$Taiwan Semiconductor Manufacturing(TSM)$
Q3 revenue was within my estimated range, but I didn't anticipate that the gross margin would reach 58% and the net profit margin would be 43%. Initially, I thought that with the transition to 3nm process technology, the margin would still look ugly for a while, and I was hoping for a sequential improvement, but the results this time beat the year-over-year comparison. In addition to this, the increase in capacity and the value of the products are both A+. The 3nm process technology has already accounted for 20% of the revenue from the 7nm and below process technologies (compared to 6% last year at the same time).
It seems that TSMC's transition to the 3nm process is going smoothly and contributing to their financials more quickly than expected. The rapid adoption of the 3nm process and its impact on revenue and margins indicate a strong demand for advanced semiconductor manufacturing and TSMC's ability to deliver at scale with high efficiency. This is a positive sign for the company's future growth and profitability.
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