Sometimes beating expectations isn't enough. Navan Inc. (NAVN) reported third-quarter results Monday evening that crushed analyst estimates, but the stock got hammered Tuesday anyway. Welcome to the wonderful world of guidance disappointments.

The Numbers Look Great... Until They Don't

Navan posted adjusted earnings of 14 cents per share when analysts expected a 25-cent loss. Revenue hit $194.93 million, topping the $182.04 million consensus. Gross booking volume jumped 40% year-over-year to $2.6 billion, while payment volume climbed 12% to $1.1 billion.

CFO Amy Butte sounded optimistic: "We did not see a material impact to our business from travel disruptions related to the government shutdown in October and early November, and we continue to see strong demand in the corporate travel and expense market."

She also reminded investors that Navan is seasonal, with Q3 being their strongest quarter. "When we think about our business we think about it annually over an entire fiscal year," Butte explained.

Then Came the Outlook

Here's where things went sideways. Navan expects fourth-quarter revenue between $161 million and $163 million. For fiscal 2026, they're projecting $685 million to $687 million in revenue. Wall Street had penciled in $830.87 million. That's not a miss, that's a chasm.

Oh, and Butte? She's leaving effective January 9, 2026. Anne Giviskos, chief accounting officer and senior vice president of strategic finance, will step in as interim CFO while the board searches for a permanent replacement.

The combination of weak forward guidance and executive departure sent shares down 17.71% to $12.04 on Tuesday.