Taiwan Semiconductor Manufacturing Co. reported a 20% jump in quarterly sales, as the company raced to meet demand for chips from the automotive and other industries.

Sales for the quarter ended in June came in at NT$372.1 billion ($13.3 billion), in line with the average analyst estimate of NT$371.3 billion. Revenue for June was NT$148.5 billion, up 23% from a year ago.

TSMC’s better pricing power on the back of the capacity tightness should largely offset the margin pressure it is seeing from the massive capex spending. Meanwhile, TSMC’s technology/productivity breakthrough in EUV should enlarge its technology gap with peers and insure a better cost structure for leading edge technology nodes,” Citi analysts Roland Shu and Grant Chi wrote in a recent note.

Earlier this week, Daimler AG and Jaguar Land Rover warned that sales will be further curtailed by the persistent chip shortage, with the latter saying deliveries in the second quarter will be 50% worse than initially thought. United Microelectronics Corp., a smaller rival to TSMC, said Wednesday that chip demand could continue to outpace supply until 2023.