Navan Announces Strong Second Quarter Fiscal Year 2027 Results

Navan Announces Strong Second Quarter Fiscal Year 2027 Results PALO ALTO, Calif.--( BUSINESS WIRE)--Navan, Inc. (NASDAQ: NAVN), the global AI-powered business travel and expense platform, today reported financial results for its second quarter ended July 31, 2026.

Management Commentary

“Q2 was another quarter of exceptional execution, with results exceeding expectations and new business momentum reaching the highest level in Navan’s history. We delivered strong growth with new signed GBV in our SLG business growing 60% year-over-year on a trailing-twelve-month basis to a record $4 billion. We believe our results reflect durable demand for face-to-face connection and the combined strength of our superior technology, go-to-market model, and differentiated customer experience,” said Ariel Cohen, Navan co-founder and CEO. “We are again raising our full-year outlook as we enter the second half in a position of growing strength. We are leading travel into the agentic era - combining proprietary AI with human expertise across the entire journey to advance our vision to build the best travel agency on the planet.”

“Q2 showcased our ability to deliver sustained growth while driving meaningful operating leverage. Revenue grew 35%, non-GAAP income from operations more than doubled, and we generated positive cash flow, underscoring the strong fundamentals and discipline of our business model,” said Aurélien Nolf, Navan CFO. “Total GBV grew 45% to more than $3 billion, reflecting strength from new customers, ramping cohorts, and expansion of our installed base. We believe our record signed demand provides good visibility into future growth, and we remain focused on expanding Navan’s opportunity as we leverage our proprietary AI to scale our platform more efficiently, which should strengthen our foundation for durable growth and cash flow generation.”

Second Quarter Fiscal Year 2027 Financial Highlights

Revenue

Gross Profit

Income (Loss) from Operations

Net Income (Loss)

Recent Business Highlights:

Acquired BoomPop: In a separate press release issued today, Navan announced that it has acquired BoomPop, an AI-native platform for meetings and events. The acquisition is expected to advance Navan’s strategy to power in-person connections and provide customers a single destination for travel, expense, payments, meetings and events.

Financial Outlook:

For the third quarter of fiscal year 2027 (ending October 31, 2026), Navan currently expects:

For the fiscal year 2027 (ending January 31, 2027), Navan increased its total revenue and non-GAAP operating outlook and reaffirmed its non-GAAP operating margin outlook as follows:

A reconciliation of non-GAAP guidance measures to corresponding GAAP measures is not available on a forward-looking basis without unreasonable effort due to the uncertainty of expenses that may be incurred in the future, although it is important to note that these factors could be material to Navan's results computed in accordance with GAAP.

Earnings Webcast:

Navan will host a conference call on Wednesday, September 9, 2026, at 2:00 p.m. Pacific Time (PT) to discuss the company’s second quarter fiscal 2027 financial results and its business outlook. To register for this conference call, please use this dial-in registration link. After registering, a confirmation email will be sent, including dial-in details and a unique code for entry. Participants who wish to register for the conference call webcast, please use this link or visit Navan's Investor Relations website at investors.navan.com.

Supplemental materials, including management’s prepared remarks and a slide presentation, will be available on Navan's Investor Relations website at investors.navan.com in advance of the call. An archived webcast of this conference call will also be available on Navan's Investor Relations website.

The company has used, and intends to continue to use, the investor relations portion of its website as a means of disclosing material non-public information and for complying with disclosure obligations under Regulation FD.

Non-GAAP Financial Measures:

Navan has provided in this press release supplemental financial information that has not been prepared in accordance with accounting principles generally accepted in the United States (GAAP), including references to non-GAAP gross profit, non-GAAP gross margin, non-GAAP income from operations, non-GAAP operating margin, non-GAAP net income (loss), non-GAAP net income (loss) per share, and free cash flow. Navan uses these non-GAAP financial measures internally in analyzing its financial results and believes that the disclosure of these non-GAAP financial measures is useful to investors as an additional tool to evaluate ongoing operating results and trends and because it allows for greater transparency with respect to key measures used by senior management in our financial and operational decision making. These non-GAAP financial measures, which may be different from similarly-titled measures used by other companies, are presented to enhance investors’ overall understanding of our operating performance and should not be considered substitutes for, or superior to, the financial information prepared and presented in accordance with GAAP.

We include these non-GAAP financial measures because they are important measures upon which our management assesses our operating performance and the operating leverage in our business. We believe that these non-GAAP financial measures are useful to investors because they provide useful information about our financial performance, consistency and comparability with past financial performance and may assist in comparisons with other companies in our industry, some of which use similar non-GAAP financial information to supplement their GAAP results.

Non-GAAP financial measures have limitations in their usefulness to investors and should not be considered in isolation or as substitutes for financial information presented under GAAP. Non-GAAP financial measures have no standardized meaning prescribed by GAAP and are not prepared under any comprehensive set of accounting rules or principles. In addition, other companies, including companies in our industry, may calculate similarly titled non-GAAP financial measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of our non-GAAP financial measures as tools for comparison.

A reconciliation of Navan’s historical non-GAAP financial measures presented in this press release to their most directly comparable GAAP measures has been provided in the financial statement tables included herein, and investors are encouraged to review the reconciliations.

Glossary of Terms:

Gross Booking Volume (GBV)

We define GBV as the total amount paid for valid bookings on our platform, measured on a booked basis and inclusive of total price, taxes, and fees, and adjusted for cancellations and refunds. We generate GBV through hotel, flight, car, and rail bookings, along with usage of our Meetings and Events, VIP, and Bleisure offerings by our customers. We expand GBV by growing our customer base, managing more business travel spend on our platform, and introducing new offerings to address different types of business travel.

Payment Volume

We define payment volume as the aggregate dollar amount of spend through Navan issued cards, settled for a given period and net of any chargebacks, cancellations, or refunds. Our payment volume grows as we increase adoption and usage of our Corporate Payments offering, where we support and issue our own cards.

New Signed GBV

Represents the estimated total annual travel spend available for revenue attach from newly acquired GBV once fully launched and ramped. Calculated based on a customer’s verified historical travel spend from the prior year, this forward-looking metric serves as a leading indicator of future platform volume.

Sales-Led Growth (SLG)

SLG represents our sales-led growth channel, in which qualified sales professionals actively identify, engage, and support prospective customers through the evaluation and purchasing process.

Forward-Looking Statements:

This press release and the related conference call contain express and implied “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding the performance of Navan’s business and ability to lead the travel industry into the agentic era by combining proprietary AI with human expertise, Navan’s financial results, including Navan’s anticipated total revenue, non-GAAP income from operations, and non-GAAP operating margin for the fiscal quarter ending October 31, 2026 and the fiscal year ending January 31, 2027, Navan’s liquidity and capital resources, the extent to which Navan’s signed demand provides visibility into future growth, the size of Navan’s market opportunity, market trends, the company’s business strategy, including with respect to organic and inorganic growth, its plans such as the Hilton co-creation initiative and expected benefits to be derived therefrom, and its ability to scale its platform and other non-historical statements. In some cases, you can identify forward-looking statements by terms such as “anticipate,” “believe,” “continue,” “estimate,” “expect,” “intend,” “may,” “plan,” “project,” “will,” or similar expressions. Such statements are subject to risks, uncertainties and other factors that may cause actual results to be materially different from any future results expressed or implied by the forward-looking statements. These include, but are not limited to: Navan’s limited operating history; the growth rate of the markets in which Navan competes; Navan’s ability to effectively manage and sustain its growth; Navan’s ability to compete with existing competitors and new market entrants; Navan’s ability to attract new customers and to renew and expand its relationships with current customers; adverse changes in relationships with third parties on which Navan depends; Navan’s ability to utilize AI successfully in its current and future products; disruptions or other business interruptions that affect the availability of Navan’s platform, including cybersecurity incidents; and general global market, political, economic, and business conditions, including those related to global macroeconomic conditions, actual or perceived instability in the banking sector, energy and other supply chain disruptions, a potential recession, inflation, interest rate volatility, and geopolitical uncertainty, including ongoing conflicts around the world. Additional risks and uncertainties that could cause actual outcomes and results to differ materially from those contemplated by the forward-looking statements contained herein are included in the “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” sections of Navan’s Annual Report on Form 10-K filed with the Securities and Exchange Commission (SEC) on April 2, 2026, as they may be updated by Navan’s subsequent filings with the SEC, including Navan’s Quarterly Report on Form 10-Q for the fiscal quarter ended July 31, 2026. Except as required by law, Navan undertakes no obligation, and does not intend, to update these forward-looking statements.

About Navan, Inc.:

Navan (NASDAQ: NAVN) is the global AI-powered business travel and expense platform that makes travel easy for travelers. From finding flights and hotels, to automating expense reconciliation, with 24/7 support along the way, Navan delivers an intuitive experience travelers love and finance teams rely on. See how Navan customers benefit and learn more at navan.com.

NAVAN, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except share and per share amounts)

(unaudited)

Three Months Ended July 31,

Six Months Ended July 31,

2026

2025

2026

2025

Revenue

232,790

171,952

453,021

329,413

Cost of revenue

60,321

46,915

117,497

92,583

Gross profit

172,469

125,037

335,524

236,830

Operating expenses

Research and development

47,214

33,358

86,612

64,760

Sales and marketing

104,593

68,496

196,508

130,376

General and administrative

48,404

35,440

98,255

69,845

Total operating expenses

200,211

137,294

381,375

264,981

Gain on sale of property and equipment

2,172

—

2,172

—

Loss from operations

(25,570

)

(12,257

)

(43,679

)

(28,151

)

Interest expense

(2,905

)

(15,635

)

(5,727

)

(31,971

)

Other income, net

2,191

580

3,418

6,699

Loss on extinguishment of debt

—

(20,528

)

Loss on fair value adjustments

—

(7,750

)

—

(17,886

)

Loss before income tax expense

(26,284

)

(35,062

)

(45,988

)

(91,837

)

Income tax expense

2,833

3,561

3,635

8,043

Net loss

(29,117

)

(38,623

)

(49,623

)

(99,880

)

Net loss per share attributable to common stockholders:

Basic and diluted net loss per share

(0.11

)

(0.83

)

(0.20

)

(2.15

)

Weighted-average shares outstanding used to compute net loss per share attributable to common stockholders

256,369,621

46,546,290

253,375,867

46,350,553

NAVAN, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED BALANCE SHEETS

(in thousands)

(unaudited)

As of

July 31, 2026

January 31, 2026

Assets

Current assets:

Cash and cash equivalents

653,015

583,516

Restricted cash, current

89,840

79,647

Short-term investments

167,029

156,994

Accounts receivable, net

212,476

215,941

Corporate card receivables, net

212,935

206,182

Contract acquisition costs, current

13,872

9,466

Prepaid expenses and other current assets

55,454

55,241

Total current assets

1,404,621

1,306,987

Restricted cash, non-current

5,603

4,911

Contract acquisition costs, non-current

41,853

29,177

Operating lease right-of-use assets

39,358

43,430

Property, equipment, and software, net

38,062

35,028

Intangible assets, net

17,684

19,274

Goodwill

236,793

241,309

Other non-current assets

27,094

28,645

Total assets

1,811,068

1,708,761

Liabilities and stockholders' equity

Current liabilities:

Accounts payable

56,792

65,939

Accrued expenses and other current liabilities

204,208

197,253

Notes payable, current

867

584

Operating lease liabilities, current

13,426

11,973

Deferred revenue, current

45,737

45,187

Total current liabilities

321,030

320,936

Operating lease liabilities, non-current

31,751

37,587

ABL facility

6,000

Warehouse credit facility

118,174

Notes payable, non-current

—

Other non-current liabilities

18,452

17,966

Total liabilities

495,407

500,700

Stockholders' equity

Preferred stock

—

Class A common stock

Class B common stock

—

Additional paid-in capital

3,390,753

3,226,427

Accumulated deficit

(2,064,766

)

(2,015,143

)

Accumulated other comprehensive loss

(10,328

)

(3,225

)

Total stockholders’ equity

1,315,661

1,208,061

Total liabilities and stockholders’ equity

1,811,068

1,708,761

NAVAN, INC. AND SUBSIDIARIES

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)

Three Months Ended July 31,

Six Months Ended July 31,

2026

2025

2026

2025

Cash flows from operating activities:

Net loss

(29,117

)

(38,623

)

(49,623

)

(99,880

)

Adjustments to reconcile net loss to net cash provided by operating activities

Stock-based compensation, net of amounts capitalized

41,857

18,649

79,169

35,909

Non-cash interest expense

498

7,693

945

17,634

Deferred income taxes

485

350

(401

)

350

Depreciation and amortization

5,901

6,278

11,622

12,209

Gain on sale of property and equipment

(2,172

)

—

(2,172

)

—

Amortization of contract acquisition costs

2,687

1,310

5,054

2,541

Provision for doubtful accounts

4,034

2,111

5,905

4,385

Loss on fair value adjustments

—

7,750

—

17,886

Debt issuance costs expensed related to SAFEs

—

2,913

Loss on extinguishment of debt

—

20,528

Other

(746

)

(286

)

(327

)

Changes in operating assets and liabilities:

Accounts receivable

10,155

(7,091

)

(3,575

)

(1,518

)

Prepaid expenses and other current assets

(3,090

)

(4,964

)

(570

)

(14,927

)

Contract acquisition costs

(15,708

)

(6,744

)

(22,136

)

(9,247

)

Other non-current assets

276

120

657

858

Accounts payable

(4,084

)

3,653

(4,858

)

2,933

Accrued expenses and other current liabilities

6,130

8,203

(3,267

)

6,844

Deferred revenue

4,815

2,495

2,903

5,858

Operating lease right-of-use asset and operating lease liabilities, net

(165

)

(311

)

(96

)

Other non-current liabilities

3,430

(1,090

)

(668

)

(69

)

Net cash provided by operating activities

25,186

233

18,388

4,784

Cash flows from investing activities:

Capitalized software development costs

(5,412

)

(4,280

)

(10,059

)

(8,207

)

Purchases of property and equipment

(923

)

(98

)

(1,028

)

(188

)

Purchases of investments

(51,888

)

—

(110,989

)

—

Maturities of investments

46,837

—

100,297

—

Proceeds from the sale of property and equipment

2,647

—

2,647

—

Change in corporate card receivables

13,369

(3,895

)

(4,967

)

(2,306

)

Other

—

(354

)

Net cash provided by (used in) investing activities

4,630

(8,209

)

(24,099

)

(11,055

)

Cash flows from financing activities:

Proceeds from stock option exercises

62,975

4,571

77,706

6,154

Proceeds from borrowings of debt

769

16,022

769

190,967

Proceeds from issuance of SAFEs

—

155,000

Payments of borrowings of debt

(226

)

(75,241

)

(519

)

(333,775

)

Payments for debt issuance costs

—

(10,985

)

Payments of deferred offering costs

(88

)

(755

)

(495

)

(755

)

Taxes collected from the settlement of equity awards

11,213

—

11,213

—

Payment of tax withholdings on equity awards

(437

)

—

(437

)

—

Net cash provided by (used in) financing activities

74,206

(55,403

)

88,237

6,606

Effect of exchange rate changes on cash, cash equivalents and restricted cash

(576

)

(175

)

(2,142

)

4,608

Net increase (decrease) in cash, cash equivalents and restricted cash

103,446

(63,554

)

80,384

4,943

Cash, cash equivalents and restricted cash, beginning of period

645,012

379,092

668,074

310,595

Cash, cash equivalents and restricted cash, end of period

748,458

315,538

748,458

315,538

Non-GAAP Gross Profit and Non-GAAP Gross Margin

Three Months Ended July 31,

Six Months Ended July 31,

2026

2025

2026

2025

(dollars in thousands)

GAAP gross profit

172,469

125,037

335,524

236,830

GAAP gross margin

Stock-based compensation-related charges

2,415

1,063

4,204

2,110

Amortization of intangible assets

—

Restructuring costs

144

—

344

—

Non-GAAP gross profit

175,028

126,122

340,072

239,025

Non-GAAP gross margin

Non-GAAP Income from Operations and Non-GAAP Operating Margin

Three Months Ended July 31,

Six Months Ended July 31,

2026

2025

2026

2025

(dollars in thousands)

GAAP loss from operations

(25,570

)

(12,257

)

(43,679

)

(28,151

)

GAAP operating margin

(11

(10

Stock-based compensation-related charges

43,300

19,337

81,198

36,597

Amortization of intangible assets

671

1,320

1,343

2,630

Severance and executive transition costs

377

—

1,796

—

Restructuring costs

654

—

2,408

—

Gain on sale of property and equipment

(2,172

)

—

(2,172

)

—

Non-GAAP income from operations

17,260

8,400

40,894

11,076

Non-GAAP operating margin

Non-GAAP Net Income (Loss) and Non-GAAP Net Income (Loss) Per Share

Three Months Ended July 31,

Six Months Ended July 31,

2026

2025

2026

2025

(in thousands, except share and per share amounts)

GAAP net loss

(29,117

)

(38,623

)

(49,623

)

(99,880

)

Stock-based compensation-related charges

43,300

19,337

81,198

36,597

Amortization of intangible assets

671

1,320

1,343

2,630

Severance and executive transition costs

377

—

1,796

—

Restructuring costs

654

—

2,408

—

Amortization of debt discount and debt issuance costs

477

1,550

954

2,984

Gain on sale of property and equipment

(2,172

)

—

(2,172

)

—

Loss on fair value adjustments

—

7,750

—

17,886

SAFE debt issuance costs expensed

—

2,913

Loss on extinguishment of debt

—

20,528

Non-GAAP provision for income taxes

(447

)

963

(579

)

1,567

Non-GAAP net income (loss)

13,743

(7,703

)

35,325

(14,775

)

GAAP net loss per share attributable to common stockholders, basic and diluted

(0.11

)

(0.83

)

(0.20

)

(2.15

)

Weighted-average shares outstanding used to compute GAAP net loss per share attributable to common stockholders, basic and diluted

256,369,621

46,546,290

253,375,867

46,350,553

Non-GAAP net income (loss) per share attributable to common stockholders, basic

0.05

(0.17

)

0.14

(0.32

)

Weighted-average shares outstanding used to compute non-GAAP net income (loss) per share attributable to common stockholders, basic

256,369,621

46,546,290

253,375,867

46,350,553

Non-GAAP net income (loss) per share attributable to common stockholders, diluted

0.05

(0.17

)

0.13

(0.32

)

Weighted-average shares outstanding used to compute GAAP net loss per share attributable to common stockholders, basic and diluted

256,369,621

46,546,290

253,375,867

46,350,553

Add: Effect of potentially dilutive common stock equivalents

17,469,534

—

9,685,288

—

Weighted-average shares outstanding used to compute non-GAAP net income (loss) per share attributable to common stockholders, diluted

273,839,155

46,546,290

263,061,155

46,350,553

Free Cash Flow

Three Months Ended July 31,

Six Months Ended July 31,

2026

2025

2026

2025

(in thousands)

Net cash provided by operating activities

25,186

233

18,388

4,784

Less: Capitalized software development costs

(5,412

)

(4,280

)

(10,059

)

(8,207

)

Net capital expenditures

1,724

(98

)

1,619

(188

)

Free cash flow

21,498

(4,145

)

9,948

(3,611

)