Taiwan Semiconductor Manufacturing Financials
Taiwan Semiconductor Manufacturing (TSM) reported $121.4B in revenue for fiscal year 2025, up 37.6% from the prior fiscal year. This page shows its income statement, balance sheet, cash flow statement, and key financial ratios. View 9 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).
Profit growth is increasingly funding expansion while a lightly leveraged balance sheet preserves substantial financial flexibility.
Earnings quality remains strong: FY2025 operating cash flow was$72.5B , or 1.3x net income, but only 0.4x of operating cash flow remained after capital spending. That explains why net margin reached44.5% while free-cash-flow margin fell to26.3% from30.1% in FY2024: reinvestment absorbed more of the cash produced by each sales dollar.
The business is capital-intensive but internally funded: FY2025 capital expenditures were
The balance sheet carries minimal financial leverage: debt was only
Financial Health Signals
Scored against operating companies for FY2025. Each of the six dimensions is a percentile rank within that peer group; the overall is their average, with missing dimensions counted as zero out of six. A high score means strong standing among peers, not absolute cross-industry strength. How this score is calculated →
Health score ≠ stock price. This rates the quality of Taiwan Semiconductor Manufacturing's business: profitability, growth, balance sheet strength. It doesn't tell you whether the stock is a good buy at today's price. Not financial advice. Use it alongside valuation analysis and your own research.
Not available for Taiwan Semiconductor Manufacturing, and counted as zero in the overall score.
Taiwan Semiconductor Manufacturing's revenue surged 37.6% year-over-year to $121.4B, reflecting rapid business expansion. This strong growth earns a score of 90/100.
Taiwan Semiconductor Manufacturing carries a low D/E ratio of 0.01, meaning only $0.01 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 88/100, indicating a strong balance sheet with room for future borrowing.
With a current ratio of 2.51, Taiwan Semiconductor Manufacturing holds $2.51 in current assets for every $1 of short-term obligations. This comfortable liquidity earns a score of 69/100.
Taiwan Semiconductor Manufacturing converts 26.3% of revenue into free cash flow ($32.0B). This strong cash generation earns a score of 91/100.
Not available for Taiwan Semiconductor Manufacturing, and counted as zero in the overall score.
Taiwan Semiconductor Manufacturing passes 8 of 8 computable financial strength tests (1 of the nine could not be computed from available data). All 4 profitability signals pass (positive income, cash flow, and earnings quality), all 3 leverage/liquidity signals pass, both operating efficiency signals pass.
For every $1 of reported earnings, Taiwan Semiconductor Manufacturing generates $1.34 in operating cash flow ($72.5B OCF vs $54.0B net income). This indicates profits are well-supported by actual cash generation, not accounting adjustments.
Key Financial Metrics
Earnings & Revenue
Taiwan Semiconductor Manufacturing generated $121.4B in revenue in fiscal year 2025. This represents an increase of 37.6% from the prior year.
Taiwan Semiconductor Manufacturing reported $54.0B in net income in fiscal year 2025. This represents an increase of 53.1% from the prior year.
Not reported for fiscal year 2025.
Not reported for fiscal year 2025.
Cash & Balance Sheet
Taiwan Semiconductor Manufacturing generated $32.0B in free cash flow in fiscal year 2025, representing cash available after capex. This represents an increase of 20.4% from the prior year.
Taiwan Semiconductor Manufacturing held $88.2B in cash against $1.0B in long-term debt as of fiscal year 2025.
Not reported for fiscal year 2025.
Margins & Returns
Taiwan Semiconductor Manufacturing's net profit margin was 44.5% in fiscal year 2025, showing the share of revenue converted to profit. This is up 4.5 percentage points from the prior year.
Taiwan Semiconductor Manufacturing's ROE was 31.4% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 4.4 percentage points from the prior year.
Not reported for fiscal year 2025.
Not reported for fiscal year 2025.
Capital Allocation
Taiwan Semiconductor Manufacturing invested $40.6B in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 39.1% from the prior year.
Not reported for fiscal year 2025.
Not reported for fiscal year 2025.
TSM Income Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | Q3'25 | Q3'24 | Q3'23 | Q3'22 | Q1'22 | Q3'21 | Q3'20 | Q3'19 |
|---|
Not reported in any period shown, so not listed: Revenue, Cost of Revenue, Gross Profit, R&D Expenses, SG&A Expenses, Operating Income, Interest Expense, Income Tax, Net Income, EPS (Diluted).
TSM Balance Sheet
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | Q3'25 | Q3'24 | Q3'23 | Q3'22 | Q1'22 | Q3'21 | Q3'20 | Q3'19 |
|---|---|---|---|---|---|---|---|---|
| Total Assets | $204.1B+13.0% | $180.7B+11.8% | $161.6B+20.3% | $134.3B+21.2% | $110.8B+12.7% | $98.3B+29.8% | $75.7B+10.9% | $68.3B |
| Current Assets | $94.2B+31.4% | $71.7B+7.3% | $66.8B+15.3% | $57.9B+30.3% | $44.5B+14.3% | $38.9B+41.4% | $27.5B-11.5% | $31.1B |
| Cash & Equivalents | $64.9B+45.2% | $44.7B+1.9% | $43.9B+26.5% | $34.7B+29.3% | $26.8B+12.6% | $23.8B+46.7% | $16.2B-16.0% | $19.3B |
| Inventory | $8.8B+7.1% | $8.2B+13.9% | $7.2B+3.4% | $7.0B+14.0% | $6.1B+24.8% | $4.9B+76.3% | $2.8B-17.7% | $3.4B |
| Goodwill | $801.5M+7.8% | $743.5M-12.1% | $846.1M-12.5% | $966.9M+1.7% | $950.7M+3.6% | $917.7M+32.9% | $690.5M+24.3% | $555.4M |
| Total Liabilities | $73.6B+8.4% | $67.9B+1.9% | $66.6B+17.4% | $56.7B+42.6% | $39.8B+20.8% | $32.9B+51.5% | $21.7B+55.2% | $14.0B |
| Current Liabilities | $39.9B+29.6% | $30.8B-4.1% | $32.1B+17.4% | $27.3B+15.7% | $23.6B+5.0% | $22.5B+12.5% | $20.0B+71.6% | $11.7B |
| Long-Term Debt | $877.0M-6.4% | $936.7M-3.3% | $968.6M+29.4% | $748.5M-0.7% | $753.5M+2.9% | $732.2M+45.6% | $502.9M | N/A |
| Total Equity | $130.5B+15.7% | $112.8B+18.8% | $95.0B+22.4% | $77.6B+9.2% | $71.0B+8.6% | $65.4B+21.1% | $54.0B-0.5% | $54.3B |
| Retained Earnings | $118.1B+15.6% | $102.2B+21.0% | $84.4B+24.1% | $68.1B+10.8% | $61.4B+9.6% | $56.0B+26.5% | $44.3B-0.3% | $44.4B |
Not reported in any period shown, so not listed: Accounts Receivable.
TSM Cash Flow Statement
Figures in USD, abbreviated K (thousand), M (million), B (billion), T (trillion). Negative values carry a minus sign and red type.
| Metric | Q3'25 | Q3'24 | Q3'23 | Q3'22 | Q1'22 | Q3'21 | Q3'20 | Q3'19 |
|---|
Not reported in any period shown, so not listed: Operating Cash Flow, Capital Expenditures, Free Cash Flow, Investing Cash Flow, Financing Cash Flow, Dividends Paid, Share Buybacks.
TSM Financial Ratios
Margins and returns are percentages; the remaining ratios are unitless multiples.
| Metric | Q3'25 | Q3'24 | Q3'23 | Q3'22 | Q1'22 | Q3'21 | Q3'20 | Q3'19 |
|---|---|---|---|---|---|---|---|---|
| Current Ratio | 2.360.0x | 2.33+0.2x | 2.080.0x | 2.12+0.2x | 1.88+0.2x | 1.73+0.4x | 1.37-1.3x | 2.67 |
| Debt-to-Equity | 0.010.0x | 0.010.0x | 0.010.0x | 0.010.0x | 0.010.0x | 0.010.0x | 0.01-0.2x | 0.26 |
Not reported in any period shown, so not listed: Gross Margin, Operating Margin, Net Margin, Return on Equity, Return on Assets, FCF Margin.
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Where Taiwan Semiconductor Manufacturing Ranks
Frequently Asked Questions
What is Taiwan Semiconductor Manufacturing's annual revenue?
Taiwan Semiconductor Manufacturing (TSM) reported $121.4B in total revenue for fiscal year 2025. This represents a 37.6% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.
How fast is Taiwan Semiconductor Manufacturing's revenue growing?
Taiwan Semiconductor Manufacturing (TSM) revenue grew by 37.6% year-over-year, from $88.3B to $121.4B in fiscal year 2025.
Is Taiwan Semiconductor Manufacturing profitable?
Yes, Taiwan Semiconductor Manufacturing (TSM) reported a net income of $54.0B in fiscal year 2025, with a net profit margin of 44.5%.
How much debt does Taiwan Semiconductor Manufacturing have?
As of fiscal year 2025, Taiwan Semiconductor Manufacturing (TSM) had $88.2B in cash and equivalents against $1.0B in long-term debt.
What is Taiwan Semiconductor Manufacturing's net profit margin?
Taiwan Semiconductor Manufacturing (TSM) had a net profit margin of 44.5% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.
What is Taiwan Semiconductor Manufacturing's return on equity (ROE)?
Taiwan Semiconductor Manufacturing (TSM) has a return on equity of 31.4% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.
What is Taiwan Semiconductor Manufacturing's free cash flow?
Taiwan Semiconductor Manufacturing (TSM) generated $32.0B in free cash flow during fiscal year 2025. This represents a 20.4% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.
What is Taiwan Semiconductor Manufacturing's operating cash flow?
Taiwan Semiconductor Manufacturing (TSM) generated $72.5B in operating cash flow during fiscal year 2025, representing cash generated from core business activities.
What are Taiwan Semiconductor Manufacturing's total assets?
Taiwan Semiconductor Manufacturing (TSM) had $252.9B in total assets as of fiscal year 2025, including both current and long-term assets.
What are Taiwan Semiconductor Manufacturing's capital expenditures?
Taiwan Semiconductor Manufacturing (TSM) invested $40.6B in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.
What is Taiwan Semiconductor Manufacturing's current ratio?
Taiwan Semiconductor Manufacturing (TSM) had a current ratio of 2.51 as of fiscal year 2025, which is generally considered healthy.
What is Taiwan Semiconductor Manufacturing's debt-to-equity ratio?
Taiwan Semiconductor Manufacturing (TSM) had a debt-to-equity ratio of 0.01 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.
What is Taiwan Semiconductor Manufacturing's return on assets (ROA)?
Taiwan Semiconductor Manufacturing (TSM) had a return on assets of 21.4% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.
What is Taiwan Semiconductor Manufacturing's Piotroski F-Score?
Taiwan Semiconductor Manufacturing (TSM) has a Piotroski F-Score of 8 out of 8 computable signals; 1 of the nine could not be computed from available data, so the full-scale strength rating is not shown. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7 to 9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.
Are Taiwan Semiconductor Manufacturing's earnings high quality?
Taiwan Semiconductor Manufacturing (TSM) has an earnings quality ratio of 1.34x, considered cash-backed (high quality). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.
How financially healthy is Taiwan Semiconductor Manufacturing?
Taiwan Semiconductor Manufacturing (TSM) scores 56 out of 100 on our Financial Health Score, indicating moderate standing within its operating companies peer group. The score is a 0-100 composite of six dimensions (Profitability, Growth, Leverage, Liquidity, Cash Flow, Returns), each ranked as a percentile relative to companies in the same scoring family (banks against banks, REITs against REITs, and so on) rather than across all industries. It rates the quality of the business, not whether the stock is fairly priced, and is not financial advice. Learn more in our complete guide to financial health indicators.