Taiwan Semiconductor Manufacturing Company (TSM, 2330.TW), the world’s largest contract chipmaker, posted a sharp rise in first-quarter profits, bolstered by growing demand for AI chips.
Net income jumped 60.3% to NT$361.56bn (£8.4bn), outpacing analyst expectations and reinforcing TSMC’s position as a bellwether for the global semiconductor industry. The bullish outlook comes despite market concerns about a slowdown due to tightening US chip export controls.
TSMC's CEO insisted there had been no change in behaviour from customers since the start of US president Donald Trump’s tariff war as it left its profit forecasts unchanged.
CC Wei said the company would “continue to closely monitor the potential impact to the market demand” but said the business was enjoying “robust demand from our customers”.
Chief financial officer Wendell Huang said TSMC planned to spend between $38bn and $42bn on capital investment this year. For the second quarter, the group forecast revenue between $28.4bn and $29.2bn — significantly ahead of the $20.8bn reported in the same period a year earlier.
Amid heightened US-China trade tensions, TSMC's revenue from China slipped to 7% of total sales, down from 9% a year ago. North America accounted for 77%, up from 69%.
Ben Barringer, global technology analyst at Quilter Cheviot, said: “For TSMC it is very much a case of keep calm and carry on. It’s latest set of figures highlight a very resilient business in the face of significant tariff threats for the semiconductor industry. Revenues grew by 35%, while margins remained very robust. Much of the demand continues to come from artificial intelligence and this shows no sign of abating."
Deliveroo (ROO.L) reported a pickup in order volumes in the first quarter but struggled to add new customers in the UK and Ireland.
Orders rose 7% year on year, slightly faster than the 6% growth seen at the end of 2024. Gross transaction value — a measure of basket size and delivery fees — climbed 9%.
Founder and chief executive Will Shu described the quarter as a “strong start”, adding: “We continue to have confidence in delivering our guidance for 2025 whilst, like many others, remaining mindful of the uncertain macroeconomic environment.”
Monthly active customers in the UK and Ireland stood at 4 million, flat compared to the same quarter last year and slightly below the 4.1 million recorded at the end of 2024.
Read more: Oil prices rise as US issues new Iran sanctions
Adam Vettese, market analyst at Etoro, said: "Macroeconomic conditions still carry a degree of uncertainty, and when times are tough, splashing out on a Saturday night takeaway might not fit into the household budget anymore. That said, Deliveroo has other verticals such as grocery deliveries to offset some of that risk.
"Shares have reacted better this morning than they did a month ago, but are still offside for the year. Investors will be hoping for more of the same, if not better, as the year goes on, with the aim of seeing the share price regain some ground lost at the back end of last year."
Shares in the carmaker were just above the flatline after reports emerged that the automaker may raise prices on vehicles built from May onwards unless the US rolls back tariffs introduced under Trump.
Ford (F) has privately warned American policymakers that it will be forced to drastically raise prices if the 25% tariffs against the sector remain in place, according to Automotive News.
In a memo to dealers, Andrew Frick, head of Ford Blue, said: “In the absence of material changes to the tariff policy as articulated to date, we anticipate the need to make vehicle pricing adjustments in the future, which is expected to happen with May production.”
Read more: Stocks that are trending today
Current stock at Ford and Lincoln dealerships will remain unaffected by any price increases.
An analysis by the Center for Automotive Research estimated that the duties introduced on 3 April would increase costs for US automakers by $108bn (£81bn) this year.
Sainsbury's, the UK’s second largest supermarket group after Tesco (TSCO.L), has reported a 7.2% rise in annual profit but forecast little or no growth in its new financial year as it faces a step up in competition.
Retail underlying operating profit for the year to March 1 came in at £1.036bn, broadly in line with expectations. For 2025/26, the group is guiding for a figure of “around” £1bn — below analysts’ previous forecast of £1.08bn.
"We are committed, above all else, to sustaining the strong competitive position we have built," CEO Simon Roberts said.
The group expected to continue to grow grocery volumes ahead of the market, and had started the year with "good trading momentum", it said.
Read more: FTSE 100 LIVE: Stocks head lower as traders await ECB interest rate decision
Group sales rose 4.2% to £26.6bn, driven by the Sainsbury’s chain, although Argos sales fell 2.7% to £4.9bn, falling short of forecasts. Pre-tax profits jumped 38.6% to £384m, though underlying profit of £1bn excluded one-off items, including restructuring costs tied to café and hot food counter closures.
Mark Crouch, market analyst at investment platform Etoro, said: "After putting the majority of its eggs back in the grocery basket, Sainsbury’s renewed focus on what made it a dominant supermarket force has largely paid off. However, sticky inflation and a brutal price war are beginning to test the retailer’s resilience.
"Despite achieving record market share in 2024, early signs in 2025 suggest that grip may be starting to loosen, with budget rivals like Aldi and Lidl hoovering up any cost-conscious customers — and there’s no shortage of them."
BP heads into its annual general meeting this Thursday in London under pressure from shareholders, with activist hedge fund Elliott Management and climate-conscious investors calling for a vote against chairman Helge Lund.
Elliott, which has amassed a near-5% stake in BP, is pushing for board changes after the company’s shares lagged behind rivals. BP stock is down 18% year to date, compared to Shell’s (SHEL.L) 13% drop and more modest declines of 4%–6% at ExxonMobil (XOM) and Chevron (CVX).
CEO Murray Auchincloss and chairman Lund supported previous chief Bernard Looney's 2020 plan to slash BP's oil and gas output by 40% this decade and invest heavily in renewables.
Stocks: Create your watchlist and portfolio
In a bid to regain investor confidence, Auchincloss, who was finance chief under Looney, in February announced BP would completely abandon the plan and renew its focus on oil and gas.
Asset manager Legal & General (LGEN.L), a leading shareholder in BP with a roughly 1% stake, said it intends to vote against Lund's re-election today.
Global Witness said BP’s scrapping of its 2030 interim target to reduce production is estimated to cause 72,000 additional heat deaths by the end of this century driven by increased emissions from burning more oil and gas.
Other companies in the news on Thursday 17 April
Dunelm Group (DNLM.L)
Ninety One (N91.L)
Rentokil Initial (RTO.L)
American Express (AXP)
Charles Schwab (SCHW)
BHP (BHP.L)
China Mobile (0941.HK)
China Unicom (0762.HK)
Hermès (RMS.PA)
L’Oréal (OR.PA)
UBS (UBSG.SW)
Pernod Ricard (RI.PA)
Bankinter (BKT.MC)
Blackstone (BX)
Fifth Third Bancorp (FITB)
Read more:
Download the Yahoo Finance app, available for Apple and Android.
