Taiwan chip foundry Vanguard International Semiconductor posted stronger August sales, a good sign for the AI-driven chip supply chain.

• August revenue rose 8.2% from the month before and 40% from a year earlier, on higher wafer shipments.
• Sales for the first eight months are up 18% from last year.
• Demand for AI server chips and power management chips keeps growing.
• Limited factory capacity is the main brake, so shipments this quarter should rise only slightly.
• Prices per wafer are heading up, which should push profit margins into the low-to-mid 30s.

Outlook: Growth should continue into the fall, but capacity limits — not demand — will cap how fast.