Press Release: Navan Announces Third Quarter Fiscal Year 2026 Results

Dow Jones12-16 05:05

Third quarter revenue grew 29% year-over-year to $195 million

Amy Butte will depart as Chief Financial Officer, effective January 9, 2026

PALO ALTO, Calif.--(BUSINESS WIRE)--December 15, 2025-- 

Navan, Inc. $(NAVN)$, the leading all-in-one business travel, payments, and expense management platform, today reported financial results for its third quarter ended October 31, 2025.

Management Commentary:

"Q3 was a strong debut quarter as a public company for Navan. All parts of the business performed well, highlighted by continued momentum in the enterprise market and new highs in customer satisfaction, with CSAT at 97% and NPS at 45," said Navan co-founder and CEO, Ariel Cohen. "Our end-to-end AI-first platform is clearly resonating with customers in the massive business travel and expense market. With access to an extremely wide range of travel inventory, a leading consumer-grade user interface, and AI-powered booking and customer support, everyone in the travel ecosystem benefits -- users, customers, and suppliers. I'm pleased with our team's execution across product, customer success, and go-to-market. At the same time, we are making great progress on innovation, building the next generation of Navan. I've never been more optimistic about the opportunity ahead as we pursue our mission to make travel easy for every frequent traveler."

"Navan delivered a strong third quarter, and we're encouraged by the combination of revenue growth and increased operating margin that we achieved," said Amy Butte, Navan CFO. "We were able to deliver 29% revenue growth year-over-year in Q3, and 870 basis points of non-GAAP operating margin expansion. These results demonstrate our differentiated product and effective execution. We did not see a material impact to our business from travel disruptions related to the government shutdown in October and early November, and we continue to see strong demand in the corporate travel and expense market. As a reminder, we are a seasonal business. While we are reporting Q3 today, which is our seasonally strongest quarter, when we think about our business we think about it annually over an entire fiscal year."

Third Quarter Fiscal Year 2026 Financial Highlights:

Revenue

   -- Total Revenue was $195 million, an increase of 29% year-over-year. 
 
          -- Usage revenue was $180 million, an increase of 29% year-over-year. 
 
          -- Subscription revenue was $15 million, an increase of 26% 
             year-over-year. 
 
          -- Gross Booking Volume ("GBV") grew 40% year-over-year, to $2.6 
             billion in the quarter. 
 
          -- Payment Volume grew 12% year-over-year, to $1.1 billion in the 
             quarter. 

Gross Profit

   -- GAAP gross profit reached $138 million, representing 71% gross margin, 
      compared to $107 million, or 71% gross margin in the third quarter of 
      fiscal year 2025. 
 
   -- Non-GAAP gross profit was $144 million, representing 74% non-GAAP gross 
      margin, compared to $108 million, or 72% non-GAAP gross margin in the 
      third quarter of fiscal year 2025. 

Income (Loss) from Operations

   -- GAAP loss from operations was ($79 million), compared to a loss from 
      operations of ($19 million) in the third quarter of fiscal year 2025; 
      GAAP operating margin was (41%), compared to (13%) in the third quarter 
      of fiscal year 2025. 
 
   -- Non-GAAP income from operations was $25 million, compared to non-GAAP 
      income from operations of $6 million in the third quarter of fiscal year 
      2025; non-GAAP operating margin was 13%, compared to 4% in the third 
      quarter of fiscal year 2025. 

Net Income (Loss)

   -- GAAP net loss was ($225 million), compared to a net loss of ($42 million) 
      in the third quarter of fiscal year 2025. 
 
   -- Non-GAAP net income was $9 million, compared to a non-GAAP net loss of 
      ($14 million) in the third quarter of fiscal year 2025. 

Recent Business Highlights:

   -- Strong enterprise momentum including closing the second largest European 
      deal in company history with a CAC40 company, alongside deals with 
      Frasers Group and Axel Springer. 
 
   -- Forrester released a Total Economic Impact$(TM)$ study on Navan with some 
      incredible results: 16% saved on travel spend annually, 70% less time 
      spent by employees on travel booking, 5 minutes average travel booking 
      time and 376% ROI with Navan over three years. 
 
   -- Upgraded Ava model including new reasoning for FAQs and general travel 
      knowledge, now deflecting over 54% of all interactions in November 2025. 
 
   -- Continued NDC leadership: Emirates NDC is now live and Qantas NDC has 
      moved to a direct connect while upgrading to the newest standards in the 
      industry. 
 
   -- Launched innovative new guided multi-city flight itinerary shopping flow 
      with better pricing through Navan Fare Choice, mixed provider 
      capabilities, and guideposts for shoppers to select optimal fare 
      combinations. 

Chief Financial Officer Transition:

The company also announced that Amy Butte will depart as Chief Financial Officer, effective January 9, 2026. Ms. Butte will help support a seamless leadership transition and will continue to serve as a strategic advisor to Navan while the Board conducts its search for the company's next CFO. Anne Giviskos, the current SVP, Strategic Finance and Chief Accounting Officer, will assume the role of Interim CFO.

"I want to thank Amy for her contributions to Navan during an important chapter in our company's history. As she did for the New York Stock Exchange, Amy played a critical role in building out our finance organization and readying our company for the public markets. With our listing now complete and momentum underway across the business, it was the right time for her to move on to her next opportunity. We wish her the best," said Ariel Cohen, co-founder and CEO of Navan.

"I am pleased to have achieved my goals at Navan, including helping to complete Navan's IPO, and wish the company and its leadership team continued success," Ms. Butte said.

Financial Outlook:

For the fourth quarter of fiscal year 2026 (ending January 31, 2026), Navan currently expects:

   -- Total revenue in the range of $161 - $163 million, representing 
      year-over-year growth of 23% at the midpoint. 
 
   -- Non-GAAP loss from operations in the range of ($15.5) - ($14.5) million 
      and non-GAAP operating margin of (9%) at the midpoint. 

For the fiscal year 2026 (ending January 31, 2026), Navan currently expects:

   -- Total revenue in the range of $685 - $687 million, representing 
      year-over-year growth of 28% at the midpoint. 
 
   -- Non-GAAP income from operations of $21 - $22 million and non-GAAP 
      operating margin of 3% at the midpoint. 

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 Monday December 15, 2025 at 4:30 p.m. Eastern Time $(ET)$ to discuss the company's third quarter fiscal 2026 financial results and its business outlook. To register for this conference call, please use this dial in registration link or visit Navan's Investor Relations website at investors.navan.com. 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.

An archived webcast of this conference call will also be available on Navan's Investor Relations website at investors.navan.com.

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 (loss) 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.

   -- Non-GAAP Gross Profit and Non-GAAP Gross Margin. Navan defines non-GAAP 
      gross profit as GAAP gross profit, excluding stock-based 
      compensation-related charges and amortization of intangible assets. Navan 
      defines non-GAAP gross margin as non-GAAP gross profit divided by 
      revenue. 
   -- Non-GAAP Income (Loss) from Operations and Non-GAAP Operating Margin. 
      Navan defines non-GAAP income (loss) from operations as GAAP loss from 
      operations, excluding stock-based compensation-related charges and 
      amortization of intangible assets. Navan defines non-GAAP operating 
      margin as non-GAAP income (loss) from operations divided by revenue. 
   -- Non-GAAP Net Income (Loss). Navan defines non-GAAP net income (loss) as 
      GAAP net loss, excluding stock-based compensation-related charges, 
      amortization of intangible assets, amortization of debt discount and debt 
      issuance costs, loss (gain) on fair value adjustments, SAFE debt issuance 
      costs expensed, and loss on extinguishment of debt, and adjusted to 
      reflect the income tax effects of the non-GAAP adjustments to GAAP loss 
      before income tax expense. 
   -- Non-GAAP Net Income (Loss) Per Share. Navan defines non-GAAP basic income 
      (loss) per share as non-GAAP net income (loss) divided by 
      weighted-average shares outstanding used in computing net loss per share 
      attributable to common stockholders, basic. We define non-GAAP diluted 
      income (loss) per share as non-GAAP net income (loss) divided by 
      weighted-average shares outstanding giving effect to the weighted average 
      of all potentially dilutive common stock equivalents outstanding for the 
      period including options to purchase common stock, restricted stock units, 
      and unexercised warrants to purchase common stock. The dilutive effect of 
      outstanding stock awards is reflected in non-GAAP diluted income per 
      share by application of the treasury method. 
   -- Free Cash Flow. Navan defines free cash flow as GAAP net cash used in 
      operating activities reduced by cash used for investing activities for 
      capitalized software development costs and purchases of property and 
      equipment. We believe that free cash flow is a meaningful indicator of 
      our sources of liquidity and capital requirements that provides 
      information to management and investors in evaluating the cash flow 
      trends of our business. 

Key Business Metrics:

We monitor and review a number of metrics, including the following key business metrics, to evaluate our business, measure our performance, identify trends affecting our business, formulate financial projections, and make strategic decisions. We believe that these key business metrics provide meaningful supplemental information in assessing our operating performance.

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.

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 Navan's anticipated total revenue, non-GAAP income (loss) from operations, and non-GAAP operating margin for the fiscal quarter and year ending January 31, 2026, the size of Navan's market opportunity, market trends, and the company's business strategy and plans. In some cases, you can identify forward-looking statements by terms such as "anticipate," "believe," "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 and retain existing customers, or 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, 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 prospectus dated October 29, 2025 filed with the Securities and Exchange Commission (SEC) pursuant to Rule 424(b) of the Securities Act of 1933, as amended, on October 31, 2025, as they may be updated by Navan's subsequent filings with the SEC. Except as required by law, Navan undertakes no obligation, and does not intend, to update these forward-looking statements.

About Navan, Inc.:

Navan is the leading all-in-one business travel, payments, and expense management solution that makes travel easy for frequent 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 October   Nine Months Ended October 
                               31,                          31, 
                    --------------------------  ---------------------------- 
                        2025          2024          2025          2024 
                     ----------    ----------    ----------    ---------- 
Revenue             $   194,934   $   151,118   $   524,347   $   404,845 
Cost of revenue          57,080        44,522       149,663       127,067 
                     ----------    ----------    ----------    ---------- 
Gross profit            137,854       106,596       374,684       277,778 
                     ----------    ----------    ----------    ---------- 
Operating expenses 
   Research and 
    development          51,195        33,000       115,955        90,784 
   Sales and 
    marketing            94,949        58,086       225,325       161,616 
   General and 
    administrative       70,946        34,968       140,791       100,206 
                     ----------    ----------    ----------    ---------- 
Total operating 
 expenses               217,090       126,054       482,071       352,606 
                     ----------    ----------    ----------    ---------- 
Loss from 
 operations             (79,236)      (19,458)     (107,387)      (74,828) 
   Interest 
    expense             (15,539)      (19,658)      (47,510)      (57,509) 
   Other income 
    (expense), 
    net                    (544)        1,022         6,155         2,975 
   Loss on 
    extinguishment 
    of debt             (97,450)           --      (117,978)           -- 
   Gain (loss) on 
    fair value 
    adjustments         (29,155)        1,381       (47,041)        4,401 
                     ----------    ----------    ----------    ---------- 
Loss before income 
 tax expense           (221,924)      (36,713)     (313,761)     (124,961) 
Income tax expense        3,465         5,169        11,508         9,465 
                     ----------    ----------    ----------    ---------- 
Net loss            $  (225,389)  $   (41,882)  $  (325,269)  $  (134,426) 
                     ==========    ==========    ==========    ========== 
Net loss per share 
attributable to 
common 
stockholders: 
Basic and diluted 
 net loss per 
 share              $     (4.58)  $     (0.92)  $     (6.94)  $     (2.97) 
                     ==========    ==========    ==========    ========== 
 
Weighted-average 
 shares 
 outstanding used 
 to compute net 
 loss per share 
 attributable to 
 common 
 stockholders        49,258,348    45,324,084    46,884,867    45,210,172 
                     ==========    ==========    ==========    ========== 
 
 
                       NAVAN, INC. AND SUBSIDIARIES 
                  CONDENSED CONSOLIDATED BALANCE SHEETS 
                              (in thousands) 
                                (unaudited) 
 
                                                   As of 
                                  ---------------------------------------- 
                                   October 31, 2025     January 31, 2025 
                                  ------------------  -------------------- 
Assets 
Current assets: 
   Cash and cash equivalents       $        809,080    $        157,672 
   Restricted cash, current                  81,469             148,157 
   Accounts receivable, net                 220,038             184,856 
   Corporate card receivables, 
    net                                     200,323             157,755 
   Contract acquisition costs, 
    current                                   7,389               4,784 
   Prepaid expenses and other 
    current assets                           60,061              35,628 
                                      -------------       ------------- 
Total current assets                      1,378,360             688,852 
Restricted cash, non-current                  4,705               4,766 
Contract acquisition costs, 
 non-current                                 22,715              16,185 
Operating lease right-of-use 
 assets                                      41,624              48,006 
Property, equipment, and 
 software, net                               32,735              29,538 
Intangible assets, net                       54,599              55,633 
Goodwill                                    232,883             219,728 
Other non-current assets                     25,036              21,246 
                                      -------------       ------------- 
Total assets                       $      1,792,657    $      1,083,954 
                                      =============       ============= 
Liabilities, redeemable 
convertible preferred stock and 
stockholders' equity (deficit) 
Current liabilities: 
   Accounts payable                $         62,325    $         42,829 
   Accrued expenses and other 
    current liabilities                     194,814             136,798 
   Notes payable, current                     1,329             175,913 
   Trade loan facility                           --              45,000 
   Operating lease liabilities, 
    current                                  10,174              11,389 
   Deferred revenue, current                 38,457              34,097 
                                      -------------       ------------- 
Total current liabilities                   307,099             446,026 
Operating lease liabilities, 
 non-current                                 37,476              43,098 
Convertible notes                                --             182,394 
Embedded derivative liability                    --              59,820 
ABL facility                                 37,000                  -- 
Warehouse credit facility                   168,174             214,238 
Notes payable, non-current                      130                 394 
Deferred revenue, non-current                    --                 813 
Other non-current liabilities                23,957              22,949 
                                      -------------       ------------- 
Total liabilities                           573,836             969,732 
                                      -------------       ------------- 
Redeemable convertible preferred 
 stock                                           --           1,301,121 
Stockholders' equity (deficit) 
   Preferred stock                               --                  -- 
   Class A common stock                           2                   1 
   Class B common stock                          --                  -- 
   Additional paid-in capital             3,177,712             467,835 
   Accumulated deficit                   (1,942,382)         (1,617,113) 
   Accumulated other 
    comprehensive loss                      (16,511)            (37,622) 
                                      -------------       ------------- 
Total stockholders' equity 
 (deficit)                                1,218,821          (1,186,899) 
                                      -------------       ------------- 
Total liabilities, redeemable 
 convertible preferred stock and 
 stockholders' equity (deficit)    $      1,792,657    $      1,083,954 
                                      =============       ============= 
 
 
                      NAVAN, INC. AND SUBSIDIARIES 
             CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS 
                              (in thousands) 
                               (unaudited) 
 
                           Three Months Ended       Nine Months Ended 
                               October 31,             October 31, 
                          ---------------------  ------------------------ 
                             2025       2024        2025        2024 
                           --------    -------    --------    -------- 
Cash flows from 
operating activities: 
   Net loss               $(225,389)  $(41,882)  $(325,269)  $(134,426) 
   Adjustments to 
   reconcile net loss to 
   net cash used in 
   operating 
   activities: 
      Stock-based 
       compensation, net 
       of amounts 
       capitalized           99,182     24,574     135,091      59,487 
      Non-cash interest 
       expense                8,179     11,765      25,813      35,817 
      Deferred income 
       taxes                     47       (165)        397        (536) 
      Depreciation and 
       amortization           5,916      6,005      18,125      18,832 
      Amortization of 
       contract 
       acquisition 
       costs                  1,631        960       4,172       3,676 
      Provision for 
       doubtful 
       accounts               2,248      1,531       6,633       4,439 
      Loss (gain) on 
       fair value 
       adjustments           29,155     (1,381)     47,041      (4,401) 
      Debt issuance 
      costs expensed 
      related to SAFEs           --         --       2,913          -- 
      Loss on 
       extinguishment of 
       debt                  97,450         --     117,978          -- 
      Other                     164        180        (163)        202 
      Changes in 
      operating assets 
      and liabilities, 
      net of effect of 
      business 
      acquisitions: 
         Accounts 
          receivable        (31,326)   (25,858)    (32,844)    (26,287) 
         Prepaid 
          expenses and 
          other current 
          assets             (7,363)    (3,814)    (22,290)    (14,015) 
         Contract 
          acquisition 
          costs              (4,060)    (5,935)    (13,307)    (16,648) 
         Other 
          non-current 
          assets             (1,655)      (701)       (797)       (689) 
         Accounts 
          payable             3,793     10,599       6,726      31,096 
         Accrued 
          expenses and 
          other current 
          liabilities        17,825     13,346      24,669      (2,461) 
         Deferred 
          revenue            (2,325)    (2,404)      3,533       1,196 
         Operating lease 
          right-of-use 
          asset and 
          operating 
          lease 
          liabilities, 
          net                  (379)       (12)       (475)      2,491 
         Other 
          non-current 
          liabilities           812        757         743         759 
                           --------    -------    --------    -------- 
            Net cash 
             used in 
             operating 
             activities      (6,095)   (12,435)     (1,311)    (41,468) 
                           --------    -------    --------    -------- 
Cash flows from 
investing activities: 
      Capitalized 
       software 
       development 
       costs                 (4,865)    (3,700)    (13,072)    (11,567) 
      Purchases of 
       property and 
       equipment               (401)      (200)       (589)       (774) 
      Proceeds from sale 
       of subsidiary, 
       net of cash sold          --         --        (354)         -- 
      Decrease 
       (increase) in 
       corporate card 
       receivables          (33,227)   (19,266)    (35,533)     19,126 
      Cash consideration 
       for business 
       acquisition, net 
       of cash acquired          --         --          --      (3,879) 
                           --------    -------    --------    -------- 
            Net cash 
             provided by 
             (used in) 
             investing 
             activities     (38,493)   (23,166)    (49,548)      2,906 
                           --------    -------    --------    -------- 
Cash flows from 
financing activities: 
      Proceeds from 
       stock option 
       exercises             17,528        746      23,682       3,023 
      Proceeds from 
       borrowings of 
       debt                  24,965     33,082     215,932      84,800 
      Proceeds from 
      issuance of SAFEs          --         --     155,000          -- 
      Payments of 
       borrowings of 
       debt                (134,349)    (6,080)   (468,124)     (8,350) 
      Payments for debt 
       issuance costs            --     (1,477)    (10,985)     (1,512) 
      Payments of 
       deferred offering 
       costs                 (3,410)        --      (4,165)         -- 
      Payment of 
       deferred 
       consideration in 
       business 
       combinations              --         --          --        (275) 
      Proceeds from 
       issuance of 
       common stock in 
       IPO, net of 
       underwriting 
       costs                713,302         --     713,302          -- 
      Taxes collected 
       from selling 
       shareholders 
       stock option 
       exercises             14,281         --      14,281          -- 
      Payment of tax 
       withholdings on 
       settlement of 
       RSUs                  (8,333)        --      (8,333)         -- 
      Proceeds from 
       exercise of 
       warrants                  35         --          35          -- 
                           --------    -------    --------    -------- 
            Net cash 
             provided by 
             financing 
             activities     624,019     26,271     630,625      77,686 
                           --------    -------    --------    -------- 
            Effect of 
             exchange 
             rate 
             changes on 
             cash, cash 
             equivalents 
             and 
             restricted 
             cash               285       (117)      4,893        (616) 
            Net increase 
             (decrease) 
             in cash, 
             cash 
             equivalents 
             and 
             restricted 
             cash           579,716     (9,447)    584,659      38,508 
                           --------    -------    --------    -------- 
Cash, cash equivalents 
 and restricted cash, 
 beginning of period      $ 315,538   $315,337   $ 310,595   $ 267,382 
                           ========    =======    ========    ======== 
Cash, cash equivalents 
 and restricted cash, 
 end of period            $ 895,254   $305,890   $ 895,254   $ 305,890 
                           ========    =======    ========    ======== 
 
 
Non-GAAP Gross Profit and Non-GAAP Gross Margin 
 
                       Three Months Ended October   Nine Months Ended October 
                                   31,                         31, 
                       ---------------------------  -------------------------- 
                         2025          2024           2025          2024 
                        -------       -------  ---   -------       ------- 
                                       (dollars in thousands) 
                       ------------------------------------------------------- 
GAAP gross profit      $137,854      $106,596       $374,684      $277,778 
GAAP gross margin            71%           71%            71%           69% 
Stock-based 
 compensation-related 
 charges                  6,632         1,683          8,742         3,525 
Amortization of 
 intangible assets           --            64             85           192 
                        -------       -------  ---   -------       ------- 
Non-GAAP gross profit  $144,486      $108,343       $383,511      $281,495 
                        =======       =======  ===   =======       ======= 
Non-GAAP gross margin        74%           72%            73%           70% 
 
 
Non-GAAP Income (Loss) from Operations and Non-GAAP Operating Margin 
 
                  Three Months Ended October    Nine Months Ended October 
                              31,                          31, 
                  ---------------------------  --------------------------- 
                    2025          2024            2025          2024 
                   -------       -------  ---   --------       ------- 
                                   (dollars in thousands) 
                  -------------------------------------------------------- 
GAAP loss from 
 operations        (79,236)      (19,458)       (107,387)      (74,828) 
GAAP operating 
 margin                (41)%         (13)%           (20)%         (18)% 
Stock-based 
 compensation 
 expense-related 
 charges           103,363        24,576         139,960        59,868 
Amortization of 
 intangible 
 assets              1,289         1,348           3,919         3,941 
                   -------       -------  ---   --------       ------- 
Non-GAAP income 
 (loss) from 
 operations       $ 25,416      $  6,466       $  36,492      $(11,019) 
                   =======       =======  ===   ========       ======= 
Non-GAAP 
 operating 
 margin                 13%            4%              7%           (3)% 
 
 
Non-GAAP Net Income (Loss) and Non-GAAP Net Income (Loss) Per Share 
 
                   Three Months Ended October   Nine Months Ended October 
                              31,                          31, 
                   --------------------------  ---------------------------- 
                       2025          2024          2025          2024 
                    ----------    ----------    ----------    ---------- 
                      (in thousands, except share and per share amounts) 
                   -------------------------------------------------------- 
GAAP net loss      $  (225,389)  $   (41,882)  $  (325,269)  $  (134,426) 
Stock-based 
 compensation 
 expense-related 
 charges               103,363        24,576       139,960        59,868 
Amortization of 
 intangible 
 assets                  1,289         1,348         3,919         3,941 
Amortization of 
 debt discount 
 and debt 
 issuance costs          1,600         2,735         4,584        10,245 
Loss (gain) on 
 fair value 
 adjustments            29,155        (1,381)       47,041        (4,401) 
SAFE debt 
issuance costs 
expensed                    --            --         2,913            -- 
Loss on 
 extinguishment 
 of debt                97,450            --       117,978            -- 
Non-GAAP 
 provision for 
 income taxes            1,731           682         3,298         1,438 
                    ----------    ----------    ----------    ---------- 
Non-GAAP net 
 income (loss)     $     9,199   $   (13,922)  $    (5,576)  $   (63,335) 
                    ==========    ==========    ==========    ========== 
GAAP net loss per 
 share 
 attributable to 
 common 
 stockholders, 
 basic and 
 diluted           $     (4.58)  $     (0.92)  $     (6.94)  $     (2.97) 
                    ----------    ----------    ----------    ---------- 
Weighted-average 
 shares 
 outstanding used 
 to compute GAAP 
 net loss per 
 share 
 attributable to 
 common 
 stockholders, 
 basic and 
 diluted            49,258,348    45,324,084    46,884,867    45,210,172 
                    ==========    ==========    ==========    ========== 
Non-GAAP net 
 income (loss) 
 per share 
 attributable to 
 common 
 stockholders, 
 basic             $      0.19         (0.31)  $     (0.12)  $     (1.40) 
                    ----------    ----------    ----------    ---------- 
Weighted-average 
 shares 
 outstanding used 
 to compute 
 non-GAAP net 
 income (loss) 
 per share 
 attributable to 
 common 
 stockholders, 
 basic              49,258,348    45,324,084    46,884,867    45,210,172 
                    ==========    ==========    ==========    ========== 
Non-GAAP net 
 income (loss) 
 per share 
 attributable to 
 common 
 stockholders, 
 diluted           $      0.14   $     (0.31)  $     (0.12)  $     (1.40) 
                    ----------    ----------    ----------    ---------- 
Weighted-average 
 shares 
 outstanding used 
 to compute GAAP 
 net loss per 
 share 
 attributable to 
 common 
 stockholders, 
 basic              49,258,348    45,324,084    46,884,867    45,210,172 
Add: Effect of 
potentially 
dilutive common 
stock 
equivalents         18,503,077            --            --            -- 
                    ----------    ----------    ----------    ---------- 
Weighted-average 
 shares 
 outstanding used 
 to compute 
 non-GAAP net 
 income (loss) 
 per share 
 attributable to 
 common 
 stockholders, 
 diluted            67,761,425    45,324,084    46,884,867    45,210,172 
                    ==========    ==========    ==========    ========== 
 
 
Free Cash 
 Flow 
 
               Three Months Ended     Nine Months Ended 
                  October 31,            October 31, 
              --------------------  ---------------------- 
                2025       2024       2025       2024 
               -------    -------    -------    ------- 
                             (in thousands) 
Net cash 
 used in 
 operating 
 activities   $ (6,095)  $(12,435)  $ (1,311)  $(41,468) 
Less: 
 Capitalized 
 software 
 development 
 costs          (4,865)    (3,700)   (13,072)   (11,567) 
Less: 
 Purchases 
 of property 
 and 
 equipment        (401)      (200)      (589)      (774) 
               -------    -------    -------    ------- 
Free cash 
 flow         $(11,361)  $(16,335)  $(14,972)  $(53,809) 
               =======    =======    =======    ======= 
 

View source version on businesswire.com: https://www.businesswire.com/news/home/20251213266660/en/

 
    CONTACT:    Investor Relations: 

investors@navan.com

Media Relations:

press@navan.com

 
 

(END) Dow Jones Newswires

December 15, 2025 16:05 ET (21:05 GMT)

At the request of the copyright holder, you need to log in to view this content

Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

We need your insight to fill this gap
Leave a comment