Revenue growth remains volatile, peaking at 21.1% in 2026Q2, while gross margins fluctuate significantly between 39.4% and 56.2% due to shifting service-to-software revenue mixes.
| Metric | TTM | Jun'25 | Jun'24 | Jun'23 | Jun'22 | Jun'21 | Jun'20 | Jun'19 | Jun'18 | Jun'17 | Jun'16 | Jun'15 | Jun'14 | Jun'13 | Jun'12 | Jun'11 | Jun'10 | Jun'09 | Jun'08 | Jun'07 | Jun'06 | Jun'05 | Jun'04 | Jun'03 | Jun'02 | Jun'01 | Jun'00 | Jun'99 | Jun'98 |
|---|
| Sales/Revenue | 72.06M | 66.09M | 61.39M | 52.39M | 57.25M | 54.92M | 56.37M | 67.82M | 60.93M | 65.37M | 64.55M | 51.05M | 36.38M | 50.8M | 39.78M | 36.55M | 36.78M | 26.45M | 36.64M | 29.28M | 18.69M | 12.44M | 5.75M | 3.75M | 3.58M | 6.73M | 6.98M | 3M | 168.84K |
| Revenue Growth % | 12.37% | 7.65% | 17.18% | -8.48% | 4.24% | -2.58% | -16.88% | 11.31% | -6.79% | 1.26% | 26.45% | 40.3% | -28.37% | 27.71% | 8.83% | -0.63% | 39.06% | -27.82% | 25.14% | 56.67% | 50.27% | 116.34% | 53.5% | 4.67% | -46.81% | -3.69% | 132.82% | 1676.88% | - |
| Cost of Goods Sold | 35.74M | 33.51M | 32.11M | 35.48M | 33.51M | 28.57M | 29.41M | 33.37M | 31.72M | 36.96M | 33.75M | 33.02M | 27.72M | 22.95M | 18.28M | 14.8M | 13.87M | 17.2M | 15.72M | 13.66M | 9.02M | 4.75M | 2.66M | 1.78M | 2.96M | 4.13M | 2.17M | 1.3M | 133.86K |
| COGS % of Revenue | - | 50.71% | 52.3% | 67.71% | 58.54% | 52.02% | 52.17% | 49.21% | 52.06% | 56.54% | 52.28% | 64.69% | 76.19% | 45.19% | 45.95% | 40.51% | 37.7% | 65.03% | 42.91% | 46.65% | 48.26% | 38.23% | 46.21% | 47.5% | 82.77% | 61.4% | 31.14% | 43.33% | 79.28% |
| Gross Profit | 36.32M | 32.57M | 29.28M | 16.92M | 23.74M | 26.35M | 26.96M | 34.45M | 29.21M | 28.41M | 30.8M | 18.03M | 8.66M | 27.84M | 21.5M | 21.74M | 22.91M | 9.25M | 20.92M | 15.62M | 9.67M | 7.68M | 3.09M | 1.97M | 616.43K | 2.6M | 4.81M | 1.7M | 34.98K |
| Gross Margin % | 50.4% | 49.29% | 47.7% | 32.29% | 41.46% | 47.98% | 47.83% | 50.79% | 47.94% | 43.46% | 47.72% | 35.31% | 23.81% | 54.81% | 54.05% | 59.49% | 62.3% | 34.97% | 57.09% | 53.35% | 51.74% | 61.77% | 53.79% | 52.5% | 17.23% | 38.6% | 68.86% | 56.67% | 20.72% |
| Gross Profit Growth % | - | 11.23% | 73.12% | -28.74% | -9.93% | -2.26% | -21.72% | 17.94% | 2.81% | -7.77% | 70.86% | 108.06% | -68.88% | 29.52% | -1.13% | -5.1% | 147.71% | -55.78% | 33.89% | 61.56% | 25.86% | 148.42% | 57.28% | 219% | -76.26% | -46.01% | 182.92% | 4760.61% | - |
| Operating Expenses | 30.66M | 29.07M | 25.79M | 25.7M | 24.82M | 23.63M | 25.89M | 27.62M | 26.15M | 29.41M | 24.5M | 23.19M | 21.75M | 15.76M | 13.24M | 11.63M | 13.19M | 15.73M | 13.71M | 12.98M | 9.93M | 6.62M | 6.03M | 4.23M | -5.78M | 18.08M | 8.7M | 3.2M | 620.45K |
| OpEx % of Revenue | - | 43.99% | 42.01% | 49.04% | 43.35% | 43.03% | 45.93% | 40.72% | 42.92% | 44.99% | 37.95% | 45.43% | 59.79% | 31.03% | 33.29% | 31.83% | 35.85% | 59.49% | 37.41% | 44.31% | 53.12% | 53.21% | 104.85% | 112.99% | -161.51% | 268.72% | 124.59% | 106.67% | 367.49% |
| Selling, General & Admin | 29.75M | 27.8M | 24.39M | 24.09M | 22.61M | 21.99M | 23.59M | 24.75M | 23.87M | 26.49M | 22.79M | 20.87M | 19.62M | 14.21M | 12M | 10.08M | 11.13M | 11.37M | 11.77M | 10.99M | 7.64M | 5.05M | 4.31M | 2.65M | 4.28M | 9.14M | 7.29M | 2.8M | 0 |
| SG&A % of Revenue | - | 42.06% | 39.73% | 45.99% | 39.5% | 40.04% | 41.85% | 36.49% | 39.18% | 40.53% | 35.3% | 40.88% | 53.92% | 27.96% | 30.17% | 27.59% | 30.27% | 42.97% | 32.12% | 37.52% | 40.89% | 40.63% | 75.03% | 70.89% | 119.62% | 135.88% | 104.42% | 93.33% | - |
| Research & Development | 905.91K | 1.28M | 1.4M | 1.6M | 1.34M | 674.17K | 1.47M | 1.97M | 854K | 393.35K | 485.78K | 314.89K | 249.71K | 207.9K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | 1.93% | 2.28% | 3.06% | 2.34% | 1.23% | 2.61% | 2.91% | 1.4% | 0.6% | 0.75% | 0.62% | 0.69% | 0.41% | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
| Other Operating Expenses | 0 | 0 | 0 | 0 | 863.18K | 965.63K | 834.58K | 897.8K | 42.85K | 50.38K | 224.93K | 684.03K | 50.58K | 147.15K | 1.24M | 1.55M | 2.05M | 4.37M | 1.94M | 1.99M | 2.29M | 1.56M | 1.71M | 1.58M | -10.06M | 8.94M | 1.41M | 400K | 620.45K |
| Operating Income | 5.66M | 3.5M | 3.49M | -8.78M | -1.08M | 2.72M | 1.07M | 6.83M | 3.05M | -1M | 6.3M | -5.17M | -13.09M | 11.67M | 7.26M | 10.16M | 9.73M | -6.48M | 7.21M | 2.65M | -259.35K | 1.06M | -2.94M | -2.27M | 6.4M | -15.48M | -3.89M | -1.5M | -585.48K |
| Operating Margin % | 7.86% | 5.3% | 5.69% | -16.76% | -1.88% | 4.95% | 1.9% | 10.07% | 5.01% | -1.53% | 9.76% | -10.12% | -35.98% | 22.97% | 18.26% | 27.81% | 26.45% | -24.51% | 19.67% | 9.04% | -1.39% | 8.56% | -51.06% | -60.49% | 178.74% | -230.12% | -55.73% | -50% | -346.78% |
| Operating Income Growth % | - | 0.23% | 139.79% | -714.22% | -139.63% | 154.2% | -84.32% | 123.51% | 405.12% | -115.89% | 221.99% | 60.54% | -212.19% | 60.6% | -28.53% | 4.49% | 250.05% | -189.93% | 172.37% | 1120.59% | -124.36% | 136.27% | -29.57% | -135.42% | 141.31% | -297.72% | -159.48% | -156.2% | - |
| EBITDA | 6.96M | 4.97M | 5.22M | -5.54M | 2.73M | 6.68M | 4.8M | 11.25M | 8.63M | 5.56M | 13.45M | 5.18M | -4.36M | 17.37M | 11.91M | 14.45M | 13.64M | -2.29M | 10.55M | 8.1M | 2.86M | 3.04M | -864.66K | -688.6K | 8.51M | -13.97M | -2.48M | -1.1M | -583.66K |
| EBITDA Margin % | 9.65% | 7.51% | 8.49% | -10.57% | 4.78% | 12.16% | 8.52% | 16.59% | 14.16% | 8.51% | 20.84% | 10.14% | -11.98% | 34.19% | 29.93% | 39.55% | 37.07% | -8.68% | 28.78% | 27.67% | 15.31% | 24.48% | -15.04% | -18.39% | 237.86% | -207.68% | -35.55% | -36.67% | -345.7% |
| EBITDA Growth % | 169.92% | -4.79% | 194.22% | -302.47% | -59.06% | 39.04% | -57.32% | 30.4% | 55.16% | -58.67% | 159.83% | 218.79% | -125.1% | 45.88% | -17.62% | 6% | 694.16% | -121.76% | 30.16% | 183.25% | -6.03% | 452.08% | -25.57% | -108.09% | 160.92% | -462.57% | -125.75% | -88.46% | - |
| D&A (Non-Cash Add-back) | 1.29M | 1.46M | 1.72M | 3.24M | 3.81M | 3.96M | 3.73M | 4.42M | 5.57M | 6.56M | 7.15M | 10.34M | 8.73M | 5.7M | 4.64M | 4.29M | 3.91M | 4.19M | 3.34M | 5.46M | 3.12M | 1.98M | 2.07M | 1.58M | 2.12M | 1.51M | 1.41M | 400K | 1.81K |
| EBIT | 5.66M | 3.5M | 4.37M | -2.45M | 2.46M | 3.68M | 2.68M | 13.39M | 8.45M | -494.44K | 5.97M | -4.67M | -13.5M | 15M | 7.53M | 10.69M | 7.82M | -4.85M | 10.78M | 639.84K | -259.35K | 1.06M | -2.71M | -2.27M | 6.4M | -15.48M | -3.17M | -1.83M | -585.48K |
| Net Interest Income | 291K | 999.68K | 769.09K | 452.82K | 1.29M | 623.14K | 1.22M | 643.26K | 169.83K | -130.32K | -102.72K | 164.47K | 5.57K | -1.11M | -921.22K | -708.85K | -1.22M | -1M | -431.61K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Income | 975.43K | 1.87M | 1.91M | 1.22M | 1.66M | 1.02M | 1.57M | 955.06K | 592.15K | 179.72K | 161.79K | 331.43K | 261.25K | 185.34K | 82.04K | 154.86K | 261.3K | 291.03K | 195.1K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 684.43K | 871.36K | 1.14M | 765.03K | 369.8K | 394.29K | 346.86K | 311.8K | 422.33K | 310.04K | 264.51K | 166.96K | 255.68K | 1.3M | 823.68K | 863.71K | 1.48M | 1.29M | 626.71K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Income/Expense | 1.34M | 2.55M | -270.11K | 5.56M | 3.17M | 567.4K | 1.26M | 6.25M | 4.97M | 196.73K | -592.01K | 330.13K | -668.36K | 886.38K | -559.93K | -341.31K | -3.39M | 343.4K | 2.94M | -7.36M | -33.56K | -279.89K | -363.01K | 127.98K | -6.4M | 70.91K | -43.51K | 431.24K | 0 |
| Pretax Income | 7.01M | 6.05M | 3.22M | -3.22M | 2.09M | 3.29M | 2.33M | 13.08M | 8.02M | -804.49K | 5.71M | -4.84M | -13.76M | 12.55M | 6.7M | 9.82M | 6.34M | -6.14M | 7.34M | -4.72M | -1.25M | 673.74K | -3.07M | -2.14M | -6M | -15.41M | -3.65M | -1.4M | 0 |
| Pretax Margin % | 9.72% | 9.15% | 5.25% | -6.14% | 3.65% | 5.99% | 4.14% | 19.28% | 13.17% | -1.23% | 8.85% | -9.47% | -37.81% | 24.71% | 16.86% | 26.88% | 17.24% | -23.21% | 20.04% | -16.11% | -6.67% | 5.42% | -53.42% | -57.07% | -167.65% | -229.07% | -52.27% | -46.67% | - |
| Income Tax | 2.24M | 1.48M | 1.15M | 926.56K | 988.94K | 1.03M | 1.14M | 1.06M | 873.03K | 931.95K | 652.55K | 413.5K | 338.28K | 465.43K | 55.38K | 120.54K | 53.94K | 91.13K | 121.98K | 160.31K | 106.02K | 10.42K | 34.6K | -127.98K | 12.39M | -2.85M | -250K | 100K | 0 |
| Effective Tax Rate % | 31.99% | 24.41% | 35.54% | -28.79% | 47.32% | 31.22% | 48.91% | 8.09% | 10.88% | -115.84% | 11.43% | -8.55% | -2.46% | 3.71% | 0.83% | 1.23% | 0.85% | -1.48% | 1.66% | -3.4% | -8.5% | 1.55% | -1.13% | 5.99% | -206.61% | 18.5% | 6.85% | -7.14% | - |
| Net Income | 1.77M | 2.92M | 683.87K | -5.24M | -851.16K | 1.78M | 937.08K | 12.02M | 4.31M | -4.98M | 3.4M | -5.55M | -11.36M | 7.86M | 2.45M | 5.73M | 1.39M | -8.05M | 7.22M | -4.88M | -1.35M | 663.33K | -2.97M | -2.14M | -6M | -14.05M | -3.4M | -1.6M | -585.48K |
| Net Margin % | 2.45% | 4.42% | 1.11% | -10.01% | -1.49% | 3.24% | 1.66% | 17.72% | 7.07% | -7.62% | 5.27% | -10.87% | -31.21% | 15.48% | 6.15% | 15.67% | 3.79% | -30.43% | 19.71% | -16.66% | -7.24% | 5.33% | -51.66% | -57.07% | -167.65% | -208.86% | -48.69% | -53.33% | -346.78% |
| Net Income Growth % | 566.8% | 327.45% | 113.04% | -516.07% | -147.86% | 89.77% | -92.2% | 179.03% | 186.52% | -246.29% | 161.32% | 51.14% | -244.42% | 221.4% | -57.29% | 310.87% | 117.32% | -211.42% | 248.07% | -260.49% | -303.98% | 122.33% | -38.95% | 64.37% | 57.3% | -313.1% | -112.57% | -173.28% | - |
| Net Income (Continuing) | 4.76M | 4.57M | 2.08M | -4.14M | 1.1M | 2.26M | 1.19M | 12.02M | 7.15M | -1.74M | 5.06M | -5.25M | -14.1M | 12.09M | 6.65M | 9.7M | 6.29M | -6.23M | 10.03M | -4.88M | -1.35M | 663.33K | -2.58M | -2.62M | -6M | -12.56M | -2.97M | -1.99M | -585.48K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.16M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 7.1M | 4.43M | 4.69M | 2.98M | 5.45M | 7.22M | 6.49M | 8.41M | 14.15M | 14.8M | 13.34M | 13.84M | 16.12M | 17.27M | 15.4M | 12.5M | 10.42M | 6.38M | 6.87M | 3.55M | 1.64M | 700.32K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 0.15 | 0.25 | 0.06 | -0.46 | -0.08 | 0.15 | 0.08 | 1.03 | 0.38 | -0.46 | 0.32 | -0.57 | -1.25 | 0.96 | 0.39 | 1.16 | 0.40 | -2.98 | 1.90 | -2.68 | -0.93 | 0.40 | -3.77 | -4.74 | -19.96 | -62.57 | -17.59 | -18.56 | -0.13 |
| EPS Growth % | 694.21% | 316.67% | 113.04% | -507.66% | -150.47% | 88.68% | -92.28% | 171.05% | 182.61% | -243.75% | 156.14% | 54.4% | -230.21% | 146.15% | -66.38% | 190% | 113.42% | -256.84% | 170.9% | -188.17% | -332.5% | 110.61% | 20.46% | 76.25% | 68.1% | -255.71% | 5.23% | -14176.92% | - |
| EPS (Basic) | - | 0.25 | 0.06 | -0.46 | -0.08 | 0.15 | 0.08 | 1.04 | 0.38 | -0.46 | 0.33 | -0.57 | -1.25 | 0.96 | 0.39 | 1.18 | 0.40 | -2.99 | 2.00 | -2.68 | -0.93 | 0.60 | -3.77 | -4.74 | -19.96 | -62.57 | -17.59 | -18.56 | -16.50 |
| Diluted Shares Outstanding | 11.84M | 11.58M | 11.42M | 11.28M | 11.25M | 11.5M | 11.78M | 11.62M | 11.2M | 10.91M | 10.58M | 9.73M | 9.06M | 8.29M | 6.24M | 4.96M | 3.78M | 2.7M | 2.6M | 1.82M | 1.46M | 1.48M | 788.15K | 451.22K | 300.6K | 224.53K | 193.32K | 86.18K | 4.58M |
| Basic Shares Outstanding | 11.82M | 11.58M | 11.38M | 11.28M | 11.25M | 11.5M | 11.73M | 11.6M | 11.2M | 10.82M | 10.39M | 9.73M | 9.06M | 8.2M | 6.22M | 4.85M | 3.45M | 2.69M | 2.41M | 1.82M | 1.46M | 1.16M | 788.15K | 451.22K | 300.6K | 224.53K | 193.32K | 86.18K | 35.48K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | 4.95% | 13.96% | 22.54% | 3.14% | - | 2.47% | - | - | - | - | - | - | - | - | - | - |
Geopolitical and currency volatility
According to recent quarterly filings, NTWK's revenue growth has fluctuated significantly, reaching a peak of 21.1% in 2026Q2 before moderating to 13.0% in 2026Q3, suggesting that the company's reliance on project-based implementation cycles creates inherent lumpiness in its top-line expansion trajectory over the observed period.
The inconsistency in revenue growth appears to stem from the timing of large-scale software implementations rather than a steady, predictable SaaS-led expansion. Investors should monitor whether the transition to the NFS Ascent cloud platform can smooth these revenue swings by increasing the proportion of recurring subscription fees relative to legacy license and professional service revenue.
As reported in financial statements, NTWK's gross margin has demonstrated notable volatility, ranging from a low of 39.4% in 2026Q1 to a high of 56.2% in 2025Q4, which likely reflects the shifting composition between high-margin software licensing and labor-intensive professional services within the company's revenue mix.
The structural reliance on offshore engineering talent provides a cost advantage, yet the gross margin remains susceptible to the specific project mix recognized in any given quarter. A sustained expansion in gross margins would be a strong indicator that the company is successfully scaling its higher-margin cloud-based offerings while reducing the relative weight of bespoke implementation work.
Based on reported figures, NTWK's operating income has struggled to maintain consistent positive territory, with operating margins swinging from -12.2% in 2026Q1 to 15.2% in 2026Q3, indicating that the company has yet to achieve the operational scale necessary to decouple overhead growth from revenue expansion.
The high fixed-cost base associated with maintaining a global sales and development presence appears to weigh heavily on profitability during periods of lower revenue recognition. The recent improvement in operating margin suggests potential progress in expense discipline, but investors should remain cautious until this trend proves durable across multiple fiscal cycles.
Analysis of the income statement reveals that NTWK's net income is frequently impacted by non-operating items and FX volatility, as evidenced by the sharp swing from a $2.4M loss in 2026Q1 to a $1.3M profit in 2026Q3, which complicates the assessment of the company's true underlying earnings power.
Short-sellers may focus on the reliance on percentage-of-completion accounting, which introduces significant management subjectivity into the timing of revenue recognition. The lack of consistent profitability, combined with the potential for currency translation noise to mask operational performance, warrants further investigation into the quality of cash conversion from reported earnings.
Quick answers to the most common questions about buying NTWK stock.
For fiscal year 2025, NetSol Technologies, Inc. (NTWK) reported total revenue of $66.1M. This represents a 39043.7% increase compared to $0.2M in 1998.
NetSol Technologies, Inc. (NTWK) is profitable, generating $2.9M in net income for the fiscal year ending 2025 with a net profit margin of 4.4%.
NetSol Technologies, Inc. (NTWK) reported an operating income of $3.5M, resulting in an operating profit margin of 5.3%. This margin reflects the operational efficiency of the business before interest and taxes.
NetSol Technologies, Inc. (NTWK) generated $32.6M in gross profit for the year, representing a gross profit margin of 49.3%. This demonstrates the company's core pricing power and production efficiency.