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Electronic Technology

Taiwan Semiconductor Manufacturing Co., Ltd.

  • 261.50 TWD
  • +1.50
  • +0.58%
  • Taiwan
    Sep 20, 2018
  • Ticker
    TAI(2330)
  • Prev. close
    260.00
  • Market cap (TWD)
    6,741.89B
  • Market cap (USD)
    218,953.26M
  • Shares
    25,930.38M

Company Background

Taiwan Semiconductor Mfg., better known as TSMC, is the world's largest semiconductor foundry.

It receives orders to make large-scale integrated circuits for smartphones, in addition to a variety of semiconductors for PCs and TVs.

According to U.S. research company Gartner, TSMC accounted for 53.7% of the market for semiconductor production outsourcing in 2014.

TSMC was established in 1987 at the initiative of the Taiwanese government to promote the country's semiconductor industry.

Morris Chang, the de facto founder and chairman, had served as group vice president at U.S. chipmaker Texas Instruments before taking the chairmanship at TSMC, by request of the government.

TSMC was the first in the world to specialize in semiconductor production outsourcing; it gets most of its orders from U.S. brands. In 2014, it contracted with Apple to make central processing units for the iPhone, significantly raising earnings.

The company, which also has plants in China and Singapore, faces a challenging future. In January of 2015, it sold its unprofitable light-emitting diode business. It must foster new businesses.

Chang is a charismatic corporate manager, but the market is closely watching for when the 80-something businessman retires from the managerial front line.

Business Summary

Taiwan Semiconductor Manufacturing Co., Ltd. engages in the manufacture and sale of integrated circuits and wafer semiconductor devices. Its chips are used in personal computers and peripheral products; information applications; wired and wireless communications systems products; automotive and industrial equipment including consumer electronics such as digital video compact disc player, digital television, game consoles, and digital cameras. The company was founded by Chung Mou Chang on February 21, 1987 and is headquartered in Hsinchu, Taiwan.

Financial Highlights

Dec 2017 TWDUSD
Revenue977,442.68M32,128.71M
Gross Profit472,804.41M15,541.16M
Operating income386,860.22M12,716.16M
Income before tax393,147.08M12,922.81M
Net income343,111.47M11,278.13M
EBITDA647,002.92M21,267.10M
Diluted EPS13.230.43
Dividends Per Share80.26
Total Assets1,991.86B66,934.21M
Total liabilities469,102M15,763.63M
Total equity1,522.05B51,146.98M
Operating cash flow595,753.07M19,582.51M
Currency in TWDCurrency in USD

Historical Data

 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 597,003.32M 762,835.02M 843,512.49M 947,909.27M 977,442.68M
Gross Profit 266,920.59M 362,590.64M 393,657.61M 456,509.03M 472,804.41M
Operating income 209,357.15M 297,840.87M 321,903.44M 377,902.88M 386,860.22M
Income before tax 211,515.09M 298,147.87M 346,296.78M 382,463.78M 393,147.08M
Net income 188,146.79M 263,898.79M 306,573.83M 334,247.18M 343,111.47M
EBITDA 365,539.02M 498,092.41M 544,409.01M 601,731.28M 647,002.92M
Diluted EPS 7.26 10.18 11.82 12.89 13.23
Dividends Per Share 2.99 4.49 6 7 8
Total Assets 1,263.05B 1,495.13B 1,657.51B 1,886.45B 1,991.86B
Total liabilities 415,279.89M 449,458.09M 434,883.81M 496,404.17M 469,102M
Total equity 847,508.25M 1,045.54B 1,221.67B 1,389.24B 1,522.05B
Operating cash flow 350,523.58M 424,778.09M 534,617.50M 548,501.57M 595,753.07M
 Dec 2013Dec 2014Dec 2015Dec 2016Dec 2017
Revenue 20,113.82M 25,173.40M 26,563.91M 29,391.80M 32,128.71M
Gross Profit 8,992.90M 11,965.41M 12,397.07M 14,154.96M 15,541.16M
Operating income 7,053.51M 9,828.68M 10,137.39M 11,717.62M 12,716.16M
Income before tax 7,126.21M 9,838.81M 10,905.58M 11,859.04M 12,922.81M
Net income 6,338.91M 8,708.60M 9,654.63M 10,363.99M 11,278.13M
EBITDA 12,315.48M 16,436.94M 17,144.54M 18,657.86M 21,267.10M
Diluted EPS 0.24 0.33 0.37 0.39 0.43
Dividends Per Share 0.10 0.14 0.18 0.21 0.26
Total Assets 42,379.42M 47,311.36M 50,461.78M 58,532.85M 66,934.21M
Total liabilities 13,933.93M 14,222.45M 13,239.68M 15,402.40M 15,763.63M
Total equity 28,436.53M 33,084.88M 37,192.79M 43,105.53M 51,146.98M
Operating cash flow 11,809.59M 14,017.59M 16,836.18M 17,007.37M 19,582.51M

Valuation Measures

Dec 2017
PER17.34
ROA17.69%
ROE23.57%
Operating margin39.57%
Profit margin35.10%

Key executives

  • Chief Executive Officer & Vice Chairman: Che Chia Wei
  • Vice President-Operations: T. S. Chang
  • Head-Finance & Accounting, Senior Deputy GM: Li Mei Ho
  • Vice President-Research & Technology Development: Michael Wu
  • Senior Vice President: Rick Cassidy

Shareholders

  • National Development Fund of The Executive Yuan (6.3%)
  • Capital Research & Management Co. (World Investors) (4.4%)
  • The Vanguard Group, Inc. (2.4%)
  • BlackRock Fund Advisors (2.1%)
  • Capital Research & Management Co. (Global Investors) (1.7%)
  • Norges Bank Investment Management (1.3%)
  • OppenheimerFunds, Inc. (1.2%)
  • APG Asset Management NV (0.7%)
  • Schroder Investment Management Ltd. (0.6%)
  • BlackRock Advisors (UK) Ltd. (0.6%)

Contact Details

  • Website:http://www.tsmc.com
  • Address: No. 8 Li-Hsin 6th Road, Hsinchu Science Park, Hsinchu, 300, Taiwan
  • Phone: +886.3.563.6688

Related Companies

  • Taiwan Omnivision Investment Holding Co. Ltd.
  • VisEra Holding Cayman Ltd.
  • Taiwan Semiconductor Manufacturing Co. Ltd. /LED Ops/
  • TSMC Guang Neng Investment Ltd.
  • Tsmc Solar Ltd.
  • Tai Chi Solar Energy Co. Ltd.
  • TSMC Global Ltd.
  • Tsmc Design Technology Canada, Inc.
  • TSMC (China) Co., Ltd.
  • Taiwan Semiconductor Manufacturing North America Co. Ltd.
  • VisEra Technologies Co. Ltd.
  • Applied Materials Asia Pacific /Mechanical Equipment Ops/
  • NuFlare Technology, Inc. /Mechanical Equipment Ops./
  • ASML Hong Kong Ltd. /Mechanical Equipment Ops/
  • Global Chip Corp.
  • TSMC International Investment Co. Ltd.
  • TSMC Japan Ltd.
  • Taiwan Semiconductor Manufacturing Co. Europe BV
  • TSMC North America
  • TSMC Partners Ltd.
  • Kung Cherng Investment Co. Ltd.
  • Chi-Hsin Investment Co. Ltd.
  • Po Cherng Investment Co., Ltd.
  • Hsin Ruey Investment Co. Ltd.
  • Chi Cheung Investment Co. Ltd. /TW/

Competitors

  • Semiconductor Manufacturing International Corp.
  • Tower Semiconductor Ltd
  • ASE Technology Holding Co., Ltd.
  • Vanguard International Semiconductor Co.
  • Amkor Technology, Inc.
  • United Microelectronics Corp.
  • X-FAB Silicon Foundries NV
  • DB HiTek Co. LTD
  • ITEK Semiconductor, Inc.
  • MPI Corp.
  • Pan Jit International Inc.
  • Ledtech Electronics Corp.
Last Updated on 20 Sep, 2018

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