TSMC, the world's largest chip producer, is set to release its full earnings report on Thursday, and once again, expectations are sky-high. This isn't surprising for a company which surged 85% since the start of the year and gained 112% from the same period last year.

The upward trend was confirmed in its latest revenue report for September, which highlighted the company's continued success in capitalizing on the high demand for artificial intelligence (AI). According to recent data, TSMC's profits between July and September reached $23.5 billion, surpassing the market's expectations of $23 billion. In September alone, TSMC reported a 39.6% year-on-year increase, reaching $7.8 billion.

Building on the latest numbers, projections suggest that now TSMC will post a net profit of around $9.27 billion for the quarter ending September 30. It will also be crucial to watch for updates on its outlook for the rest of the year as the company races to expand production. Currently, the use of chips and AI is booming across sectors such as military, industrial, financial, educational, and, of course, technological, all of which translates into higher earnings for the Taiwanese company.

Considering that TSMC's clients, like Nvidia, continue to demand materials for chip production and that Nvidia has reached a market capitalization of $3.4 trillion, we can anticipate substantial benefits for TSMC in this upcoming report and beyond. With a current market capitalization of $996.81 billion, it seems TSMC is well-positioned to surpass the $1 trillion mark and solidify its place at the top of the semiconductor market.