Taiwan Semiconductor Manufacturing Beats Analyst Estimates on EPS
Taiwan Semiconductor Manufacturing (NYS: TSM) reported earnings on July 18. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Taiwan Semiconductor Manufacturing met expectations on revenues and beat expectations on earnings per share.
Compared to the prior-year quarter, revenue grew significantly. Non-GAAP earnings per share grew significantly. GAAP earnings per share expanded significantly.
Margins grew across the board.
Taiwan Semiconductor Manufacturing booked revenue of $5.19 billion. The 18 analysts polled by S&P Capital IQ predicted a top line of $5.17 billion on the same basis. GAAP reported sales were 21% higher than the prior-year quarter's $4.29 billion.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at $0.33. The five earnings estimates compiled by S&P Capital IQ anticipated $0.32 per share. Non-GAAP EPS of $0.33 for Q2 were 22% higher than the prior-year quarter's $0.27 per share. GAAP EPS of $0.07 for Q2 were 40% higher than the prior-year quarter's $0.05 per share.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 49.0%, 20 basis points better than the prior-year quarter. Operating margin was 37.0%, 50 basis points better than the prior-year quarter. Net margin was 33.2%, 50 basis points better than the prior-year quarter. (Margins calculated in GAAP terms.)
Next quarter's average estimate for revenue is $5.44 billion. On the bottom line, the average EPS estimate is $0.33.
Next year's average estimate for revenue is $20.09 billion. The average EPS estimate is $1.21.
The stock has a four-star rating (out of five) at Motley Fool CAPS, with 1,371 members out of 1,420 rating the stock outperform, and 49 members rating it underperform. Among 301 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 296 give Taiwan Semiconductor Manufacturing a green thumbs-up, and five give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Taiwan Semiconductor Manufacturing is outperform, with an average price target of $19.20.
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The article Taiwan Semiconductor Manufacturing Beats Analyst Estimates on EPS originally appeared on Fool.com.Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor of Motley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. The Motley Fool has no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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