan’s economy is expected to grow by a whopping 7.71% this year, according to the latest forecast by the Directorate General of Budget, Accounting and Statistics (DGBAS) in March.