Abstract

Tanger Factory Outlet Centers will release its quarterly results on February 24, 2026 Post Market; this preview consolidates current-quarter forecasts, last-quarter actuals, and institutional commentary to frame revenue, margins, and adjusted EPS expectations alongside segment dynamics and consensus tone.

Market Forecast

Consensus projections for the current quarter indicate Tanger Factory Outlet Centers’ revenue of $143.42 million, an estimated year-over-year increase of 10.93%, with EBIT forecast at $47.54 million (up 23.06% year-over-year) and adjusted EPS estimated at $0.33 (up 66.63% year-over-year). The company’s gross profit margin, net profit margin, and net profit attributable to the parent will be judged relative to its recent baseline, with investors watching whether margin discipline sustains against a selective leasing environment. Leasing remains the primary driver and is projected to continue as the core revenue pillar, while management, leasing and other services provide incremental diversification; the strongest near-term growth potential sits within base and variable rent momentum, supported by recent occupancy and rate execution.

Last Quarter Review

Tanger Factory Outlet Centers reported last quarter revenue of $145.21 million, a gross profit margin of 70.68%, GAAP net profit attributable to the parent of $32.03 million, a net profit margin of 21.43%, and adjusted EPS of $0.28, up 27.27% year-over-year. The company outperformed revenue expectations by $7.97 million, while EBIT of $45.68 million tracked below the earlier estimate; adjusted EPS came in below consensus, reflecting expense timing and balance between rent growth and operating costs. Main business highlights included leasing revenue of $137.23 million with solid year-over-year expansion, supported by stable demand for outlet space and positive contribution from “other” revenue of $5.48 million; management, leasing and other services added $2.51 million, underpinning ancillary income momentum.

Current Quarter Outlook

Leasing Revenue and Core Portfolio Performance

Leasing is the central revenue engine for Tanger Factory Outlet Centers, and this quarter’s stock narrative hinges on rent growth, occupancy resilience, and tenant mix quality. With the last quarter’s revenue beat anchored by leasing, investors will monitor both renewal spreads and new deal economics to assess the durability of the forecasted $143.42 million revenue profile. The prior gross margin baseline at 70.68% provides a strong platform; sustaining margins will depend on utility control, property operating expense efficiency, and the balance between promotional leasing and long-term rate integrity. A key watch point is whether leasing volumes normalize after a strong prior period, which could modestly temper sequential revenue while still supporting the double-digit year-over-year growth profile embedded in consensus. If occupancy holds near recent levels, leasing should continue to underpin predictable cash flows, with variable rent elements and participation agreements offering potential upside in higher-traffic centers.

Most Promising Segment: Rent Growth and Variable Components

The most promising business driver remains rent growth tied to base rent escalators and variable rent tied to tenant sales performance. This component captures the operational leverage inherent in Tanger Factory Outlet Centers’ model, where improved tenant sales can translate into incremental rent, supporting EBIT growth of 23.06% year-over-year. The company’s last quarter leasing revenue of $137.23 million demonstrates the scale of the base from which variable rent can compound, especially when foot traffic trends are favorable. A focus on merchandising improvements, targeted renovations, and curated tenant rotations could enhance sales productivity, creating a positive feedback loop for rent participation and renewal spreads. If variable rent outperforms, adjusted EPS of $0.33 could see upside against consensus; however, the sensitivity to broader consumer discretionary trends requires careful monitoring of center-level sales cadence through the quarter.

Factors Most Impacting the Stock Price This Quarter

The stock’s performance will hinge on the interplay between margin preservation and revenue mix, particularly how the company balances property operating expenses against rent growth to defend the 70.68% gross margin baseline. Another pivotal factor is the cadence of leasing wins and renewals, as investors will parse disclosure on spreads and occupancy to validate the forecasted revenue and EBIT trajectory. Finally, adjusted EPS delivery relative to the $0.33 estimate will be a central catalyst: consensus anticipates 66.63% year-over-year growth, and even modest variance can drive outsize price reactions given last quarter’s EPS undershoot versus estimates. Upside catalysts include stronger-than-expected rent participation from high-traffic centers and disciplined cost management; downside sensitivities include uneven tenant sales or heightened operating costs that pressure net profit margin from the 21.43% baseline.

Analyst Opinions

Analyst commentary collected over the recent period is predominantly bullish, with the majority view expecting Tanger Factory Outlet Centers to meet or modestly exceed revenue and EBIT forecasts while maintaining healthy occupancy. Several institutions highlight the company’s stable leasing foundation and incremental upside from variable rent mechanisms as supportive of the 10.93% year-over-year revenue growth expectation. Analysts point to the last quarter’s revenue surprise and solid EBIT base of $45.68 million as evidence of operational momentum, while acknowledging the prior EPS shortfall as a watch item rather than a structural concern. In this context, the consensus bias is constructive: revenue visibility remains robust, the EBIT growth forecast of 23.06% year-over-year appears attainable with stable center performance, and adjusted EPS of $0.33 is viewed as reasonable with potential for limited upside if operating expenses are contained. The prevailing view suggests investors should focus on leasing disclosures, center-level sales indicators, and expense control commentary as the key signals for whether Tanger Factory Outlet Centers can extend its margin and earnings trajectory through the current quarter.