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Netsol Technologies Inc Financials

NTWK
Source SEC Filings (10-K/10-Q) Updated Feb 12, 2026 Currency USD FYE June

This page shows Netsol Technologies Inc (NTWK) financial statements, including the income statement, balance sheet, cash flow statement, and key financial ratios. View 15 years of annual fundamentals and quarterly data, with year-over-year growth rates and compound annual growth rates (CAGR). All figures are derived from SEC filings (10-K and 10-Q reports).

Financial Health Signals

Profitability Growth Leverage Liquidity Cash Flow Returns 47 / 100
Financial Profile 47/100

Based on FY2025 annual data. Scores normalized against common benchmarks. How we calculate these scores

Profitability
33

Netsol Technologies Inc has an operating margin of 4.8%, meaning the company retains $5 of operating profit per $100 of revenue. This results in a moderate score of 33/100, indicating healthy but not exceptional operating efficiency. This is down from 5.4% the prior year.

Growth
56

Netsol Technologies Inc's revenue grew 13.4% year-over-year to $73.1M, a solid pace of expansion. This earns a growth score of 56/100.

Leverage
100

Netsol Technologies Inc carries a low D/E ratio of 0.00, meaning only $0.00 of long-term debt for every $1 of shareholders' equity. This conservative leverage earns a score of 100/100, indicating a strong balance sheet with room for future borrowing.

Liquidity
44

Netsol Technologies Inc's current ratio of 2.35 indicates adequate short-term liquidity, earning a score of 44/100. The company can meet its near-term obligations, though with limited headroom.

Cash Flow
22

While Netsol Technologies Inc generated $447K in operating cash flow, capex of $1.4M consumed most of it, leaving -$936K in free cash flow. This results in a low score of 22/100, reflecting heavy capital investment rather than weak cash generation.

Returns
28

Netsol Technologies Inc generates a 7.7% ROE, indicating limited profit relative to shareholders' investment. This results in a returns score of 28/100. This is up from 2.0% the prior year.

Altman Z-Score Grey Zone
2.13

Netsol Technologies Inc scores 2.13, placing it in the grey zone between 1.81 and 2.99. The score is driven primarily by a large market capitalization ($40.1M) relative to total liabilities ($20.2M). This signals moderate financial risk that warrants monitoring.

Piotroski F-Score Neutral
5/9

Netsol Technologies Inc passes 5 of 9 financial strength tests. 3 of 4 profitability signals pass, 1 of 3 leverage/liquidity signals pass, 1 of 2 efficiency signals pass.

Earnings Quality Low Quality
0.15x

For every $1 of reported earnings, Netsol Technologies Inc generates $0.15 in operating cash flow ($447K OCF vs $2.9M net income). This low ratio suggests earnings are primarily driven by accounting accruals rather than cash generation, which may not be sustainable.

Key Financial Metrics

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Earnings & Revenue

Revenue
$73.1M
YoY+13.4%
5Y CAGR+5.3%
10Y CAGR+3.7%

Netsol Technologies Inc generated $73.1M in revenue in fiscal year 2025. This represents an increase of 13.4% from the prior year.

EBITDA
$5.0M
YoY-4.8%
5Y CAGR+21.1%

Netsol Technologies Inc's EBITDA was $5.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization. This represents a decrease of 4.8% from the prior year.

Net Income
$2.9M
YoY+327.5%
5Y CAGR+25.6%

Netsol Technologies Inc reported $2.9M in net income in fiscal year 2025. This represents an increase of 327.5% from the prior year.

EPS (Diluted)
$0.25
YoY+316.7%
5Y CAGR+25.6%

Netsol Technologies Inc earned $0.25 per diluted share (EPS) in fiscal year 2025. This represents an increase of 316.7% from the prior year.

Cash & Balance Sheet

Free Cash Flow
-$936K
YoY-139.1%

Netsol Technologies Inc generated -$936K in free cash flow in fiscal year 2025, representing cash available after capex. This represents a decrease of 139.1% from the prior year.

Cash & Debt
$17.4M
YoY-9.2%
5Y CAGR-3.0%
10Y CAGR+2.1%

Netsol Technologies Inc held $17.4M in cash against $47K in long-term debt as of fiscal year 2025.

Dividends Per Share
N/A
Shares Outstanding
12M
YoY+3.1%
5Y CAGR-0.2%
10Y CAGR+1.4%

Netsol Technologies Inc had 12M shares outstanding in fiscal year 2025. This represents an increase of 3.1% from the prior year.

Margins & Returns

Gross Margin
44.6%
YoY-0.9pp
5Y CAGR-3.3pp
10Y CAGR+10.4pp

Netsol Technologies Inc's gross margin was 44.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs. This is down 0.9 percentage points from the prior year.

Operating Margin
4.8%
YoY-0.6pp
5Y CAGR+2.9pp
10Y CAGR+14.9pp

Netsol Technologies Inc's operating margin was 4.8% in fiscal year 2025, reflecting core business profitability. This is down 0.6 percentage points from the prior year.

Net Margin
4.0%
YoY+2.9pp
5Y CAGR+2.3pp
10Y CAGR+14.9pp

Netsol Technologies Inc's net profit margin was 4.0% in fiscal year 2025, showing the share of revenue converted to profit. This is up 2.9 percentage points from the prior year.

Return on Equity
7.7%
YoY+5.8pp
5Y CAGR+6.1pp
10Y CAGR+17.0pp

Netsol Technologies Inc's ROE was 7.7% in fiscal year 2025, measuring profit generated per dollar of shareholder equity. This is up 5.8 percentage points from the prior year.

Capital Allocation

R&D Spending
$1.3M
YoY-9.0%
5Y CAGR-2.8%
10Y CAGR+15.0%

Netsol Technologies Inc invested $1.3M in research and development in fiscal year 2025. This represents a decrease of 9.0% from the prior year.

Share Buybacks
$1.5M

Netsol Technologies Inc spent $1.5M on share buybacks in fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

Capital Expenditures
$1.4M
YoY+168.3%
5Y CAGR+0.1%
10Y CAGR-9.0%

Netsol Technologies Inc invested $1.4M in capex in fiscal year 2025, funding long-term assets and infrastructure. This represents an increase of 168.3% from the prior year.

NTWK Income Statement

Metric Q3'26 Q2'26 Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24
Revenue $2.7M-86.3% $20.1M+24.7% $16.1M-28.4% $22.5M+28.0% $17.5M-1.8% $17.9M+17.4% $15.2M-22.0% $19.5M
Cost of Revenue $9.8M0.0% $9.8M+7.5% $9.1M+12.9% $8.1M-8.4% $8.8M+2.2% $8.6M+7.2% $8.0M+0.7% $8.0M
Gross Profit -$7.0M-177.9% $9.0M+52.7% $5.9M-42.9% $10.3M+18.4% $8.7M+26.3% $6.9M+5.4% $6.6M-22.5% $8.5M
R&D Expenses $248K0.0% $248K+15.6% $214K-22.8% $277K-9.0% $305K-8.7% $334K-7.3% $360K+6.7% $337K
SG&A Expenses $7.5M0.0% $7.5M-0.7% $7.5M N/A N/A $7.1M+1.6% $7.0M N/A
Operating Income $1.3M0.0% $1.3M+170.7% -$1.8M-157.5% $3.2M+105.7% $1.6M+419.0% -$487K+35.9% -$760K-195.2% $798K
Interest Expense N/A N/A N/A N/A $195K-17.6% $236K-8.5% $258K-9.8% $286K
Income Tax $480K0.0% $480K+122.5% $216K-71.7% $764K+404.6% $151K-54.4% $332K+44.3% $230K-68.4% $727K
Net Income $247K0.0% $247K+110.5% -$2.4M-191.5% $2.6M+80.9% $1.4M+224.1% -$1.1M-1720.2% $71K+185.4% -$83K
EPS (Diluted) $0.020.0% $0.02+110.0% $-0.20 N/A $0.12+220.0% $-0.10-1766.7% $0.01 N/A

NTWK Balance Sheet

Metric Q3'26 Q2'26 Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24
Total Assets $62.7M0.0% $62.7M+0.1% $62.6M+0.3% $62.4M+7.4% $58.1M-1.6% $59.1M-5.9% $62.8M-2.2% $64.2M
Current Assets $46.4M0.0% $46.4M-0.4% $46.6M+0.6% $46.3M+9.2% $42.4M-1.3% $43.0M-7.7% $46.5M-2.0% $47.5M
Cash & Equivalents $18.1M0.0% $18.1M-20.1% $22.7M+30.7% $17.4M-7.5% $18.8M-11.7% $21.3M-13.3% $24.5M+28.2% $19.1M
Inventory N/A N/A N/A N/A N/A N/A N/A N/A
Accounts Receivable $7.8M0.0% $7.8M+23.0% $6.3M-16.0% $7.5M+38.3% $5.4M-30.5% $7.8M+31.9% $5.9M-54.5% $13.0M
Goodwill $9.3M0.0% $9.3M0.0% $9.3M0.0% $9.3M0.0% $9.3M0.0% $9.3M0.0% $9.3M0.0% $9.3M
Total Liabilities $20.7M0.0% $20.7M-6.1% $22.1M+9.5% $20.2M+4.9% $19.2M-6.4% $20.6M-10.9% $23.1M-6.5% $24.7M
Current Liabilities $20.0M0.0% $20.0M-7.7% $21.7M+9.9% $19.7M+5.2% $18.7M-6.1% $20.0M-10.8% $22.4M-6.3% $23.9M
Long-Term Debt $257K0.0% $257K+90.7% $135K+187.5% $47K+147.4% $19K-39.9% $32K+537.3% $5K-48.8% $10K
Total Equity $35.9M0.0% $35.9M+0.4% $35.8M-5.4% $37.8M+6.7% $35.5M+4.5% $33.9M-2.3% $34.7M-0.3% $34.8M
Retained Earnings $43.4M+200.0% -$43.4M+0.6% -$43.6M-5.7% -$41.3M+5.9% -$43.9M+3.1% -$45.3M-2.6% -$44.1M+0.2% -$44.2M

NTWK Cash Flow Statement

Metric Q3'26 Q2'26 Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24
Operating Cash Flow $555K+111.7% -$4.7M-189.5% $5.3M+1102.8% $441K+221.3% -$363K+92.9% -$5.1M-193.3% $5.5M-15.3% $6.5M
Capital Expenditures $856K+130.8% $371K-23.5% $485K+0.1% $485K+47.2% $330K-29.5% $467K+364.0% $101K+123.3% -$433K
Free Cash Flow -$301K+94.1% -$5.1M-206.3% $4.8M+11032.0% -$44K+93.6% -$693K+87.7% -$5.6M-203.7% $5.4M-10.9% $6.1M
Investing Cash Flow $753K+342.9% -$310K+30.0% -$443K-2.6% -$432K-38.6% -$312K+26.3% -$423K-289.2% -$109K-120.5% $531K
Financing Cash Flow $725K+35.8% $534K+179.1% $191K+540.4% -$43K+97.5% -$1.8M-171.3% $2.5M+1521.9% $153K-25.6% $206K
Dividends Paid N/A N/A N/A N/A N/A N/A N/A N/A
Share Buybacks N/A N/A N/A $0 N/A N/A N/A N/A

NTWK Financial Ratios

Metric Q3'26 Q2'26 Q1'26 Q4'25 Q3'25 Q2'25 Q1'25 Q4'24
Gross Margin -255.7%-300.7pp 45.0%+8.2pp 36.8%-9.3pp 46.1%-3.8pp 49.8%+11.1pp 38.7%-4.4pp 43.1%-0.3pp 43.4%
Operating Margin 47.3%+40.8pp 6.5%+17.9pp -11.4%-25.7pp 14.2%+5.4pp 8.8%+11.6pp -2.7%+2.3pp -5.0%-9.1pp 4.1%
Net Margin 9.0%+7.7pp 1.2%+15.9pp -14.7%-26.1pp 11.5%+3.4pp 8.1%+14.5pp -6.4%-6.9pp 0.5%+0.9pp -0.4%
Return on Equity 0.7%0.0pp 0.7%+7.3pp -6.6%-13.4pp 6.8%+2.8pp 4.0%+7.4pp -3.4%-3.6pp 0.2%+0.4pp -0.2%
Return on Assets 0.4%0.0pp 0.4%+4.2pp -3.8%-7.9pp 4.1%+1.7pp 2.5%+4.4pp -1.9%-2.1pp 0.1%+0.2pp -0.1%
Current Ratio 2.320.0 2.32+0.2 2.15-0.2 2.35+0.1 2.26+0.1 2.15+0.1 2.08+0.1 1.99
Debt-to-Equity 0.010.0 0.010.0 0.000.0 0.000.0 0.000.0 0.000.0 0.000.0 0.00
FCF Margin -11.0%+14.6pp -25.5%-55.5pp 30.0%+30.2pp -0.2%+3.8pp -4.0%+27.5pp -31.4%-67.0pp 35.6%+4.4pp 31.2%

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Frequently Asked Questions

Netsol Technologies Inc (NTWK) reported $73.1M in total revenue for fiscal year 2025. This represents a 13.4% change compared to the previous fiscal year. Revenue measures the total income earned from the company's primary business operations before any expenses are deducted.

Netsol Technologies Inc (NTWK) revenue grew by 13.4% year-over-year, from $64.5M to $73.1M in fiscal year 2025.

Yes, Netsol Technologies Inc (NTWK) reported a net income of $2.9M in fiscal year 2025, with a net profit margin of 4.0%.

Netsol Technologies Inc (NTWK) reported diluted earnings per share of $0.25 for fiscal year 2025. This represents a 316.7% change compared to the previous fiscal year. EPS represents the portion of a company's net income allocated to each outstanding share of common stock and is widely used to evaluate profitability on a per-share basis.

Netsol Technologies Inc (NTWK) had EBITDA of $5.0M in fiscal year 2025, measuring earnings before interest, taxes, depreciation, and amortization.

As of fiscal year 2025, Netsol Technologies Inc (NTWK) had $17.4M in cash and equivalents against $47K in long-term debt.

Netsol Technologies Inc (NTWK) had a gross margin of 44.6% in fiscal year 2025, indicating the percentage of revenue retained after direct costs of goods sold.

Netsol Technologies Inc (NTWK) had an operating margin of 4.8% in fiscal year 2025, reflecting the profitability of core business operations before interest and taxes.

Netsol Technologies Inc (NTWK) had a net profit margin of 4.0% in fiscal year 2025, representing the share of revenue converted into profit after all expenses.

Netsol Technologies Inc (NTWK) has a return on equity of 7.7% for fiscal year 2025, measuring how efficiently the company generates profit from shareholder equity.

Netsol Technologies Inc (NTWK) generated -$936K in free cash flow during fiscal year 2025. This represents a -139.1% change compared to the previous fiscal year. Free cash flow represents the cash a company generates after accounting for capital expenditures, and is widely used to assess financial flexibility and shareholder value.

Netsol Technologies Inc (NTWK) generated $447K in operating cash flow during fiscal year 2025, representing cash generated from core business activities.

Netsol Technologies Inc (NTWK) had $62.4M in total assets as of fiscal year 2025, including both current and long-term assets.

Netsol Technologies Inc (NTWK) invested $1.4M in capital expenditures during fiscal year 2025, funding long-term assets and infrastructure.

Netsol Technologies Inc (NTWK) invested $1.3M in research and development during fiscal year 2025.

Yes, Netsol Technologies Inc (NTWK) spent $1.5M on share buybacks during fiscal year 2025, returning capital to shareholders by reducing shares outstanding.

Netsol Technologies Inc (NTWK) had 12M shares outstanding as of fiscal year 2025.

Netsol Technologies Inc (NTWK) had a current ratio of 2.35 as of fiscal year 2025, which is generally considered healthy.

Netsol Technologies Inc (NTWK) had a debt-to-equity ratio of 0.00 as of fiscal year 2025, measuring the company's financial leverage by comparing total debt to shareholder equity.

Netsol Technologies Inc (NTWK) had a return on assets of 4.7% for fiscal year 2025, measuring how efficiently the company uses its assets to generate profit.

Netsol Technologies Inc (NTWK) has an Altman Z-Score of 2.13, placing it in the Grey Zone (moderate risk). The Z-Score combines five financial ratios—working capital, retained earnings, EBIT, market capitalization, and revenue relative to total assets—to predict the likelihood of bankruptcy. Scores above 2.99 indicate financial safety while scores below 1.81 suggest financial distress. Learn more in our complete guide to financial health indicators.

Netsol Technologies Inc (NTWK) has a Piotroski F-Score of 5 out of 9, indicating neutral financial health. The F-Score evaluates nine binary signals across profitability (positive ROA, positive cash flow, improving ROA, earnings quality), leverage (decreasing debt, improving liquidity, no share dilution), and operating efficiency (improving gross margin, improving asset turnover). Scores of 7–9 indicate strong and improving fundamentals. Learn more in our complete guide to financial health indicators.

Netsol Technologies Inc (NTWK) has an earnings quality ratio of 0.15x, considered low quality (accrual-driven). This ratio compares operating cash flow to net income. A ratio above 1.0x means the company generates more cash than its reported earnings, indicating sustainable, cash-backed profits. Ratios below 1.0x suggest earnings rely on accounting accruals rather than actual cash generation. Learn more in our complete guide to financial health indicators.

Netsol Technologies Inc (NTWK) scores 47 out of 100 on our Financial Profile, indicating moderate overall financial health. This composite score evaluates six dimensions: profitability (operating margin), revenue growth, leverage (debt-to-equity), liquidity (current ratio), cash flow quality (free cash flow margin), and shareholder returns (return on equity). Each dimension is normalized against standard financial benchmarks. Learn more in our complete guide to financial health indicators.

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