Tanger (SKT) Q3 2024 earnings summary

Executive summary

• Delivered strong Q3 2024 results with Core FFO up 8% year-over-year to $0.54 per share, driven by higher rents, new retailers, and operational efficiency.

• Achieved 11 consecutive quarters of positive rent spreads and raised full-year 2024 guidance, with portfolio occupancy at 97.4%.

• Expanded portfolio with new centers in Nashville, Asheville, and Huntsville, and continued to diversify tenant mix and enhance shopper experience.

• Maintained a strong balance sheet and liquidity, with no significant debt maturities until late 2026.

• Responded effectively to hurricanes with minimal impact and strong community support.

Financial highlights

• Q3 2024 FFO per share was $0.54, up from $0.50 in Q3 2023; net income for Q3 2024 was $25.9M on $133M revenue.

• Same Center NOI increased 4.3% in Q3 2024 and 5.8% for the first nine months year-over-year.

• Portfolio occupancy at 97.4% as of September 30, 2024; average tenant sales per square foot at $438.

• Leasing team executed 543 leases totaling 2.6 million sq ft over the trailing 12 months, with blended rent spreads up 14.4%.

• Q3 2024 Adjusted EBITDA was $76.8M, up from $63.5M in Q3 2023.

Outlook and guidance

• Raised 2024 Core FFO per share guidance to $2.09–$2.13 and net income per share to $0.88–$0.92.

• Same Center NOI growth expected at 4.25%–5.00% for 2024.

• General and administrative expense (excluding severance): $75.5M–$78.5M; interest expense: $60.0M–$61.0M.

• Annual recurring capital expenditures, renovations, and tenant allowances: $55M–$60M.

• 72.5% of 2024 expiring space already renewed or in process as of September 30, 2024.