KANSAS CITY, Mo. -- Jason Vargas continues to exceed expectations.

Vargas worked seven strong innings and Alcides Escobar had three hits and scored two runs as the Kansas City Royals edged the Toronto Blue Jays 3-2 on Saturday afternoon.

Vargas (11-3), who leads the majors in wins, gave up two runs on eight hits. He walked none and struck out two.

"He was very impressive," Royals manager Ned Yost said. "He had everything working. He went out and pitched a great game."

Yost said the team "feels really good" when Vargas takes the mound.

"The way he can command that changeup, it's a tough, tough pitch," Yost said. "You see a lot of way-out front swings on it. Very seldom will he make a mistake on it."

Troy Tulowitzki homered off former Long Beach State teammate Vargas to give the Blue Jays a 1-0 lead in the second inning. It was his third home run of the season and gave him seven RBIs in 24 games since coming off the disabled list.

The Royals tied it in the third when Escobar tripled to lead off the inning. Right fielder Jose Bautista and center fielder Kevin Pillar ran into each other as the ball dropped behind them.

Escobar scored on Whit Merrifield's sacrifice fly to shallow left, sliding in just ahead of Steve Pearce's throw. The Blue Jays challenged the call, but umpire Joe West's safe call was not overturned after a 2-minute, 16-second delay.

Eric Hosmer homered, his ninth, to start the fourth inning and put Kansas City up a run.

Vargas had a runner on base every inning before working a 1-2-3 sixth. Pillar and Darwin Barney singled leading off Toronto's fifth, but Luke Maile popped up a sacrifice bunt attempt that Salvador Perez caught. Bautista rolled into a double play to end the inning.

The Blue Jays tied it in top of the seventh when Pillar homered with two out.

The Royals regained the lead in the bottom of the inning when Alex Gordon's first triple of the year scored Escobar.

"Scored two runs, two solo home runs," Blue Jays manager John Gibbons said. "That's the frustrating part of this. We need to pick it up; you know right now we're going a little bit backwards. We climbed close. We don't want to go that other direction."

Marco Estrada (4-6) took the loss, giving up three runs on five hits and four walks before being pulled after 117 pitches and seven innings.

"Vargas, he's been tough this year," Estrada said. "These things are going to happen, so, yeah, I felt pretty good out there. I was relaxed and made a lot of good pitches, but we still lost."

Kelvin Herrera picked up his 18th save, working around a two-out single to Tulowitzki and striking out two.

The Royals moved to 37-36, their first time above .500 this year after losing 20 of their first 30 games.

"I didn't realize that," Vargas said. "It's great. Hopefully we just keep stringing them together and keep pushing ourselves further and further over that mark."

The Blue Jays (35-39) dropped to four games below .500.

"It was nice to see Marco pitch well," Tulowitzki said. "I think he's definitely headed in the right direction. Bottom line, try to win a game tomorrow and go back home. I think we have only one road series before the All-Star break. Play good at home and get ourselves back into this thing."

NOTES: LF Steve Pearce returned to the Blue Jays lineup after being sidelined the previous two days with a bruised right knee. ... Closer Roberto Osuna is dealing with anxiety and was unavailable to pitch Friday when the Blue Jays' bullpen allowed four runs with two out in the ninth in a 5-4 loss. ... Royals manager Ned Yost said LHP Danny Duffy would make three minor league rehab starts -- the first one was Saturday night with a 45-pitch three inning maximum with Triple-A Omaha. Duffy is on the disabled list with an oblique strain. ... RHP Josh Staumont, the Royals' top pitching prospect, walked six in 1 1/3 innings in the Storm Chasers' loss Friday to Memphis. ... Blue Jays LHP Francisco Liriano and Royals RHP Jason Hammel are the Sunday probables for the series finale.