Navan Raises Fiscal 2027 Forecast as Travel Demand Rises

Navan raised its fiscal 2027 revenue and income forecasts following strong corporate travel demand and customer growth, even as its shares tumbled 21.75% after a widened operating loss and surging expenses.

"Demand for corporate travel has been very, very strong," CFO Aurélien Nolf told Reuters in an interview. "On average, every traveler is (taking) more trips year over year. And each of those trips is on average generating higher bookings than they were a year ago."

Forecast Adjustments and Financial Metrics

According to reporting from AOL, the corporate travel platform increased its fiscal year revenue forecast range to $927 million to $933 million, up from its previous outlook of $907 million to $913 million. The company also raised its adjusted operating income outlook to a range of $82 million to $86 million, compared with earlier projections of $76 million to $80 million.

Despite the improved guidance, profitability pressures weighed on investor sentiment. Navan Inc (NAVN) closed at $20.26 on September 10, 2026, dropping 21.75% from its previous close of $25.89, according to Finnhub market data.

Rising Operating Expenses and Widened Losses

The sharp share price decline followed second-quarter financial metrics that highlighted mounting operational overhead. Operating expenses increased 46% to $200.2 million during the quarter, outpacing a 35% growth in revenue. Consequently, the company's operating loss widened to $25.6 million, compared with $12.3 million during the same period a year earlier.

BoomPop Acquisition Strategy

During these cost pressures, Navan announced plans to acquire AI-powered event management platform BoomPop in a cash-and-stock transaction valued at up to $95 million. CFO Aurélien Nolf noted that the acquisition would have a "very low single-digit" revenue impact in fiscal 2027 and an immaterial effect on financials for the current year.

The integration of BoomPop matches Navan's strategy to capture increased spending across corporate travel and corporate event planning sectors as business travel volumes rebound.