Today’s Q3 KPI update marks a clear inflection point as automotive production volumes grew +122% sequentially to 1.3m units, already covering more than half of the 2.2m H2 units our forecasts require. Additionally, Q3 exceeded the whole of H1 in near-100% gross margin royalty revenue. With EU General Safety Regulation mandating driver monitoring in all new EU vehicles from July 2026, Q3’s growth is just the beginning, suggesting our forecast look conservative. We retain our BUY and 8.6p TP, implying 107% upside, reflecting a high-conviction, step-change growth opportunity with catalysts from upcoming quarterly KPI updates.
