No end in sight TCL posted another solid result, with 1H15 proportional EBITDA up 37% on the pcp on the back of new assets, ongoing growth across its northern Sydney assets and a solid contribution from CityLink. Management increased FY15 DPS guidance to 39.5cps (from 39cps) and with portfolio assets performing ahead of expectations, and more cost levers to pull, we see upside to market estimates in FY16 and FY17. Minor changes to forecasts see FY15F EBITDA up 1% to A$1,281m while DPS forecast increase in line with guidance. With an attractive mix of yield and growth, TCL remains our top pick in the transport infrastructure space. Maintain Add; TP A$9.46 (from A$9.26) DCF-basis.
TCL Price at posting:
$9.23 Sentiment: Hold Disclosure: Held
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