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NTWK

NetSol Technologies, Inc.

NTWK

NetSol Technologies, Inc. • NASDAQ
$3.01 ▲ 0.00% (+0.00)
Market Cap $35.51 M
52w High $5.75
52w Low $2.14
Dividend Yield 0%
P/E 75.25
Volume 24.17K
Outstanding Shares 11.80M

Income Statement

Period Revenue Operating Expense Net Income Net Profit Margin Earnings Per Share EBITDA
Q1-2026 $15.012M ▼ $7.751M ▲ $-2.357M ▼ -15.703% ▼ $-0.2 ▼ $-1.502M ▼
Q4-2025 $18.409M ▲ $7.153M ▼ $2.576M ▲ 13.99% ▲ $0.22 ▲ $5.012M ▲
Q3-2025 $17.544M ▲ $7.188M ▼ $1.424M ▲ 8.117% ▲ $0.12 ▲ $2.544M ▲
Q2-2025 $15.537M ▲ $7.407M ▲ $-1.147M ▼ -7.383% ▼ $-0.1 ▼ $-245.623K ▼
Q1-2025 $14.598M $7.324M $70.795K 0.485% $0.006 $1.072M

Balance Statement

Period Cash & Short-term Total Assets Total Liabilities Total Equity
Q1-2026 $22.691M ▲ $62.626M ▲ $22.102M ▲ $35.794M ▼
Q4-2025 $17.358M ▼ $62.441M ▲ $20.182M ▲ $37.834M ▲
Q3-2025 $18.775M ▼ $58.144M ▼ $19.248M ▼ $35.454M ▲
Q2-2025 $21.271M ▼ $59.07M ▼ $20.554M ▼ $33.923M ▼
Q1-2025 $24.526M $62.8M $23.06M $34.722M

Cash Flow Statement

Period Net Income Cash From Operations Cash From Investing Cash From Financing Net Change Free Cash Flow
Q1-2026 $-2.357M ▼ $5.304M ▲ $-443.198K ▼ $191.218K ▲ $5.333M ▲ $4.818M ▲
Q4-2025 $3.705M ▲ $440.952K ▲ $-431.821K ▼ $-43.418K ▲ $-1.417M ▲ $-44.075K ▲
Q3-2025 $1.834M ▲ $-363.401K ▲ $-311.567K ▲ $-1.771M ▼ $-2.496M ▲ $-693.01K ▲
Q2-2025 $-1.186M ▼ $-5.148M ▼ $-422.845K ▼ $2.485M ▲ $-3.255M ▼ $-5.615M ▼
Q1-2025 $217.709K $5.518M $-108.632K $153.189K $5.399M $5.417M

Revenue by Products

Product Q2-2025Q3-2025Q4-2025Q1-2026
License
License
 $0 ▲$0 ▲$0 ▲$0 ▲
Service
Service
 $10.00M ▲$10.00M ▲$10.00M ▲$10.00M ▲
Subscription and Support
Subscription and Support
 $10.00M ▲$10.00M ▲$10.00M ▲$10.00M ▲

Five-Year Company Overview

Income Statement

Income Statement NetSol’s revenue has been inching upward over the past few years, but growth has been modest rather than explosive. Profitability has hovered around break-even, with a clearly weak year in the middle of the period followed by a return to small profits more recently. Gross margins have been fairly steady, suggesting the core software and services business is structurally sound, but overhead and other costs leave little room for error. Earnings per share have been quite volatile, reflecting how sensitive results are to even small swings in revenue or costs. Overall, this looks like a niche software business slowly improving its earnings profile but still operating with thin cushions.

Balance Sheet

Balance Sheet The balance sheet is relatively simple and conservative. Total assets have been stable to slightly down over time, pointing to a business that is not aggressively expanding its physical or financial footprint. Cash levels have stayed reasonably steady, and debt is low and unchanged, which reduces financial risk and interest burden. Equity dipped a few years ago and has since recovered, indicating some repair of the company’s capital base after prior weak performance. In short, leverage appears modest, and the company seems to be prioritizing stability over rapid balance-sheet growth.

Cash Flow

Cash Flow Cash generation has been roughly around breakeven in recent years, with one clearly stronger year earlier in the period. Operating cash flow has not consistently run far ahead of accounting earnings, which suggests the cash-conversion profile is acceptable but not a major strength. Free cash flow has been similarly flat, helped by very low capital spending requirements, typical for an asset-light software business. The company is not burning cash aggressively, but it also does not appear to be throwing off large surpluses that could easily fund major new initiatives or sizeable returns of capital. Sustainability looks reasonable; surplus cash for big moves looks limited.

Competitive Edge

Competitive Edge NetSol operates in a focused niche: software for asset finance and leasing, especially for automotive and equipment finance. Its long history in this vertical, global footprint, and track record of successful implementations give it meaningful credibility with large, risk-averse financial institutions. Deep domain expertise, multi-country and multi-currency capabilities, and long-standing blue-chip clients create switching costs and a degree of lock-in. However, its specialization also means exposure to trends in one main industry and competition from larger enterprise and fintech players that are also targeting digital lending and leasing. Overall, it appears to hold a defensible, specialist position rather than a broad-based technology dominance.

Innovation and R&D

Innovation and R&D Innovation is a clear strategic focus. The Transcend platform, with its modular, cloud-first design, shows a deliberate shift toward flexible, modern architecture that clients can adopt piece by piece. The creation of Transcend AI Labs and products like Check AI highlights a push into applied artificial intelligence for credit decisioning, document processing, and customer support. The Transcend Marketplace and digital retail capabilities (such as the MINI USA implementation and new dealer group wins) show NetSol trying to build an ecosystem, not just a standalone product. Together, these moves suggest the company is investing to stay relevant and differentiated as finance becomes more digital and data-driven, though commercial uptake and scaling remain key execution tests.

Summary

NetSol looks like a specialized software company with steady but modest revenue growth and earnings that have recently improved after a weaker patch. The balance sheet is conservative with low debt and stable cash, supporting resilience but not signaling aggressive expansion. Cash flows are generally around breakeven, supported by low capital needs but without large excess cash generation. Competitively, the firm benefits from deep expertise in asset finance and long-term relationships with major clients, which provide a moat but within a relatively narrow domain. Its innovation agenda—centered on the Transcend platform, AI-driven tools, and a modular marketplace—positions it for the industry’s digital and AI shift, while leaving execution, client adoption, and scale as the main uncertainties to watch.

NEWS

November 21, 2025 · 9:15 AM UTC

NETSOL's Transcend Retail signs two US dealer groups

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November 12, 2025 · 8:45 AM UTC

NETSOL Technologies Reports First Quarter Fiscal 2026 Results; Revenue Up 2.8% Year-Over-Year

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November 6, 2025 · 9:03 AM UTC

NETSOL Technologies Sets Fiscal First Quarter 2026 Conference Call for Wednesday, November 12, 2025, at 9:00 AM ET

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October 8, 2025 · 9:06 AM UTC

NETSOL Technologies launches Check AI: An AI-native credit decisioning engine

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September 29, 2025 · 8:45 AM UTC

NETSOL Technologies Announces its Fiscal 2025 Fourth Quarter and Full-Year Results

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