June 10 (Reuters) - Navan raised its full-year forecasts for revenue and operating income on Wednesday, citing resilient business travel demand and growth in its enterprise customer base, sending shares of the company up 17% in extended trading.
The corporate travel and expense management platform generates the bulk of its revenue from large companies, including customers in artificial intelligence and technology, manufacturing and healthcare.
Business travel demand has remained resilient, fueled in part
by the AI boom and increased spending from technology firms, as companies continue to prioritize in-person meetings, conferences and client visits.
Navan is also benefiting from corporate travel tied to the World Cup, with hotel and flight booking volumes up 295% from a year earlier in Canada and 46% across U.S. venues.
It now expects revenue of $907 million to $913 million for fiscal 2027, up from its prior forecasts of $866 million to $874 million.
The company also increased its adjusted operating profit outlook for the year to $76 million to $80 million from its earlier expectation of $58 million to $62 million.
Gross booking volume (GBV), a closely watched demand metric, jumped 50% to $3.1 billion in the first quarter.
"The strength (in revenue and GBV) was driven by very resilient on-platform booking activity, strong new-customer ramps, and rapidly expanding payments volume," CFO Aurélien Nolf said on Wednesday.
First-quarter revenue grew about 40% to $220.2 million. Navan reported a net loss of $20.5 million, or 8 cents per share, for the quarter through April, compared with a loss of $61.3 million, or $1.33 per share, reported a year earlier.
(Reporting by Shivansh Tiwary in Bengaluru; Editing by Joyjeet Das)
