Key Takeaways U.S. travel spending is forecast to grow 2.2% in 2026, supported by leisure demand and major global events.Federal Reserve rate cuts have improved consumer spending capacity, creating a favorable backdrop for travel.Online platforms benefit from resilient leisure, rebounding international travel and steady business travels.American travel spending is poised for acceleration in 2026 as sustained consumer demand and supportive monetary policy converge to drive sector growth. Per the U.S. Travel ...

Financial Data and Key Metrics Changes - Revenue for Q3 was $195 million, representing a 29% year-over-year increase [19] - Non-GAAP operating margin reached 13%, an improvement of 870 basis points year-over-year [22] - Non-GAAP gross margin expanded to 74%, a new high, driven by automation and efficiencies [20][21] - Free cash flow was negative $11 million, but improved by 30% compared to Q3 fiscal year 2025 [22] Business Line Data and Key Metrics Changes - Usage revenue grew by 29%, while subscription revenue increased by 26% year-over-year [19] - Gross booking volume reached $2.62 billion, growing 40% year-over-year [19] - Payment volume processed through Navan Cards was $1.13 billion, up 12% year-over-year [20] Market Data and Key Metrics Changes - Revenue from international customers represented 37% of total revenue in Q3 [20] - The company operates in a $185 billion addressable market, with strong momentum in enterprise deals [7] Company Strategy and Development Direction - The company aims to drive sustained high growth across all customer segments, accelerate innovation, and maintain a balance between growth and profitability [15] - Focus on AI-driven solutions to enhance customer experience and operational efficiency [10][12] - Plans to develop Navan Edge, an AI-powered travel booking experience [14] Management's Comments on Operating Environment and Future Outlook - The current business travel environment remains robust, with expectations for continued strength through the fiscal year [19] - Management noted no significant impact from travel disruptions related to the government shutdown [18] - The company is committed to being free cash flow positive for the full year of fiscal 2027 [28] Other Important Information - The CFO, Amy Butte, will leave the company on January 9, with Ann Giviskos serving as interim CFO [6] - The company has a strong balance sheet with $809 million in cash and $207 million in debt [25] Q&A Session Summary Question: What is the outlook for enterprise business and capturing market share? - Management sees strong momentum in enterprise, driven by customer satisfaction, market consolidation, and AI capabilities [33] Question: What drove the strength in gross booking volume and usage yield? - Growth in GBV is attributed to existing customer expansion, ramping of new customers, and strong go-to-market strategies [35] Question: Are large enterprise deals complete implementations or partial? - Most enterprise deals involve multiple products at launch, indicating a stable and accelerating ramp [44] Question: How sustainable is the margin leverage seen this quarter? - Margin leverage is driven by AI efficiencies and is expected to be sustainable, though Q4 margins may compress seasonally [46] Question: What is the investment plan for the PLG motion? - Investments began in the second half of fiscal 2026, with revenue contributions expected in fiscal 2028 [52] Question: How does the company factor large deals into guidance? - Guidance incorporates active customers, ramping customers, and expected launches, using machine learning for accuracy [54] Question: Has the IPO impacted visibility and competitive positioning? - The IPO has increased market awareness and credibility, leading to more leads and opportunities [62] Question: What is the strategy for M&A opportunities? - The company is always looking for opportunities, particularly in AI and enhancing its platform, but currently sees better potential in-house development [87]

Financial Performance - Q3 2025 revenue reached $715 million, a 3% year-over-year increase[17] - Normalized Adjusted EBITDA for Q3 2025 was $150 million, up 23% year-over-year[17] - The Normalized Adjusted EBITDA margin increased by 340 basis points year-over-year to 21%[36] - Pro Forma Free Cash Flow was $13 million for Q3 2025[16, 34] - The company expects to generate approximately $70 million in Pro Forma Free Cash Flow for the full year 2025[16] Operational Highlights - Total distribution bookings increased by 3% year-over-year to 95 million[17] - Air distribution bookings increased by 2% year-over-year to 81 million[17] - Hotel distribution bookings increased by 6% year-over-year to 11 million[17] - Digital Payments gross spend increased by approximately 40% year-over-year in Q3 2025[16] Debt and Leverage - Approximately $825 million of debt was repaid using proceeds from the Hospitality Solutions sale[16] - The company anticipates reducing year-end 2025 pro forma net leverage by approximately 50% from year-end 2023[16] Future Outlook - The company expects air distribution volumes to grow 6% to 8% year-over-year in Q4 2025[27, 44] - The company expects approximately 9% Pro Forma Adjusted EBITDA growth for full-year 2025[16, 44]

Financial Data and Key Metrics Changes - The company reported a total revenue of €139.3 million for Q2 2025, representing a 17% year-over-year increase, marking the third consecutive quarter of growth [18] - Referral revenue increased by 18%, driven by sustained branded traffic growth while maintaining a stable return on advertising spend [16] - The company reported a net loss of €6.5 million and an adjusted EBITDA loss of €5.1 million, similar to the previous year's performance [19] Business Line Data and Key Metrics Changes - Referral revenues grew by 32% in the Rest of the World, 20% in Developed Europe, and 10% in the Americas, primarily driven by increased branded channel traffic [19] - The company achieved a milestone of generating 20% of referral revenue from logged-in users, indicating progress in fostering user loyalty [11][17] Market Data and Key Metrics Changes - Geographic performance showed robust growth across all regions, with the Rest of the World leading at 32% year-over-year growth, followed by Developed Europe at 20% and the Americas at 10% [4] - The company faced a foreign exchange headwind that affected the top line by approximately -3%, with a stronger impact of -7% in the Americas [25][26] Company Strategy and Development Direction - The company is focused on three strategic priorities: brand marketing, enhancing the core hotel search experience, and empowering partners [5][12] - Brand marketing investments are expected to continue driving returns, with a commitment to further expand these investments [6] - The acquisition of Hollisto is aimed at enhancing the user experience and expanding the trivago branded booking funnel [14][22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving mid-teens percentage revenue growth for the full year of 2025 despite economic uncertainties and foreign exchange headwinds [16][17] - The company anticipates positive adjusted EBITDA in the third and fourth quarters of the year [20] Other Important Information - Operational expenses increased by €19.9 million, totaling €147.3 million for the second quarter, primarily due to higher brand marketing investments [20] - The company maintained a solid global return on advertising spend (ROAS) at 119% for Q2, slightly down from 122.7% in the prior year [21] Q&A Session Summary Question: What was the FX impact for Q2 results? - The FX effect was a strong headwind affecting the top line by approximately -3%, with a -7% impact in the Americas [25][26] Question: What is the growth runway for brand investments? - The company has seen a 22% spend increase year-on-year and an 18% referral revenue increase, indicating effective brand strategy and significant upside potential [26] Question: What differences exist between logged-in and logged-out users? - Logged-in users show a 25% higher conversion rate, and the company is encouraging logins through exclusive deals and features [34][35] Question: What gives confidence for revenue growth acceleration in Q3? - Despite FX effects impacting July, strong double-digit branded traffic growth and branded revenue growth in July support confidence in achieving double-digit growth [36][39] Question: What are the early learnings from partnerships with the Book and Go product? - Early partnerships have shown significant double-digit conversion improvements, making partners more competitive in the marketplace [42][43]

Financial Data and Key Metrics Changes - For the first quarter of 2025, net revenues were RMB117.5 million, representing a year-over-year increase of 9% from the corresponding period in 2024 [16] - Revenues from packaged tours increased by 19% year-over-year to RMB99 million, accounting for 84% of total net revenues [16] - Gross profit for the first quarter was RMB69.3 million, down 15% year-over-year [17] - Operating expenses rose to RMB80.1 million, up 15% year-over-year [17] - Net loss attributable to ordinary shareholders was reported, with non-GAAP net income also noted [18][19] - The company expects to generate RMB131 million to RMB136.8 million in net revenues for the second quarter, representing a 12% to 17% year-over-year increase [19] Business Line Data and Key Metrics Changes - The core business maintained steady growth, with packaged tours showing a 19% increase year-over-year [5] - Outbound tour transaction volume achieved double-digit year-over-year growth, despite challenges in some Southeast Asian destinations [6] - Transaction volume for new select products increased by over 80% compared to the previous quarter [9][26] Market Data and Key Metrics Changes - The contribution of live streaming to total transaction volume increased from 10% in the first quarter last year to over 15% this year [10] - The company opened nearly 300 offline stores, primarily in high-demand markets [11] Company Strategy and Development Direction - The company is focused on offering differentiated and high-quality products as a competitive advantage [7] - Strategies include leveraging supply chain advantages to reduce procurement costs and enhance customer value [6][7] - The introduction of AI technologies aims to improve customer experience and operational efficiency [13][14] Management's Comments on Operating Environment and Future Outlook - Management noted that the domestic travel market showed consistent growth momentum, particularly during the Spring Festival [5] - The company is committed to diversifying its product offerings to attract different customer segments, especially price-sensitive travelers [25] - Management aims to achieve profitability in the second quarter by controlling internal costs [27] Other Important Information - The company has embraced new AI technologies to enhance customer experience and operational efficiency [13][14] - The launch of a self-developed travel AI agent aims to provide one-stop services for customers [13] Q&A Session Summary Question: Inquiry about product strategy and pricing - Management emphasized that quality is a priority, and competitive pricing is essential to attract new customers and enhance repurchase rates [22][24] - The company consolidates its supply chain to lower purchasing costs and uses AI for competitive pricing [25] - Management aims to achieve profitability in the second quarter while maintaining a lower gross profit ratio compared to the previous year [26][27]