Taiwan Semiconductor Manufacturing Company Ltd's (TSMC), the world's largest contract chipmaker, third quarter (3Q) revenue has surpassed both market expectations and the company's forecasts, largely driven by demand for artificial intelligence technologies.

For the July to September period, TSMC recorded revenue of T$759.69 billion (RM101.33 billion), exceeding the LSEG SmartEstimate of T$750.36 billion from 23 analysts. This represents a remarkable growth of 36.5% compared to US$17.3 billion (RM74.22 billion) in the same quarter last year.

While TSMC typically provides its revenue data in Taiwanese dollars, it also discloses quarterly figures and earnings outlooks in US dollars during earnings calls. In July, TSMC had forecasted its 3Q revenue to fall between US$22.4 billion and US$23.2 billion.

In September alone, the company reported a 39.6% year-on-year increase in revenue, amounting to T$251.87 billion.

TSMC will announce its complete 3Q earnings on Oct 17, when it is expected to update its future outlook.

The company's stock, listed in Taipei, has surged 72% this year, outpacing the broader market's 26% gain. Following the announcement of its revenue figures, TSMC's shares rose by 1% on Wednesday.