TSM changes
Pick any two versions below to diff them.
- Balance sheet
- TSMC has a large net cash position. At June 30, 2026, cash and cash equivalents were NT$3,134.2 billion. Against this, it had NT$980.4 billion of unsecured bonds, NT$51.3 billion of unsecured bank loans (mostly in Japanese yen) and NT$36.9 billion of lease liabilities. Of the bonds, NT$554.8 billion are domestic Taiwan dollar bonds and NT$427.7 billion are overseas bonds. The parent guarantees the overseas bonds of its subsidiaries TSMC Arizona and TSMC Global. NT$165.3 billion of bonds fall due within one year. In the first half of 2026, income from operations of NT$1,425.6 billion covered finance costs of NT$5.8 billion more than 200 times. Operating cash flow of NT$1,482.3 billion paid for NT$846.8 billion of capital expenditure. S&P rates TSMC AA- with a stable outlook. On August 28, 2026, Moody's affirmed its Aa3 rating and changed the outlook to positive. Government grants in the United States, Japan, Germany and China also pay for part of the new plants. Debt does not limit TSMC's choices: cash flow can pay for its record build-out and higher dividends. The main financial risk is the location of its plants in Taiwan, not its balance sheet. As of 2026-06-30.
- Checkpoints
- Oct 15, 2026: Q3 2026 results: AI demand, margins and 2026 growth. Pending. Watch: Revenue that meets the more than 40% 2026 growth target with stable gross margin passes; a lower growth target or margin pressure from overseas fabs fails. Jan 2027 (estimate): Q4 2026 results and 2027 guidance. Pending. Watch: 2027 guidance with strong revenue growth and confirmed higher wafer prices passes; weak guidance or customer pushback on prices fails. Q2 2027 (estimate): Arizona and Japan fab ramps on schedule. Pending. Watch: New overseas fabs that ramp on schedule with a small margin dilution pass; delays or a larger margin hit than guided fail.