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TSMC's $15 Billion Bet: How Record Profits Fuel Massive Expansion Plan

TSMC just made a massive $14.98 billion investment in its future growth. The company is expanding its advanced chip manufacturing capabilities while rewarding shareholders with higher dividends. This move comes after TSMC reported record-breaking third-quarter profits that exceeded expectations. The increased dividend payout particularly benefits major shareholders including Chairman C.C. Wei and the National Development Fund.

Key Points: TSMC Approves $14.98 Billion Capital Plan and Raises Dividend

  • Board approved $14.98 billion for advanced technology and packaging capacity expansion
  • Dividend increased to NT$6 per share from previous NT$5 payout
  • Company reported record Q3 net profit of NT$452.3 billion
  • Capital plan includes construction of new fabrication plants and R&D investments
2 min read

TSMC approved a capital appropriation plan of USD 14.98 bn, company also raised dividend payout.

TSMC approves $14.98 billion for expansion and increases dividend to NT$6 per share following record Q3 profits, boosting investor confidence.

"The higher payout would enhance the company's appeal to investors. - Market Analysts"

Taipei, November 12

Taiwan Semiconductor Manufacturing Co. (TSMC) approved a capital appropriation plan worth about USD 14.98 billion and also raised its cash dividend to NT$6 (USD 0.19) per share, reflecting its strong third-quarter earnings performance, according to a report by Focus Taiwan.

The company's board of directors approved the capital plan to fund several key initiatives, including the installation of advanced technology and packaging capacity, the expansion of mature and speciality technologies, and the construction of new fabrication plants equipped with required systems. TSMC stated that the allocation will also support research and development investments and sustain its capital expenditure for future growth.

In addition to the capital plan, the world's largest contract chipmaker announced a dividend increase from the previous NT$5 declared for its second-quarter results. The ex-dividend date is set for March 17, 2026, with payment scheduled for April 9.

The company reported a record net profit of NT$452.3 billion (approximately USD 14.61 billion), or NT$17.40 (approximately USD 0.56) per share, for the July-September period. Analysts said the higher payout would enhance the company's appeal to investors.

Chairman C.C. Wei is expected to earn NT$43.30 million (USD 1.40 million) in dividends for the quarter, based on his 7.22 million shares. The National Development Fund, TSMC's largest shareholder with a 6.38 per cent stake, will receive NT$9.92 billion (USD 320.61 million) in cash dividends.

The report, quoting market observers, noted that since TSMC began issuing quarterly cash dividends instead of annual ones in 2019, the policy has helped reinforce long-term investor confidence in the company.

- ANI

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Reader Comments

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Rohit P
$15 billion investment! That's almost ₹1.25 lakh crore! While this is impressive, I wish Indian companies would make such bold moves in semiconductor manufacturing. We're too dependent on imports for critical chips. #MakeInIndia needs more such commitments.
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Arjun K
The dividend increase to NT$6 is a smart move. Shows they're rewarding shareholders while investing heavily in future growth. Wish more Indian companies had this balanced approach instead of either hoarding cash or paying unsustainable dividends.
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Sarah B
Working in finance in Mumbai, I see how TSMC's performance impacts global markets. Their record profits and strategic investments make them a bellwether for tech sector health. Good to see them maintaining strong governance with transparent dividend policies.
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Vikram M
While the numbers are impressive, I'm concerned about the geopolitical risks. TSMC's dominance in chip manufacturing creates vulnerabilities for global supply chains. India should accelerate its semiconductor mission with similar scale and urgency. 🇮🇳
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Michael C
The chairman earning $1.4 million in dividends while making $15 billion investments - that's what I call alignment of interests! Indian promoters could learn from this model where leadership benefits alongside all shareholders.

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