Taiwan Semi CFO says power bill in Taiwan to rise faster than elsewhere

Taiwan Semiconductor (NYSE:TSM) Chief Financial Officer Wendell Huang told investors that the semiconductor foundry expects to pay more for its power in Taiwan than in other countries around the world, The Financial Times reported.
“Basically, the price has doubled in the past few years,” Huang told investors last month, according to the news outlet.“So next year, we think that [the] electricity price for us in Taiwan will be the highest in all the regions that we operate.”
The increase in power costs will hit Taiwan Semiconductor’s gross margins by roughly 1 percentage point in 2025, the company has said previously. Gross margins for the most recently reported quarterly results were 57.8%, approximately two percentage points above its own guidance.
Taiwan Semiconductor maintained its long-term gross margin target of 53% or more.
Taiwan Semiconductor shares have gained 88% year-to-date.

Tags: TSM