Taiwan Semiconductor Manufacturing Company Limited (TSM) Operating Margin: 53.15%
Is Taiwan Semiconductor Manufacturing Company Limited’s operating margin high or low?
Taiwan Semiconductor Manufacturing Company Limited's operating margin of 53.15% is 17% above its 5-year average of 45.32%, near the high end of its 5-year range (40.95%–50.82%).
The operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM) is 53.15% as of Wednesday, June 10, 2026. It is above its 12-month average by 10.16% (48.25%).
TSM Operating Margin Chart
TSM Average Operating Margin Chart
TSM Current vs Average Operating Margin Chart
TSM Operating Margin Metrics
OPERATING MARGIN
53.15%
OPERATING MARGIN AVG TTM
48.25%
OPERATING MARGIN AVG 3Y
47.16%
OPERATING MARGIN AVG 5Y
45.32%
OPERATING MARGIN AVG 10Y
41.93%
OPERATING MARGIN AVG 15Y
40.13%
OPERATING MARGIN AVG 20Y
38.71%
CURRENT VS TTM AVG
+10.16%
CURRENT VS 3Y AVG
+12.69%
CURRENT VS 5Y AVG
+17.27%
CURRENT VS 10Y AVG
+26.76%
CURRENT VS 15Y AVG
+32.45%
CURRENT VS 20Y AVG
+37.29%
TSM Competitors' Operating Margin
| NAME | MARKET CAP | OPERATING MARGIN | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| Taiwan Semiconductor Manufacturing Company Limited (TSM) | — | 53.15% | 48.25% | 47.16% | 45.32% |
| Broadcom Inc. (AVGO) | $1.78T | 43.66% | 33.00% | 37.08% | 37.02% |
| Microsoft Corporation (MSFT) | $2.98T | 46.80% | 45.13% | 43.52% | 42.12% |
| Micron Technology, Inc. (MU) | $1.01T | 48.52% | 15.80% | 6.54% | 10.48% |
| Advanced Micro Devices, Inc. (AMD) | $739.38B | 11.65% | 9.02% | 6.29% | 9.47% |
| Oracle Corporation (ORCL) | $586.87B | 30.83% | 29.89% | 27.93% | 30.82% |
| Intel Corporation (INTC) | $536.12B | -9.45% | -11.01% | -4.54% | 1.29% |
| Cisco Systems, Inc. (CSCO) | $470.05B | 23.36% | 21.70% | 24.21% | 24.52% |
| Lam Research Corporation (LRCX) | $400.88B | 34.26% | 30.31% | 30.10% | 30.44% |
| Applied Materials, Inc. (AMAT) | $396.67B | 29.51% | 29.09% | 29.31% | 29.42% |
Operating Efficiency
Gross Margin
61.8%
Operating Margin
53.1%
Taiwan Semiconductor Manufacturing Company Limited Operating Margin Formula & Definition
Operating Margin = Operating Income / Revenue
Operating margin is the percentage of revenue remaining after operating expenses, reflecting operating efficiency.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Taiwan Semiconductor Manufacturing Company Limited Operating Margin FAQ
- What is the operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The operating margin for TSM stock is 53.15%.
- Is Taiwan Semiconductor Manufacturing Company Limited's operating margin high or low?
- Taiwan Semiconductor Manufacturing Company Limited's operating margin of 53.15% is 17% above its 5-year average of 45.32%, near the high end of its 5-year range (40.95%–50.82%).
- What is the TTM average operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The TTM average operating margin for TSM stock is 48.25%.
- What is the 3Y average operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 3Y average operating margin for TSM stock is 47.16%.
- What is the 5Y average operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 5Y average operating margin for TSM stock is 45.32%.
- What is the 10Y average operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 10Y average operating margin for TSM stock is 41.93%.
- What is the 15Y average operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 15Y average operating margin for TSM stock is 40.13%.
- What is the 20Y average operating margin for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 20Y average operating margin for TSM stock is 38.71%.
Taiwan Semiconductor Manufacturing Company Limited Operating Margin History
| DATE | OPERATING MARGIN |
|---|---|
| 2025-12-31 | 50.82% |
| 2024-12-31 | 45.68% |
| 2023-12-31 | 42.63% |
| 2022-12-31 | 49.53% |
| 2021-12-31 | 40.95% |
| 2020-12-31 | 42.32% |
| 2019-12-31 | 34.83% |
| 2018-12-31 | 37.20% |
| 2017-12-31 | 39.45% |
| 2016-12-31 | 39.87% |
| 2015-12-31 | 37.94% |
| 2014-12-31 | 38.79% |
| 2013-12-31 | 35.19% |
| 2012-12-31 | 35.75% |
| 2011-12-31 | 33.15% |
| 2010-12-31 | 37.94% |
| 2009-12-31 | 31.10% |
| 2008-12-31 | 31.35% |
| 2007-12-31 | 34.25% |
| 2006-12-31 | 40.10% |
| 2005-12-31 | 34.13% |
| 2004-12-31 | 34.40% |
| 2003-12-31 | 25.27% |
| 2002-12-31 | 19.47% |
| 2001-12-31 | 6.33% |
| 2000-12-31 | 36.88% |
| 1999-12-31 | 29.19% |
| 1998-12-31 | 27.38% |
| 1997-12-31 | 33.98% |
Related Metrics
About Taiwan Semiconductor Manufacturing Company Limited
Taiwan Semiconductor Manufacturing Company Limited (TSMC), along with its affiliated entities, operates globally in the semiconductor industry, specializing in the manufacturing, packaging, meticulous testing, and worldwide distribution of integrated circuits and other crucial semiconductor components. Its expansive international presence covers key markets such as Taiwan, China, Europe, the Middle East, Africa, Japan, and the United States. The company is renowned for its diverse array of wafer fabrication processes. These capabilities enable the production of various advanced semiconductor types, including complementary metal-oxide-semiconductor (CMOS) logic, mixed-signal devices, radio frequency components, embedded memory, and bipolar CMOS mixed-signal circuits. Beyond its core foundry services, TSMC extends its offerings to include dedicated customer and engineering support. It also undertakes the production of specialized masks, actively invests in burgeoning technology startups, and manages the entire lifecycle—from research and development through to manufacturing, packaging, testing, and sales—of color filters. Furthermore, the company provides a range of investment services. TSMC's cutting-edge products are indispensable across numerous sectors, powering high-performance computing, modern smartphones, Internet of Things (IoT) ecosystems, sophisticated automotive systems, and a broad spectrum of digital consumer electronics. Established in 1987, the enterprise is officially headquartered in Hsinchu City, Taiwan.
- Sector
- Technology
- Industry
- Semiconductors
- CEO
- C. C. Wei