Interims saw AB Dynamic’s (ABD) revenue growth accelerate to 39%, comfortably beating our forecast. While the benefit to profits was offset by higher than expected opex in 1H, most of the cost overrun was due to fx and relocation expenses. Consequently, we lift our FY18E and FY19E profit forecasts by 5% and 7% respectively. With the company also “hopeful” of signing its first aVDS customer, and growth underpinned by carmakers’ rising R&D investment into autonomous driving, long term prospects look excellent.