Core Viewpoint - TSMC reported record high revenue and net profit for Q3 2025, indicating strong growth in advanced semiconductor processes [1] Financial Performance - Revenue for Q3 2025 reached NT$989.92 billion, a year-on-year increase of 30.3% and a quarter-on-quarter increase of 6% [1] - Net profit for the same period was NT$452.3 billion, marking a record high, with a year-on-year increase of 39.1% and a quarter-on-quarter increase of 13.6% [1] - Gross margin for Q3 2025 was 59.5%, operating margin was 50.6%, and net profit margin after tax was 45.7% [1] Product Mix - 3nm process shipments accounted for 23% of TSMC's wafer sales revenue in Q3 2025 [1] - 5nm process shipments represented 37% of total wafer sales revenue for the quarter [1] - 7nm process shipments made up 14% of the total wafer sales revenue [1] - Overall, revenue from advanced processes (including 7nm and more advanced) constituted 74% of total wafer sales revenue for the quarter [1]

Group 1 - Samsung Electronics' foundry division has secured orders for 7nm and 8nm processes from AI chip design companies, including Nintendo, improving capacity utilization [1] - Samsung's 3nm process is facing challenges, with a yield rate around 50%, while TSMC has achieved over 90% yield, raising concerns about Samsung's competitiveness in advanced processes [1][2] - Major clients like Google are shifting from Samsung's 3nm process to TSMC, indicating a loss of trust in Samsung's foundry capabilities due to yield issues [2] Group 2 - Apple, Qualcomm, NVIDIA, and MediaTek are adopting TSMC's third-generation 3nm process, with plans to transition to 2nm starting in 2026 [2] - The semiconductor industry emphasizes the importance of trust between foundries and clients, and Samsung's yield problems have led to skepticism about its foundry business [2]