2024-04-18 08:36:04 ET
Taiwan Semiconductor Manufacturing Co Ltd (TSM)
Q1 2024 Earnings Conference Call
April 18, 2024, 02:00 ET
Company Participants
Jeff Su - Director, IR
Wendell Huang - SVP, Finance & CFO
C. C. Wei - Vice Chairman & CEO
Conference Call Participants
Gokul Hariharan - JPMorgan Chase & Co.
Brett Simpson - Arete Research Services
Randy Abrams - UBS
Mehdi Hosseini - SIG
Charlie Chan - Morgan Stanley
Rolf Bulk - New Street Research
Laura Chen - Citigroup
Bruce Lu - Goldman Sachs Group
Presentation
Operator
Jeff Su
Good afternoon, everyone, and welcome to TSMC's First Quarter 2024 Earnings Conference Call. This is Jeff Su, TSMC's Director of Investor Relations and your host for today.
TSMC is hosting our earnings conference call via live audio webcast through the company's website at www.tsmc.com, where you can also download the earnings release materials shortly. [Operator Instructions].
The format for today's event will be as follows: first, TSMC's Senior Vice President and CFO, Mr. Wendell Huang, will summarize our operations in the first quarter 2024, followed by our guidance for the second quarter 2024. Afterwards, Mr. Huang and TSMC's CEO, Dr. C. C. Wei, will jointly provide the company's key messages. Then we will open the lines for the question-and-answer session.
As usual, I would like to remind everybody that today's discussions may contain forward-looking statements that are subject to significant risks and uncertainties, which could cause actual results to differ materially from those contained in the forward-looking statements. Please refer to the safe harbor notice that appears on our press release.
And now I would like to turn the call over to TSMC's CFO, Mr. Wendell Huang, for the summary of operations and the current quarter guidance.
Wendell Huang
Thank you, Jeff. Good afternoon, everyone. Thank you for joining us today. My presentation will start with the financial highlights for the first quarter 2024. After that, I will provide the guidance for the second quarter 2024.
First quarter revenue decreased 5.3% sequentially in NT dollars or 3.8% in U.S. dollars as our business was impacted by smartphone seasonality, partially offset by continued HPC-related demand. Gross margin increased 0.1 percentage point sequentially to 53.1%, mainly reflecting product mix changes due to smartphone seasonality, partially offset by a less favorable foreign exchange rate.
Total operating expenses accounted for 11.1% of net revenue, which is lower than the 12% implied in our first quarter guidance, mainly due to tighter expense controls. Thus, operating margin increased 0.4 percentage points sequentially to 42%. Overall, our first quarter EPS was TWD8.7 and ROE was 25.4%....
Read the full article on Seeking Alpha
For further details see:
Taiwan Semiconductor Manufacturing Co Ltd (TSM) Q1 2024 Earnings Call Transcript