- Core FFO Growth: Q4 core FFO was $0.63/share (+7.17% YoY), with full-year growth of 9% to $2.33/share.
- Leasing Performance: Annual leasing volume exceeded 3 million sq. ft., occupancy reached 98.1% (+70 bps sequentially).
- Tenant Sales Productivity: $473/sq. ft. (up 7% YoY), with OCR at 9.7% for growth runway.
- Balance Sheet Strength: Post-year-end transactions addressed bond maturities, strengthening liquidity and mitigating refinancing costs.
- 2026 Guidance: Core FFO projected at $2.41–$2.49/share (+5% midpoint YoY), with same-center NOI growth of 2.25–4.25%.
Financial Performance and Guidance
The company's strong performance was attributed to focused execution across its business, including accretive integration of recent acquisitions and disciplined expense management. Tanger Inc. guided for core FFO per share in the range of $2.41 to $2.49 for 2026, representing a growth of over 5% at the midpoint. The company also expects same-center NOI growth in the range of 2.25% to 4.25%. As Michael Jason Bilerman noted, "We delivered core FFO of $0.63 per share in the fourth quarter, representing a 16.7% increase compared to the $0.54 per share in the prior year period."
Valuation and Growth Prospects
Analysts estimate next year's revenue growth at 6.1%. Tanger Inc.'s current valuation metrics include a P/E Ratio of 36.78, P/B Ratio of 5.74, and EV/EBITDA of 18.88. The company's Dividend Yield stands at 3.11%, and its ROE is 16.95%. With a strong track record of growth and a well-positioned balance sheet, Tanger Inc. is poised for continued growth in the outlet and lifestyle center segments.
Operational Highlights
The company is focused on retenanting its existing portfolio, with a strategy to renew certain tenants and replace others to increase the utility of its properties. Tanger Inc. is also enhancing its digital marketing and local marketing initiatives to drive traffic to its centers. The company's loyalty program is designed to reward customers with digital discounts and attribution to track customer behavior.
Outlook and Conclusion
Tanger Inc.'s guidance for 2026 contemplates a range of credit scenarios, including normal credit reserves and a watch list that remains at manageable levels. The company's pipeline for acquisitions remains active, and it is focused on assets where it can create value. With a competitive advantage in the outlet and open-air lifestyle center segments, Tanger Inc. is well-positioned for continued growth and returns for shareholders.