Taiwan Semiconductor Manufacturing Company Limited (TSM) FCF Payout Ratio: 46.32%
Is Taiwan Semiconductor Manufacturing Company Limited’s FCF payout ratio high or low?
Taiwan Semiconductor Manufacturing Company Limited's FCF payout ratio of 46.32% is 35% below its 5-year average of 71.42%, near the low end of its 5-year range (41.72%–101.80%).
The FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM) is 46.32%. It is above its 12-month average by 9.39% (42.35%).
TSM FCF Payout Ratio Chart
TSM Average FCF Payout Ratio Chart
TSM Current vs Average FCF Payout Ratio Chart
TSM FCF Payout Ratio Metrics
FCF PAYOUT RATIO
46.32%
FCF PAYOUT RATIO AVG TTM
42.35%
FCF PAYOUT RATIO AVG 3Y
60.31%
FCF PAYOUT RATIO AVG 5Y
71.42%
FCF PAYOUT RATIO AVG 10Y
80.09%
FCF PAYOUT RATIO AVG 15Y
105.04%
FCF PAYOUT RATIO AVG 20Y
96.24%
CURRENT VS TTM AVG
+9.39%
CURRENT VS 3Y AVG
-23.20%
CURRENT VS 5Y AVG
-35.14%
CURRENT VS 10Y AVG
-42.16%
CURRENT VS 15Y AVG
-55.90%
CURRENT VS 20Y AVG
-51.87%
Payout Ratio Comparison
FCF Payout Ratio
46.3%
Earnings Payout Ratio
29.9%
Dividend Yield
0.77%
FCF Yield
1.66%
Annual FCF Payout Ratio History
| Year | Free Cash Flow | Dividends Paid | FCF Payout Ratio |
|---|---|---|---|
| 2025 | $34.97B | $15.03B | 43.0% |
| 2024 | $26.50B | $11.06B | 41.7% |
| 2023 | $9.33B | $9.50B | 101.8% |
| 2022 | $16.99B | $9.30B | 54.8% |
| 2021 | $9.48B | $9.59B | 101.2% |
| 2020 | $10.71B | $9.22B | 86.1% |
| 2019 | $4.86B | $8.67B | 178.4% |
| 2018 | $8.22B | $6.78B | 82.6% |
| 2017 | $8.39B | $6.11B | 72.8% |
| 2016 | $6.36B | $4.79B | 75.3% |
| 2015 | $8.13B | $3.54B | 43.5% |
| 2014 | $4.07B | $2.45B | 60.2% |
| 2013 | $1.91B | $2.60B | 136.4% |
| 2012 | $1.48B | $2.68B | 181.1% |
| 2011 | $1.11B | $2.56B | 231.2% |
| 2010 | $1.40B | $2.67B | 190.8% |
| 2009 | $2.26B | $2.40B | 106.5% |
| 2008 | $4.95B | $2.34B | 47.3% |
| 2007 | $3.07B | $2.38B | 77.6% |
| 2006 | $3.87B | $1.89B | 48.9% |
| 2005 | $2.37B | $1.43B | 60.2% |
| 2004 | $2.21B | $372.69M | 16.9% |
| 2003 | $3.62B | $13.78M | 0.4% |
| 2002 | $1.35B | $14.12M | 1.0% |
| 2001 | $114.41M | $1.29M | 1.1% |
| 2000 | ($323.19M) | $0 | N/A (Loss) |
| 1999 | $303.95M | $0 | 0.0% |
| 1998 | ($81.79M) | $0 | N/A (Loss) |
| 1997 | ($240.74M) | $0 | N/A (Loss) |
Formula: FCF Payout Ratio = Dividends Paid / Free Cash Flow × 100
FCF payout and earnings payout:
- FCF represents operating cash flow after capital expenditures
- FCF payout compares dividends paid with free cash flow
- FCF payout above 100% means dividends paid exceeded free cash flow for the period
- Earnings payout compares dividends paid with net income
Reading the series: Use the chart and table to compare dividend payments with cash generation over time.
Taiwan Semiconductor Manufacturing Company Limited FCF Payout Ratio Formula & Definition
FCF Payout Ratio measures what percentage of free cash flow is paid out as dividends. Unlike earnings-based payout, it compares dividends with cash generated after capital expenditures.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
Taiwan Semiconductor Manufacturing Company Limited FCF Payout Ratio FAQ
- What is the FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The FCF payout ratio for TSM stock is 46.32%.
- Is Taiwan Semiconductor Manufacturing Company Limited's FCF payout ratio high or low?
- Taiwan Semiconductor Manufacturing Company Limited's FCF payout ratio of 46.32% is 35% below its 5-year average of 71.42%, near the low end of its 5-year range (41.72%–101.80%).
- What is the TTM average FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The TTM average FCF payout ratio for TSM stock is 42.35%.
- What is the 3Y average FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 3Y average FCF payout ratio for TSM stock is 60.31%.
- What is the 5Y average FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 5Y average FCF payout ratio for TSM stock is 71.42%.
- What is the 10Y average FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 10Y average FCF payout ratio for TSM stock is 80.09%.
- What is the 15Y average FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 15Y average FCF payout ratio for TSM stock is 105.04%.
- What is the 20Y average FCF payout ratio for Taiwan Semiconductor Manufacturing Company Limited (TSM)?
- The 20Y average FCF payout ratio for TSM stock is 96.24%.
Taiwan Semiconductor Manufacturing Company Limited FCF Payout Ratio History
| DATE | FCF PAYOUT RATIO |
|---|---|
| 2025-12-31 | 42.97% |
| 2024-12-31 | 41.72% |
| 2023-12-31 | 101.80% |
| 2022-12-31 | 54.75% |
| 2021-12-31 | 101.17% |
| 2020-12-31 | 86.09% |
| 2019-12-31 | 178.35% |
| 2018-12-31 | 82.56% |
| 2017-12-31 | 72.77% |
| 2016-12-31 | 75.25% |
| 2015-12-31 | 43.53% |
| 2014-12-31 | 60.24% |
| 2013-12-31 | 136.35% |
| 2012-12-31 | 181.12% |
| 2011-12-31 | 231.17% |
| 2010-12-31 | 190.79% |
| 2009-12-31 | 106.50% |
| 2008-12-31 | 47.32% |
| 2007-12-31 | 77.57% |
| 2006-12-31 | 48.90% |
| 2005-12-31 | 60.18% |
| 2004-12-31 | 16.86% |
| 2003-12-31 | 0.38% |
| 2002-12-31 | 1.04% |
| 2001-12-31 | 1.12% |
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