Company: NAVN
Filing Date: 2025-07-28
Form Type: DRS/A
Source: 0001628279-25-000476
Chunk: 146

Company: Navan, Inc.
Filing Date: 2025-07-28
Form: DRS/A
Chunk 146
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 of $6.7 million in the year ended January 31, 2024, which resulted in non-recurring income in the prior year, and (ii) an increase in foreign currency transaction losses of $3.9 million.

Gain (Loss) on Fair Value Adjustments

|                                       | (dollars in thousands) | Year Ended January 31, |   2025 |     |   |    2024 |     |   | Change |     |     | % Change |    |
|:--------------------------------------|:-----------------------|:-----------------------|-------:|:----|:--|--------:|:----|:--|-------:|:----|:----|:---------|:---|
| Gain (loss) on fair value adjustments |                        | $                      | 12,200 |     | $ | -26,594 |     | $ | 38,794 |     |     | (146     | %) |

Gain (loss) on fair value adjustments for the year ended January 31, 2025 changed by $38.8 million, or 146%, primarily due to changes in the value of the embedded derivative liability related to our convertible notes.

Income Tax Expense

|                    | (dollars in thousands) | Year Ended January 31, |  2025 |     |   |  2024 |     |   | Change |     |     | % Change |   |
|:-------------------|:-----------------------|:-----------------------|------:|:----|:--|------:|:----|:--|-------:|:----|:----|---------:|:--|
| Income tax expense |                        | $                      | 9,570 |     | $ | 5,428 |     | $ |  4,142 |     |     |       76 | % |

Income tax expense for the year ended January 31, 2025 increased by $4.1 million, or 76%, primarily due to increases in foreign profits and nondeductible expenses.

### Non-GAAP Financial Measures
To supplement our consolidated financial statements, which are prepared and presented in accordance with GAAP, we use certain non-GAAP financial measures, which include non-GAAP gross profit, non-GAAP gross margin, non-GAAP loss from operations, and non-GAAP net loss, to understand and evaluate our core operating performance. These non-GAAP financial measures, which may be different from similarly-t