First Impression: Transurban Group (TCL) 1H17

EBITDA margin at the Group level was 74.7% (forecast 75.3%), up 1.0% pts from 1H16; underperformance compared to expectations was largely in Brisbane | Average daily traffic (ADT) growth across the portfolio :4.8% | Portfolio Performance: Sydney (40.7% toll rev contribution)- traffic growth continues. ADT growth 3.4% Toll Revenue Growth 8.8% and EBITDA growth 10.4% | Melbourne (31.9% toll rev contribution)—ADT decline 0.7%(but weekend/holiday traffic up 0.9%), Revenue Growth 2.7%, and EBITDA growth 2.5% | Brisbane (18.2% toll rev contribution)- ADT growth 19.4%, toll revenue growth 31.6% and EBITDA growth 39.6% | Greater Washington area (9.2% toll rev contribution)- ADT growth 11.5%, Revenue Growth 21.2% and EBITDA growth 53.1%