TSMC(US:TSM)2026-01-19 02:29Summary of Conference Call Records Company: TSMC (Taiwan Semiconductor Manufacturing Company) Key Points - Revenue Growth and Profitability TSMC expects revenue growth of over 30% in 2026, despite the negative impact on gross margin from ramping up 2nm process technology. The gross margin is projected to remain between 62% and 65% due to price increases and improved capacity utilization [1][4]. - Capital Expenditure Plans TSMC plans to allocate $52 billion to $56 billion for capital expenditures in 2026, representing a year-over-year increase of over 32%. This expenditure will primarily focus on advanced processes (70%-80%) and advanced packaging (10%-20%) [1][6]. - Business Structure Transformation The business structure is shifting towards high-performance computing (HPC), which is expected to account for approximately 55% of revenue by Q4 2025. The revenue share from advanced processes (3nm, 5nm, 7nm) has reached a historical high of 77% [1][5]. - AI Business Outlook TSMC anticipates that AI business growth will exceed 50% in the coming years, driven by strong demand and collaboration with clients like NVIDIA and AMD. The company believes that the current AI demand is robust and not a bubble [1][7]. - Emerging Market Opportunities Applications like ChatGPT are creating new demand in advertising and other sectors, contributing to future market growth [1][8]. Company: Jiangfeng Electronics Key Points - Global Market Expansion Jiangfeng Electronics is expanding its ultra-pure target material business globally, targeting major clients like SK Hynix and Samsung. The company has seen significant growth, exceeding 50% since 2019, and is focusing on developing electrostatic chuck projects [1][9]. - Market Size Projections The global market for electrostatic chucks is expected to reach approximately $2.4 billion by 2030, with Jiangfeng addressing material bottlenecks through its Northwest Industrialization Project [1][9]. Company: Guangli Technology Key Points - Expansion into Semiconductor Equipment Guangli Technology is transitioning from IoT production monitoring devices to semiconductor packaging equipment, including dicing saws and laser dicing machines. The company is making progress in customer acquisition and aims to compete with Japanese firm DISCO [1][10]. - Breakthroughs in Core Components Domestic companies have made significant breakthroughs in semiconductor equipment and core components, particularly in air spindles and blades, demonstrating rapid localization progress [1][11]. Industry Dynamics Key Points - Price Increases in Semiconductor Sector Recent price increases have been observed among packaging companies like ASE, driven by cost pressures and surging AI demand. For instance, MICC's leading company, Yageo, announced a price increase of about 10% [1][12]. - Storage Industry Developments The storage sector is gaining attention, with companies like Hefei Changxin and Changchun making progress in their IPOs. AI servers are driving increased demand for storage, with Micron's acquisition leading to a 23% increase in DRAM prices in Q1 2026 [1][14]. - Future Predictions for Semiconductor Industry The semiconductor industry is expected to continue its upward trajectory driven by AI, with significant developments in domestic production capabilities across design, manufacturing, and packaging sectors [1][15]. PCB Sector Insights Key Points - Market Performance The PCB sector is viewed positively, with companies like Shenghong Technology and Huitian Technology expected to experience short-term performance fluctuations. However, risks related to technology development and demand may impact future performance [1][16].