TSMC raises Q1 outlook, margin targets on higher chip demand

TAIPEI, March 12 (Reuters) - Taiwan Semiconductor Manufacturing Co Ltd, the world's largest contract chipmaker, raised its first-quarter revenue target to T$147 billion ($4.85 billion) due to rising customer demand, Chief Financial Officer Lora Ho said in a statement.

The company had previously set a revenue target of T$136 to T$138 billion.

TSMC also raised its target for gross profit margin to 47 percent from 44.5-46.5 percent, and its operating margin target to 35 percent from 32-34 percent.

TSMC competes with Intel Corp and Samsung Electronics Co Ltd. It had painted a bright outlook for its 2014 business, driven by mobile devices and improved margins from its more advanced chips.