Shares of corporate travel platform Navan (NASDAQ:NAVN) surged more than 12% on Wednesday after the company reported first-quarter results that beat expectations, with gross booking volume topping $3 billion for the first time.
Gross booking volume climbed 50% year-over-year in the quarter, while revenue growth accelerated to 40%, as the company continued to win market share from legacy travel management rivals. Non-GAAP operating margin reached 11%.
Navan also raised its full-year revenue outlook to $907 million to $913 million, up from a prior target of $866 million to $874 million, implying roughly 30% growth for the year and signaling confidence in enterprise customer momentum through the second half.
The upgraded guidance comes despite a more cautious near-term outlook. Second-quarter revenue is projected at $219 million to $221 million, a midpoint that implies 28% year-over-year growth, a step down from the 40% pace logged in the first quarter.
Free cash flow also reversed course, swinging to a burn of $11.5 million in the first quarter after the company reported positive free cash flow for the first time in the fourth quarter.