Taipei: Taiwan Semiconductor Manufacturing Co, the world’s largest contract chipmaker and a major supplier to Apple Inc, said its quarterly profits were hit by a strong local currency and cautioned it expected this trend to continue. Net profit hit T$87.63 billion (Dh10.6 billion, $2.90 billion) for the quarter, traditionally a weak period for the tech sector after the year-end sales rush. TSMC expects the Taiwan dollar to appreciate by 2.1 per cent in the second quarter, dragging its revenue down by the same rate over the period and reducing its gross margin and operating margin by about 85 basis points, Chief Financial Officer Lora Ho said at an earnings conference on Thursday.