Nanoco has reported strong 1H26 results showing the expected increase in revenue and EBITDA, reflecting the one-off licence fee income previously announced in relation to the settlement reached with LG Electronics. The underlying result is in-line with our previous expectations. In 2H26E we are now including the benefit for cost reductions, leading to a 6.3% increase in our FY26E adjusted EBITDA and 15.1% increase in our net cash. We are reinstating a target price at 7.3p, and a Buy rating.