What is TAIWAN SEMICONDUCTOR MANUFACTURING CO LTD's overall financial health score?

Based on comprehensive analysis of TAIWAN SEMICONDUCTOR MANUFACTURING CO LTD's 20-F filing for FY 2024 2024, the overall financial health score is 7/10 (Good). Revenue growth in 2024 was driven by increased wafer shipments, higher ASP from advanced technologies, and favorable currency exchange rates.. Gross margin improved in 2024 due to better capacity util

What are the main concerns in TAIWAN SEMICONDUCTOR MANUFACTURING CO LTD's latest SEC filing?

The analysis identified 2 key concerns: Shift to advanced technologies in a dynamic market (high); Foreign currency exchange rate fluctuations (medium).

What are the top risks for TAIWAN SEMICONDUCTOR MANUFACTURING CO LTD (TSM)?

The top risks identified in the 20-F filing are: Shift to advanced technologies in a dynamic market, Foreign currency exchange rate fluctuations, Cybersecurity threats. The company's risk profile is characterized by a high degree of competitive intensity driven by technological advancements, with a moderate impact from currency fluctuations. Cybersecurity risks are currently assessed as low, with no material impact reported.

TSM - Comprehensive Filing Intelligence

FY 2024•20-F•Filed Apr 17, 2025

7.0/10

Filing Health:GOOD

Solid fundamentals with minor concerns to monitor

Executive Summary

Revenue growth in 2024 was driven by increased wafer shipments, higher ASP from advanced technologies, and favorable currency exchange rates.. Gross margin improved in 2024 due to better capacity utilization and productivity, though partially offset by new technology ramp-up costs and higher electricity prices.. Significant increase in advanced technology wafer revenue contribution (7nm and below) to 69% in 2024.

Top Concerns

!Shift to advanced technologies in a dynamic market (high)
!Foreign currency exchange rate fluctuations (medium)

Top Positives

+Revenue growth in 2024 was driven by increased wafer shipments, higher ASP from advanced technologies, and favorable currency exchange rates.
+Gross margin improved in 2024 due to better capacity utilization and productivity, though partially offset by new technology ramp-up costs and higher electricity prices.

Analysis Dimensions

Our 5-pass AI analysis examines this filing across multiple dimensions. Each dimension score is derived from direct analysis of SEC filing text.

Narrative Intelligence

7.0/10

Management tone is confidently optimistic with focus on higher capacity utilization and productivity gains.

Full analysis includes: tone changes vs prior quarter, margin driver breakdown, forward guidance analysis, strategic priorities.

Accounting Quality

8.0/10

Earnings quality shows moderate accounting practices.

Full analysis includes: reserve and allowance changes, non-recurring item analysis, stock-based compensation impact, disclosure concerns.

Hidden Liabilities

Off-balance sheet risk is low.

Full analysis includes: cloud and purchase commitments, VIE/SPE exposure, covenant compliance status, refinancing risk assessment.

Risk Landscape

6.0/10

Overall risk profile shows shift to advanced technologies in a dynamic market as primary concern.

Full analysis includes: 8 risk categories with severity, new vs escalated risks, management response assessment, risk trend analysis.

Segment Performance

6.0/10

Segment health analysis.

Full analysis includes: segment-by-segment revenue breakdown, geographic concentration risk, customer concentration analysis, segment margin trends.