NetSol (NTWK) 10-Q 20 May 24 2024 Q3 Quarterly report Financial data

Cover

Cover - shares	9 Months Ended
	Mar. 31, 2024	May 17, 2024
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Mar. 31, 2024
Document Fiscal Period Focus	Q3
Document Fiscal Year Focus	2024
Current Fiscal Year End Date	--06-30
Entity File Number	0-22773
Entity Registrant Name	NETSOL TECHNOLOGIES, INC.
Entity Central Index Key	0001039280
Entity Tax Identification Number	95-4627685
Entity Incorporation, State or Country Code	NV
Entity Address, Address Line One	16000 Ventura Blvd.
Entity Address, Address Line Two	Suite 770
Entity Address, City or Town	Encino
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	91436
City Area Code	(818)
Local Phone Number	222-9195
Title of 12(b) Security	Common Stock, $0.01 par value per share
Trading Symbol	NTWK
Security Exchange Name	NASDAQ
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		11,405,240

Condensed Consolidated Balance

Condensed Consolidated Balance Sheets (Unaudited) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Current assets:
Cash and cash equivalents	$ 12,338,642	$ 15,533,254
Accounts receivable, net of allowance of $414,745 and $420,354	15,826,210	11,714,422
Revenues in excess of billings, net of allowance of $116,023 and $1,380,141	15,659,806	12,377,677
Other current assets	2,398,403	1,978,514
Total current assets	46,223,061	41,603,867
Revenues in excess of billings, net - long term	752,582
Property and equipment, net	5,505,609	6,161,186
Right of use assets - operating leases	1,490,669	1,151,575
Other assets	32,341	32,327
Intangible assets, net		127,931
Goodwill	9,302,524	9,302,524
Total assets	63,306,786	58,379,410
Current liabilities:
Accounts payable and accrued expenses	6,707,937	6,552,181
Current portion of loans and obligations under finance leases	6,047,511	5,779,510
Current portion of operating lease obligations	635,168	505,237
Unearned revenue	9,503,548	7,932,306
Total current liabilities	22,894,164	20,769,234
Loans and obligations under finance leases; less current maturities	130,381	176,229
Operating lease obligations; less current maturities	837,756	652,194
Total liabilities	23,862,301	21,597,657
Stockholders’ equity:
Preferred stock, $.01 par value; 500,000 shares authorized;
Common stock, $.01 par value; 14,500,000 shares authorized; 12,344,271 shares issued and 11,405,240 outstanding as of March 31, 2024, 12,284,887 shares issued and 11,345,856 outstanding as of June 30, 2023	123,445	122,850
Additional paid-in-capital	128,736,328	128,476,048
Treasury stock (at cost, 939,031 shares as of March 31, 2024 and June 30, 2023)	(3,920,856)	(3,920,856)
Accumulated deficit	(44,129,431)	(44,896,186)
Other comprehensive loss	(45,505,920)	(45,975,156)
Total NetSol stockholders’ equity	35,303,566	33,806,700
Non-controlling interest	4,140,919	2,975,053
Total stockholders’ equity	39,444,485	36,781,753
Total liabilities and stockholders’ equity	$ 63,306,786	$ 58,379,410

Condensed Consolidated Balanc_2

Condensed Consolidated Balance Sheets (Unaudited) (Parenthetical) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Statement of Financial Position [Abstract]
Accounts receivable, allowance	$ 414,745	$ 420,354
Revenues in excess of billings, allowance	$ 116,023	$ 1,380,141
Preferred stock, par value	$ 0.01	$ 0.01
Preferred stock, shares authorized	500,000	500,000
Common stock, par value	$ 0.01	$ 0.01
Common stock, shares authorized	14,500,000	14,500,000
Common stock, shares issued	12,344,271	12,284,887
Common stock, shares outstanding	11,405,240	11,345,856
Treasury stock, shares	939,031	939,031

Condensed Consolidated Statemen

Condensed Consolidated Statements of Operations (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Net Revenues:
Total net revenues	$ 15,464,516	$ 13,506,389	$ 44,944,638	$ 38,602,866
Cost of revenues	7,989,696	8,801,360	24,132,064	26,503,377
Gross profit	7,474,820	4,705,029	20,812,574	12,099,489
Operating expenses:
Selling, general and administrative	5,811,335	5,333,202	17,051,798	16,727,836
Research and development cost	345,582	302,262	1,065,412	1,244,793
Total operating expenses	6,156,917	5,635,464	18,117,210	17,972,629
Income (loss) from operations	1,317,903	(930,435)	2,695,364	(5,873,140)
Other income and (expenses)
Interest expense	(289,677)	(188,137)	(856,016)	(512,110)
Interest income	376,466	263,794	1,259,464	1,005,557
Gain (loss) on foreign currency exchange transactions	(963,887)	5,385,591	(1,112,757)	7,358,519
Share of net loss from equity investment		2,377		7,510
Other income (expense)	21,634	(62,941)	22,210	57,383
Total other income (expenses)	(855,464)	5,400,684	(687,099)	7,916,859
Net income before income taxes	462,439	4,470,249	2,008,265	2,043,719
Income tax provision	(146,569)	(227,718)	(418,517)	(641,122)
Net income	315,870	4,242,531	1,589,748	1,402,597
Non-controlling interest	11,679	(1,697,908)	(822,993)	(1,571,629)
Net income (loss) attributable to NetSol	$ 327,549	$ 2,544,623	$ 766,755	$ (169,032)
Net income (loss) per share:
Basic	$ 0.03	$ 0.23	$ 0.07	$ (0.01)
Diluted	$ 0.03	$ 0.23	$ 0.07	$ (0.01)
Weighted average number of shares outstanding
Basic	11,390,888	11,283,954	11,369,778	11,270,466
Diluted	11,430,493	11,283,954	11,409,383	11,270,466
License [Member]
Net Revenues:
Total net revenues	$ 558,340	$ 1,982,985	$ 4,829,242	$ 2,248,829
Subscription and Support [Member]
Net Revenues:
Total net revenues	7,140,358	6,656,082	20,480,382	19,175,585
Service [Member]
Net Revenues:
Total net revenues	$ 7,765,818	$ 4,867,322	$ 19,635,014	$ 17,178,452

Condensed Consolidated Statem_2

Condensed Consolidated Statements of Comprehensive Income (Loss) (Unaudited) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Income Statement [Abstract]
Net income (loss)	$ 327,549	$ 2,544,623	$ 766,755	$ (169,032)
Other comprehensive income (loss):
Translation adjustment	441,993	(7,628,982)	812,109	(11,428,326)
Translation adjustment attributable to non-controlling interest	(77,604)	2,447,328	(342,873)	3,598,417
Net translation adjustment	364,389	(5,181,654)	469,236	(7,829,909)
Comprehensive income (loss) attributable to NetSol	$ 691,938	$ (2,637,031)	$ 1,235,991	$ (7,998,941)

Condensed Consolidated Statem_3

Condensed Consolidated Statement of Stockholders' Equity (Unaudited) - USD ($)	Common Stock [Member]	Additional Paid-in Capital [Member]	Treasury Stock, Common [Member]	Retained Earnings [Member]	AOCI Attributable to Parent [Member]	Noncontrolling Interest [Member]	Total
Balance at Jun. 30, 2022	$ 121,966	$ 128,218,247	$ (3,920,856)	$ (39,652,438)	$ (39,363,085)	$ 5,450,389	$ 50,854,223
Balance, shares at Jun. 30, 2022	12,196,570
Common stock issued for: Services	$ 127	39,623					39,750
Common stock issued for Services, shares	12,660
Fair value of subsidiary options issued		42,084					42,084
Foreign currency translation adjustment					(2,918,050)	(1,233,469)	(4,151,519)
Net income (loss)				(620,729)		182,758	(437,971)
Adjustment in APIC for change in subsidiary shares to non-controlling interest		120,565				(120,565)
Balance at Sep. 30, 2022	$ 122,093	128,420,519	(3,920,856)	(40,273,167)	(42,281,135)	4,279,113	46,346,567
Balance, shares at Sep. 30, 2022	12,209,230
Balance at Jun. 30, 2022	$ 121,966	128,218,247	(3,920,856)	(39,652,438)	(39,363,085)	5,450,389	50,854,223
Balance, shares at Jun. 30, 2022	12,196,570
Net income (loss)							1,402,597
Balance at Mar. 31, 2023	$ 122,382	128,536,955	(3,920,856)	(39,821,470)	(47,192,994)	3,303,036	41,027,053
Balance, shares at Mar. 31, 2023	12,238,042
Balance at Sep. 30, 2022	$ 122,093	128,420,519	(3,920,856)	(40,273,167)	(42,281,135)	4,279,113	46,346,567
Balance, shares at Sep. 30, 2022	12,209,230
Common stock issued for: Services	$ 138	39,612					39,750
Common stock issued for Services, shares	13,755
Fair value of subsidiary options issued		24,583					24,583
Foreign currency translation adjustment					269,795	82,380	352,175
Net income (loss)				(2,092,926)		(309,037)	(2,401,963)
Balance at Dec. 31, 2022	$ 122,231	128,484,714	(3,920,856)	(42,366,093)	(42,011,340)	4,052,456	44,361,112
Balance, shares at Dec. 31, 2022	12,222,985
Common stock issued for: Services	$ 151	39,599					39,750
Common stock issued for Services, shares	15,057
Fair value of subsidiary options issued		12,642					12,642
Foreign currency translation adjustment					(5,181,654)	(2,447,328)	(7,628,982)
Net income (loss)				2,544,623		1,697,908	4,242,531
Balance at Mar. 31, 2023	$ 122,382	128,536,955	(3,920,856)	(39,821,470)	(47,192,994)	3,303,036	41,027,053
Balance, shares at Mar. 31, 2023	12,238,042
Balance at Jun. 30, 2023	$ 122,850	128,476,048	(3,920,856)	(44,896,186)	(45,975,156)	2,975,053	36,781,753
Balance, shares at Jun. 30, 2023	12,284,887
Common stock issued for: Services	$ 270	48,530					48,800
Common stock issued for Services, shares	26,963
Fair value of subsidiary options issued		11,554					11,554
Foreign currency translation adjustment					(436,546)	(33,503)	(470,049)
Net income (loss)				30,890		260,173	291,063
Balance at Sep. 30, 2023	$ 123,120	128,536,132	(3,920,856)	(44,865,296)	(46,411,702)	3,201,723	36,663,121
Balance, shares at Sep. 30, 2023	12,311,850
Balance at Jun. 30, 2023	$ 122,850	128,476,048	(3,920,856)	(44,896,186)	(45,975,156)	2,975,053	36,781,753
Balance, shares at Jun. 30, 2023	12,284,887
Net income (loss)							1,589,748
Balance at Mar. 31, 2024	$ 123,445	128,736,328	(3,920,856)	(44,129,431)	(45,505,920)	4,140,919	39,444,485
Balance, shares at Mar. 31, 2024	12,344,271
Balance at Sep. 30, 2023	$ 123,120	128,536,132	(3,920,856)	(44,865,296)	(46,411,702)	3,201,723	36,663,121
Balance, shares at Sep. 30, 2023	12,311,850
Common stock issued for: Services	$ 181	39,569					39,750
Common stock issued for Services, shares	18,069
Fair value of subsidiary options issued		11,683					11,683
Foreign currency translation adjustment					541,393	298,772	840,165
Net income (loss)				408,316		574,499	982,815
Balance at Dec. 31, 2023	$ 123,301	128,587,384	(3,920,856)	(44,456,980)	(45,870,309)	4,074,994	38,537,534
Balance, shares at Dec. 31, 2023	12,329,919
Common stock issued for: Services	$ 144	39,606					39,750
Common stock issued for Services, shares	14,352
Fair value of options issued		101,424					101,424
Fair value of subsidiary options issued		7,914					7,914
Foreign currency translation adjustment					364,389	77,604	441,993
Net income (loss)				327,549		(11,679)	315,870
Balance at Mar. 31, 2024	$ 123,445	$ 128,736,328	$ (3,920,856)	$ (44,129,431)	$ (45,505,920)	$ 4,140,919	$ 39,444,485
Balance, shares at Mar. 31, 2024	12,344,271

Condensed Consolidated Statem_4

Condensed Consolidated Statements of Cash Flows (Unaudited) - USD ($)	9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Cash flows from operating activities:
Net income	$ 1,589,748	$ 1,402,597
Adjustments to reconcile net income to net cash provided by (used in) operating activities:
Depreciation and amortization	1,351,239	2,519,469
Provision for bad debts	9,739	7,648
Share of net (gain) loss from investment under equity method		(7,510)
(Gain) loss on sale of assets	(1,154)	56,494
Stock based compensation	260,875	198,559
Changes in operating assets and liabilities:
Accounts receivable	(3,922,773)	(1,855,899)
Revenues in excess of billing	(3,904,609)	240,324
Other current assets	(1,525)	(621,731)
Accounts payable and accrued expenses	77,541	1,321,289
Unearned revenue	938,242	(696,621)
Net cash provided by (used in) operating activities	(3,602,677)	2,564,619
Cash flows from investing activities:
Purchases of property and equipment	(948,337)	(1,575,059)
Sales of property and equipment	125,886	153,402
Net cash used in investing activities	(822,451)	(1,421,657)
Cash flows from financing activities:
Proceeds from bank loans	340,847	270,292
Payments on finance lease obligations and loans - net	(307,235)	(787,641)
Net cash provided by (used in) financing activities	33,612	(517,349)
Effect of exchange rate changes	1,196,904	(9,329,913)
Net decrease in cash and cash equivalents	(3,194,612)	(8,704,300)
Cash and cash equivalents at beginning of the period	15,533,254	23,963,797
Cash and cash equivalents at end of period	12,338,642	15,259,497
Cash paid during the period for:
Interest	1,100,101	378,720
Taxes	522,633	706,658
NON-CASH INVESTING AND FINANCING ACTIVITIES:
Assets acquired under finance lease	$ 122,045

BASIS OF PRESENTATION AND PRINC

BASIS OF PRESENTATION AND PRINCIPLES OF CONSOLIDATION	9 Months Ended
	Mar. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]
BASIS OF PRESENTATION AND PRINCIPLES OF CONSOLIDATION	NOTE 1 - BASIS OF PRESENTATION AND PRINCIPLES OF CONSOLIDATION The Company designs, develops, markets, and exports proprietary software products to customers in the automobile financing and leasing, banking, and financial services industries worldwide. The Company also provides system integration, consulting, and IT products and services in exchange for fees from customers. The consolidated condensed interim financial statements included herein have been prepared by the Company, without audit, pursuant to the rules and regulations of the Securities and Exchange Commission. Certain information and footnote disclosures normally included in financial statements prepared in accordance with generally accepted accounting principles have been condensed or omitted pursuant to such rules and regulations, although the Company believes that the disclosures are adequate to make the information presented not misleading. The year-end condensed consolidated balance sheet data was derived from audited financial statements, but does not include all disclosures required by accounting principles generally accepted in the United States of America. These statements reflect all adjustments, consisting of normal recurring adjustments, which, in the opinion of management, are necessary for fair presentation of the information contained therein. It is suggested that these condensed consolidated financial statements be read in conjunction with the financial statements and notes thereto included in the Company’s annual report on Form 10-K for the year ended June 30, 2023. The Company follows the same accounting policies in preparation of interim reports. Results of operations for the interim periods are not indicative of annual results. The accompanying consolidated financial statements include the accounts of the Company as follows: Wholly owned Subsidiaries NetSol Technologies Americas, Inc. (“NTA”) NetSol Connect (Private), Ltd. (“Connect”) NetSol Technologies Australia Pty Ltd. (“Australia”) NetSol Technologies Europe Limited (“NTE”) NetSol Technologies (Beijing) Co. Ltd. (“NetSol Beijing”) Tianjin NuoJinZhiCheng Co., Ltd (“Tianjin”) Ascent Europe Ltd. (“AEL”) Virtual Lease Services Holdings Limited (“VLSH”) Virtual Lease Services Limited (“VLS”) Virtual Lease Services (Ireland) Limited (“VLSIL”) Majority-owned Subsidiaries NetSol Technologies, Ltd. (“NetSol PK”) NetSol Innovation (Private) Limited (“NetSol Innovation”) NETSOL Ascent Middle East Computer Equipment Trading LLC (“Namecet”) NetSol Technologies Thailand Limited (“NetSol Thai”) Otoz, Inc. (“Otoz”) Otoz (Thailand) Limited (“Otoz Thai”) NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

ACCOUNTING POLICIES

ACCOUNTING POLICIES	9 Months Ended
	Mar. 31, 2024
Accounting Policies [Abstract]
ACCOUNTING POLICIES	NOTE 2 – ACCOUNTING POLICIES Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The areas requiring significant estimates are provision for doubtful accounts, provision for taxation, useful life of depreciable assets, useful life of intangible assets, contingencies, assumptions used to determine the net present value of operating lease liabilities, and estimated contract costs. The estimates and underlying assumptions are reviewed on an ongoing basis. Actual results could differ from those estimates. Concentration of Credit Risk Cash includes cash on hand and demand deposits in accounts maintained within the United States as well as in foreign countries. Certain financial instruments, which subject the Company to concentration of credit risk, consist of cash and restricted cash. The Company maintains balances at financial institutions which, from time to time, may exceed Federal Deposit Insurance Corporation insured limits for the banks located in the United States. Balances at financial institutions within certain foreign countries are not covered by insurance except balances maintained in China are insured for RMB 500,000 69,252 85,000 107,595 11,779,289 13,524,518 The Company’s operations are carried out globally. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic, and legal environments of each country and by the general state of the country’s economy. The Company’s operations in each foreign country are subject to specific considerations and significant risks not typically associated with companies in economically developed nations. These include risks associated with, among others, the political, economic and legal environments and foreign currency exchange. The Company’s results may be adversely affected by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things. Fair Value of Financial Instruments The Company applies the provisions of Accounting Standards Codification (“ASC”) 820-10, “Fair Value Measurements and Disclosures.” The three levels of valuation hierarchy are defined as follows: Level 1: Valuations consist of unadjusted quoted prices in active markets for identical assets and liabilities and has the highest priority. Level 2: Valuations rely on quoted prices in markets that are not active or observable inputs over the full term of the asset or liability. Level 3: Valuations are based on prices or third party or internal valuation models that require inputs that are significant to the fair value measurement and are less observable and thus have the lowest priority. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The Company’s financial assets that were measured at fair value on a recurring basis as of March 31, 2024, were as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS Level 1 Level 2 Level 3 Total Assets Revenues in excess of billings - long term $ - $ - $ 752,582 $ 752,582 Total $ - $ - $ 752,582 $ 752,582 The Company did not have any financial assets that were measured at fair value on a recurring basis at June 30, 2023. The reconciliation from June 30, 2023 to March 31, 2024 is as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION Revenues in Fair value discount Total Balance at June 30, 2023 $ - $ - $ - Additions 827,853 (103,958 ) 723,895 Amortization during the period - 30,773 30,773 Effect of Translation Adjustment (1,404 ) (682 ) (2,086 ) Balance at March 31, 2024 $ 826,449 $ (73,867 ) $ 752,582 Management analyzes all financial instruments with features of both liabilities and equity under ASC 480, “Distinguishing Liabilities from Equity” “Derivatives and Hedging.” Recent Accounting Standards: In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires contract assets and contract liabilities acquired in a business combination to be recognized in accordance with Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. ASU 2021-08 is effective for annual periods beginning after December 15, 2022, and interim periods within those years, and was adopted by the Company on July 1, 2023. The adoption of the new standard did not have a material impact on the Company’s consolidated financial statements. In August 2023, the FASB issued ASU 2023-05, “Business Combinations – Joint Venture Formations (Subtopic 805-60): Recognition and Initial Measurement. ASU 2023-05 provides decision-useful information to a joint venture’s investors and reduces diversity in practice by requiring that a joint venture apply a new basis of accounting upon formation. As a result, a newly formed joint venture, upon formation, would initially measure its assets and liabilities at fair value (with exceptions to fair value measurement that are consistent with the business combinations guidance). ASU 2023-05 is effective prospectively for all joint ventures with a formation date on or after January 1, 2025, and early adoption is permitted. The Company does not expect the standard to have a material effect on its consolidated financial statements. All other newly issued accounting pronouncements not yet effective have been deemed either immaterial or not applicable. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

REVENUE RECOGNITION

REVENUE RECOGNITION	9 Months Ended
	Mar. 31, 2024
Revenue from Contract with Customer [Abstract]
REVENUE RECOGNITION	NOTE 3 – REVENUE RECOGNITION The Company determines revenue recognition through the following steps: ● Identification of the contract, or contracts, with a customer; ● Identification of the performance obligations in the contract; ● Determination of the transaction price; ● Allocation of the transaction price to the performance obligations in the contract; and ● Recognition of revenue when, or as, the Company satisfies a performance obligation. The Company records the amount of revenue and related costs by considering whether the entity is a principal (gross presentation) or an agent (net presentation) by evaluating the nature of its promise to the customer. Revenue is presented net of sales, value-added and other taxes collected from customers and remitted to government authorities. The Company has two primary revenue streams: core revenue and non-core revenue. Core Revenue The Company generates its core revenue from the following sources: (1) software licenses, (2) services, which include implementation and consulting services, and (3) subscription and support, which includes post contract support, of its enterprise software solutions for the lease and finance industry. The Company offers its software using the same underlying technology via two models: a traditional on-premises licensing model and a subscription model. The on-premises model involves the sale or license of software on a perpetual basis to customers who take possession of the software and install and maintain the software on their own hardware. Under the subscription delivery model, the Company provides access to its software on a hosted basis as a service and customers generally do not have the contractual right to take possession of the software. Non-Core Revenue The Company generates its non-core revenue by providing business process outsourcing (“BPO”), other IT services and internet services. Performance Obligations A performance obligation is a promise in a contract to transfer a distinct good or service to the customer and is the unit of account under Topic 606. The transaction price is allocated to each distinct performance obligation and recognized as revenue when, or as, the performance obligation is satisfied by transferring the promised good or service to the customer. The Company identifies and tracks the performance obligations at contract inception so that the Company can monitor and account for the performance obligations over the life of the contract. The Company’s contracts which contain multiple performance obligations generally consist of the initial purchase of subscription or licenses and a professional services engagement. License purchases generally have multiple performance obligations as customers purchase post contract support and services in addition to the licenses. The Company’s single performance obligation arrangements are typically post contract support renewals, subscription renewals and services engagements. For contracts with multiple performance obligations where the contracted price differs from the standalone selling price (“SSP”) for any distinct good or service, the Company may be required to allocate the contract’s transaction price to each performance obligation using its best estimate for the SSP. Software Licenses Transfer of control for software is considered to have occurred upon delivery of the product to the customer. The Company’s typical payment terms tend to vary by region, but its standard payment terms are within 30 days of invoice. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) Subscription Subscription revenue is recognized ratably over the initial subscription period committed to by the customer commencing when the product is made available to the customer. The initial subscription period is typically 12 to 60 months. The Company generally invoices its customers in advance in quarterly or annual installments and typical payment terms provide that customers make payment within 30 days of invoice. Post Contract Support Revenue from support services and product updates, referred to as subscription and support revenue, is recognized ratably over the term of the maintenance period, which in most instances is one year. Software license updates provide customers with rights to unspecified software product updates and patches released during the term of the support period on a when-and-if available basis. The Company’s customers purchase both product support and license updates when they acquire new software licenses. In addition, most customers renew their support services contracts annually and typical payment terms provide that customers make payment within 30 days of invoice. Professional Services Revenue from professional services is typically comprised of implementation, development, data migration, training, or other consulting services. Consulting services are generally sold on a time-and-materials or fixed fee basis and can include services ranging from software installation to data conversion and building non-complex interfaces to allow the software to operate in integrated environments. The Company recognizes revenue for time-and-materials arrangements as the services are performed. In fixed fee arrangements, revenue is recognized as services are performed as measured by costs incurred to date, compared to total estimated costs to complete the services project. Management applies judgment when estimating project status and the costs necessary to complete the services projects. A number of internal and external factors can affect these estimates, including labor rates, utilization and efficiency variances and specification and testing requirement changes. Services are generally invoiced upon milestones in the contract or upon consumption of the hourly resources and payments are typically due 30 days after invoice. BPO and Internet Services Revenue from BPO services is recognized based on the stage of completion which is measured by reference to labor hours incurred to date as a percentage of total estimated labor hours for each contract. Internet services are invoiced either monthly, quarterly, or half yearly in advance to the customers and revenue is recognized ratably overtime on a monthly basis. Disaggregated Revenue The Company disaggregates revenue from contracts with customers by category — core and non-core, as it believes it best depicts how the nature, amount, timing and uncertainty of revenue and cash flows are affected by economic factors. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The Company’s disaggregated revenue by category is as follows: SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY 2024 2023 2024 2023 For the Three Months For the Nine Months Ended March 31, Ended March 31, 2024 2023 2024 2023 Core: License $ 558,340 $ 1,982,985 $ 4,829,242 $ 2,248,829 Subscription and support 7,140,358 6,656,082 20,480,382 19,175,585 Services 6,477,849 3,869,444 15,566,480 14,109,271 Total core revenue, net 14,176,547 12,508,511 40,876,104 35,533,685 Non-Core: Services 1,287,969 997,878 4,068,534 3,069,181 Total non-core revenue, net 1,287,969 997,878 4,068,534 3,069,181 Total net revenue $ 15,464,516 $ 13,506,389 $ 44,944,638 $ 38,602,866 Significant Judgments Due to the complexity of certain contracts, the actual revenue recognition treatment required under Topic 606 for the Company’s arrangements may be dependent on contract-specific terms and may vary in some instances. Judgment is required to determine the SSP for each distinct performance obligation. The Company rarely licenses or sells products on a stand-alone basis, so the Company is required to estimate the range of SSPs for each performance obligation. In instances where SSP is not directly observable because the Company does not sell the license, product, or service separately, the Company determines the SSP using information that may include market conditions and other observable inputs. In making these judgments, the Company analyzes various factors, including its pricing methodology and consistency, size of the arrangement, length of term, customer demographics and overall market and economic conditions. Based on these results, the estimated SSP is set for each distinct product or service delivered to customers. The most significant inputs involved in the Company’s revenue recognition policies are: The (1) stand-alone selling prices of the Company’s software license, and the (2) the method of recognizing revenue for installation/customization, and other services. The stand-alone selling price of the licenses was measured primarily through an analysis of pricing that management evaluated when quoting prices to customers. Although the Company has no history of selling its software separately from post contract support and other services, the Company does have historical experience with amending contracts with customers to provide additional modules of its software or providing those modules at an optional price. This information guides the Company in assessing the stand-alone selling price of the Company’s software, since the Company can observe instances where a customer had a particular component of the Company’s software that was essentially priced separate from other goods and services that the Company delivered to that customer. The Company recognizes revenue from implementation and customization services using the percentage of estimated “man-days” that the work requires. The Company believes the level of effort to complete the services is best measured by the amount of time (measured as an employee working for one day on implementation/customization work) that is required to complete the implementation or customization work. The Company reviews its estimate of man-days required to complete implementation and customization services each reporting period. Revenue is recognized over time for the Company’s subscription, post contract support and fixed fee professional services that are separate performance obligations. For the Company’s professional services, revenue is recognized over time, generally using costs incurred or hours expended to measure progress. Judgment is required in estimating project status and the costs necessary to complete projects. A number of internal and external factors can affect these estimates, including labor rates, utilization, specification variances and testing requirement changes. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) If a group of agreements are entered at or near the same time and so closely related that they are, in effect, part of a single arrangement, such agreements are deemed to be combined as one arrangement for revenue recognition purposes. The Company exercises significant judgment to evaluate the relevant facts and circumstances in determining whether agreements should be accounted for separately or as a single arrangement. The Company’s judgments about whether a group of contracts comprise a single arrangement can affect the allocation of consideration to the distinct performance obligations, which could have an effect on results of operations for the periods involved. If a contract includes variable consideration, the Company exercises judgment in estimating the amount of consideration to which the entity will be entitled in exchange for transferring the promised goods or services to a customer. When estimating variable consideration, the Company will consider all relevant facts and circumstances. Variable consideration will be estimated and included in the contract price only when it is probable that a significant reversal in the amount of revenue recognized will not occur. Contract Balances The timing of revenue recognition may differ from the timing of invoicing to customers and these timing differences result in receivables, contract assets (revenues in excess of billings), or contract liabilities (unearned revenue) on the Company’s Consolidated Balance Sheets. The Company records revenues in excess of billings when the Company has transferred goods or services but does not yet have the right to consideration. The Company records unearned revenue when the Company has received or has the right to receive consideration but has not yet transferred goods or services to the customer. The revenues in excess of billings are transferred to receivables when the rights to consideration become unconditional, usually upon completion of a milestone. The Company’s revenues in excess of billings and unearned revenue are as follows: SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE As of As of March 31, 2024 June 30, 2023 Revenues in excess of billings $ 16,412,388 $ 12,377,677 Unearned revenue $ 9,503,548 $ 7,932,306 The Company’s unearned revenue reconciliation is as follows: SCHEDULE OF UNEARNED REVENUE RECONCILIATION Unearned Revenue Balance at June 30, 2023 $ 7,932,306 Invoiced 18,714,384 Revenue Recognized (17,213,051 ) Adjustments 69,909 Balance at March 31, 2024 $ 9,503,548 During the three and nine months ended March 31, 2024, the Company recognized revenue of $ 620,000 7,074,000 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) Revenue allocated to remaining performance obligations represents the transaction price allocated to the performance obligations that are unsatisfied, or partially unsatisfied, which includes unearned revenue and amounts that will be invoiced and recognized as revenue in future periods. Contracted but unsatisfied performance obligations were approximately $ 36,014,000 24,225,000 Unearned Revenue The Company typically invoices its customers for subscription and support fees in advance on a quarterly or annual basis, with payment due at the start of the subscription or support term. Unpaid invoice amounts for non-cancelable license and services starting in future periods are included in accounts receivable and unearned revenue. Practical Expedients and Exemptions There are several practical expedients and exemptions allowed under Topic 606 that impact timing of revenue recognition and the Company’s disclosures. The Company has applied the following practical expedients: ● The Company does not evaluate a contract for a significant financing component if payment is expected within one year or less from the transfer of the promised items to the customer. ● The Company generally expenses sales commissions and sales agent fees when incurred when the amortization period would have been one year or less or the commissions are based on cashed received. These costs are recorded within sales and marketing expense in the Consolidated Statement of Operations. ● The Company does not disclose the value of unsatisfied performance obligations for contracts for which the Company recognizes revenue at the amount to which it has the right to invoice for services performed (applies to time-and-material engagements). Costs to Obtain a Contract The Company does not have a material amount of costs to obtain a contract capitalized at any balance sheet date. In general, the Company incurs few direct incremental costs of obtaining new customer contracts. The Company rarely incurs incremental costs to review or otherwise enter into contractual arrangements with customers. In addition, the Company’s sales personnel receive fees that are referred to as commissions, but that are based on more than simply signing up new customers. The Company’s sales personnel are required to perform additional duties beyond new customer contract inception dates, including fulfillment duties and collections efforts.

EARNINGS PER SHARE

EARNINGS PER SHARE	9 Months Ended
	Mar. 31, 2024
Net income (loss) per share:
EARNINGS PER SHARE	NOTE 4 – EARNINGS PER SHARE Basic earnings per share are computed based on the weighted average number of shares of common stock outstanding during the period. Diluted earnings per share is computed based on the weighted average number of shares of common stock plus the effect of dilutive potential common shares outstanding during the period using the treasury stock method. Dilutive potential common shares include outstanding stock options and stock awards. SCHEDULE OF DILUTIVE POTENTIAL COMMON SHARES For the three months For the nine months Net Income Shares Per Share Net Income Shares Per Share Basic income (loss) per share: Net income (loss) available to common shareholders $ 327,549 11,390,888 $ 0.03 $ 766,755 11,369,778 $ 0.07 Effect of dilutive securities Stock options - 39,605 - - 39,605 - Diluted income (loss) per share $ 327,549 11,430,493 $ 0.03 $ 766,755 11,409,383 $ 0.07 For the three months For the nine months Net Income Shares Per Share Net Loss Shares Per Share Basic income (loss) per share: Net income (loss) available to common shareholders $ 2,544,623 11,283,954 $ 0.23 $ (169,032 ) 11,270,466 $ (0.01 ) Effect of dilutive securities Stock options - - - - - - Diluted income (loss) per share $ 2,544,623 11,283,954 $ 0.23 $ (169,032 ) 11,270,466 $ (0.01 ) NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

OTHER COMPREHENSIVE INCOME AND

OTHER COMPREHENSIVE INCOME AND FOREIGN CURRENCY	9 Months Ended
	Mar. 31, 2024
Other Comprehensive Income And Foreign Currency
OTHER COMPREHENSIVE INCOME AND FOREIGN CURRENCY	NOTE 5 – OTHER COMPREHENSIVE INCOME AND FOREIGN CURRENCY The following table represents the functional currencies of the Company and its subsidiaries: The Company and Subsidiaries Functional Currency NetSol Technologies, Inc. USD NTA USD Otoz USD NTE British Pound AEL British Pound VLSH British Pound VLS British Pound VLSIL Euro NetSol PK Pakistan Rupee Connect Pakistan Rupee NetSol Innovation Pakistan Rupee NetSol Thai Thai Bhat Otoz Thai Thai Bhat Australia Australian Dollar Namecet AED NetSol Beijing Chinese Yuan Tianjin Chinese Yuan Assets and liabilities are translated at the exchange rate on the balance sheet date, and operating results are translated at the average exchange rate throughout the period. Accumulated translation losses classified as an item of accumulated other comprehensive loss in the stockholders’ equity section of the consolidated balance sheet were $ 45,505,920 45,975,156 364,389 469,236 (5,181,654) (7,829,909)

MAJOR CUSTOMERS

MAJOR CUSTOMERS	9 Months Ended
	Mar. 31, 2024
Risks and Uncertainties [Abstract]
MAJOR CUSTOMERS	NOTE 6 – MAJOR CUSTOMERS During the three and nine months ended March 31, 2024, revenues from Daimler Financial Services (“DFS”) were $ 4,207,409 11,840,101 27.2 26.3 3,754,752 10,824,636 27.8 28.0 Accounts receivable from DFS at March 31, 2024 and June 30, 2023, were $ 7,379,879 4,368,881 2,275,426 1,961,750 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

OTHER CURRENT ASSETS

OTHER CURRENT ASSETS	9 Months Ended
	Mar. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
OTHER CURRENT ASSETS	NOTE 7 - OTHER CURRENT ASSETS Other current assets consisted of the following: SCHEDULE OF OTHER CURRENT ASSETS As of As of March 31, 2024 June 30, 2023 Prepaid Expenses $ 1,408,652 $ 1,299,334 Advance Income Tax 295,226 144,428 Employee Advances 116,184 68,488 Security Deposits 193,289 177,148 Other Receivables 135,690 92,716 Other Assets 249,362 196,400 Net Balance $ 2,398,403 $ 1,978,514

REVENUES IN EXCESS OF BILLINGS

REVENUES IN EXCESS OF BILLINGS – LONG TERM	9 Months Ended
	Mar. 31, 2024
Contractors [Abstract]
REVENUES IN EXCESS OF BILLINGS – LONG TERM	NOTE 8 – REVENUES IN EXCESS OF BILLINGS – LONG TERM Revenues in excess of billings, net consisted of the following: SCHEDULE OF REVENUE IN EXCESS OF BILLING As of As of March 31, 2024 June 30, 2023 Revenues in excess of billings - long term $ 826,449 $ - Present value discount (73,867 ) - Net Balance $ 752,582 $ - Pursuant to revenue recognition for contract accounting, the Company has recorded revenues in excess of billings long-term for amounts billable after one year. During the three and nine months ended March 31, 2024, the Company accreted $ 12,309 30,773 9,372 28,029 7.34 4.65 6.25 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

PROPERTY AND EQUIPMENT

PROPERTY AND EQUIPMENT	9 Months Ended
	Mar. 31, 2024
Property, Plant and Equipment [Abstract]
PROPERTY AND EQUIPMENT	NOTE 9 - PROPERTY AND EQUIPMENT Property and equipment consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT As of As of March 31, 2024 June 30, 2023 Office Furniture and Equipment $ 2,469,658 $ 2,678,664 Computer Equipment 8,561,715 8,317,131 Assets Under Capital Leases 154,762 46,554 Building 3,607,498 3,497,913 Land 914,722 885,474 Autos 1,964,370 1,941,063 Improvements 207,726 205,289 Subtotal 17,880,451 17,572,088 Accumulated Depreciation (12,374,842 ) (11,410,902 ) Property and Equipment, Net $ 5,505,609 $ 6,161,186 For the three and nine months ended March 31, 2024, depreciation expense totaled $ 391,290 and $ 1,225,198 250,126 781,442 507,314 1,598,325 327,177 1,029,012 Following is a summary of fixed assets held under finance leases as of March 31, 2024 and June 30, 2023: SCHEDULE OF FIXED ASSETS HELD UNDER CAPITAL LEASES As of As of March 31, 2024 June 30, 2023 Vehicles $ 154,762 $ 46,554 Total 154,762 46,554 Less: Accumulated Depreciation - Net (18,647 ) (17,366 ) Fixed assets held under capital leases, Total $ 136,115 $ 29,188 Finance lease term and discount rate were as follows: SCHEDULE OF FINANCE LEASE TERM As of As of March 31, 2024 June 30, 2023 Weighted average remaining lease term - Finance leases 3 1.21 Weighted average discount rate - Finance leases 11.3 % 16.4 % NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

LEASES

LEASES	9 Months Ended
	Mar. 31, 2024
Leases
LEASES	NOTE 10 - LEASES The Company leases certain office space, office equipment and autos with remaining lease terms of one year 10 one year 10 The Company treats a contract as a lease when the contract conveys the right to use a physically distinct asset for a period of time in exchange for consideration, or the Company directs the use of the asset and obtains substantially all the economic benefits of the asset. These leases are recorded as right-of-use (“ROU”) assets and lease obligation liabilities for leases with terms greater than 12 months. ROU assets represent the Company’s right to use an underlying asset for the entirety of the lease term. Lease liabilities represent the Company’s obligation to make payments over the life of the lease. A ROU asset and a lease liability are recognized at commencement of the lease based on the present value of the lease payments over the life of the lease. Initial direct costs are included as part of the ROU asset upon commencement of the lease. Since the interest rate implicit in a lease is generally not readily determinable for the operating leases, the Company uses an incremental borrowing rate to determine the present value of the lease payments. The incremental borrowing rate represents the rate of interest the Company would have to pay to borrow on a collateralized basis over a similar lease term to obtain an asset of similar value. The Company reviews the impairment of ROU assets consistent with the approach applied for the Company’s other long-lived assets. The Company reviews the recoverability of long-lived assets when events or changes in circumstances occur that indicate that the carrying value of the asset may not be recoverable. The assessment of possible impairment is based on the Company’s ability to recover the carrying value of the asset from the expected undiscounted future pre-tax cash flows of the related operations. The Company elected the practical expedient to exclude short-term leases (leases with original terms of 12 months or less) from ROU asset and lease liability accounts. Lease expense is recognized on a straight-line basis over the lease term, while variable lease payments are expensed as incurred. Variable payments change due to facts or circumstances occurring after the commencement date, other than the passage of time, and do not result in a re-measurement of lease liabilities. The Company’s variable lease payments include payments for finance leases that are adjusted based on a change in the Karachi Inter Bank Offer Rate. The Company’s lease agreements do not contain any significant residual value guarantees or restrictive covenants. Supplemental balance sheet information related to leases was as follows: SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE As of As of March 31, 2024 June 30, 2023 Assets Operating lease assets, net $ 1,490,669 $ 1,151,575 Liabilities Current Operating $ 635,168 $ 505,237 Operating, Current $ 635,168 $ 505,237 Non-current Operating 837,756 652,194 Operating, Non Current 837,756 652,194 Total Lease Liabilities $ 1,472,924 $ 1,157,431 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The components of lease cost were as follows: SCHEDULE OF COMPONENTS OF LEASE COST 2024 2023 2024 2023 For the Three Months For the Nine Months Ended March 31, Ended March 31, 2024 2023 2024 2023 Amortization of finance lease assets $ 3,963 $ 2,569 $ 8,624 $ 8,564 Interest on finance lease obligation 1,434 1,043 3,073 4,402 Operating lease cost 99,201 115,392 304,543 346,993 Short term lease cost 41,087 39,356 122,311 143,978 Sub lease income (8,406 ) (8,099 ) (25,011 ) (23,697 ) Total lease cost $ 137,279 $ 150,261 $ 413,540 $ 480,240 Lease term and discount rate were as follows: SCHEDULE OF LEASE TERM AND DISCOUNT RATE As of As of March 31, 2024 June 30, 2023 Weighted average remaining lease term - Operating leases 2.2 3.09 Weighted average discount rate - Operating leases 4.6 % 4.0 % Supplemental disclosures of cash flow information related to leases were as follows: SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES For the Nine Months Ended March 31, 2024 2023 Operating cash flows related to operating leases $ 230,943 $ 358,778 Operating cash flows related to finance leases $ 3,070 $ 4,472 Financing cash flows related finance leases $ 20,180 $ 24,362 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) Maturities of operating lease liabilities were as follows as of March 31, 2024: SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES Amount Within year 1 $ 698,961 Within year 2 485,363 Within year 3 275,582 Within year 4 108,551 Within year 5 27,494 Thereafter 119 Total Lease Payments 1,596,070 Less: Imputed interest (123,146 ) Present Value of lease liabilities 1,472,924 Less: Current portion (635,168 ) Non-Current portion $ 837,756 The Company is a lessor for certain office space leased by the Company and sub-leased to others under non-cancelable leases. These lease agreements provide for a fixed base rent and are currently on a month-by-month basis. All leases are considered operating leases. There are no rights to purchase the premises and no residual value guarantees. For the three and nine months ended March 31, 2024, the Company received lease income of $ 8,406 25,011 8,099 23,697

INTANGIBLE ASSETS

INTANGIBLE ASSETS	9 Months Ended
	Mar. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
INTANGIBLE ASSETS	NOTE 11 - INTANGIBLE ASSETS Intangible assets consisted of the following: SCHEDULE OF INTANGIBLE ASSETS As of As of March 31, 2024 June 30, 2023 Product Licenses - Cost $ 39,395,533 $ 47,244,997 Effect of Translation Adjustment (24,348,267 ) (24,756,959 ) Accumulated Amortization (15,047,266 ) (22,360,107 ) Net Balance $ - $ 127,931 Product Licenses Product licenses include internally developed software cost. Product licenses are amortized on a straight-line basis over their respective lives. Amortization expense for the three and nine months ended March 31, 2024, was $ nil 126,041 275,652 921,144

ACCOUNTS PAYABLE AND ACCRUED EX

ACCOUNTS PAYABLE AND ACCRUED EXPENSES	9 Months Ended
	Mar. 31, 2024
Payables and Accruals [Abstract]
ACCOUNTS PAYABLE AND ACCRUED EXPENSES	NOTE 12 - ACCOUNTS PAYABLE AND ACCRUED EXPENSES Accounts payable and accrued expenses consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES As of As of March 31, 2024 June 30, 2023 Accounts Payable $ 1,364,926 $ 1,114,915 Accrued Liabilities 3,619,695 3,695,091 Accrued Payroll 1,110,573 982,884 Accrued Payroll Taxes 169,967 170,063 Taxes Payable 88,591 195,491 Other Payable 354,185 393,737 Total $ 6,707,937 $ 6,552,181 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

DEBTS

DEBTS	9 Months Ended
	Mar. 31, 2024
Debt Disclosure [Abstract]
DEBTS	NOTE 13 – DEBTS Notes payable and finance leases consisted of the following: SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES As of March 31, 2024 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 237,600 $ 237,600 $ - Bank Overdraft Facility (2) - - - Loan Payable Bank - Export Refinance (3) 1,799,014 1,799,014 - Loan Payable Bank - Running Finance (4) - - - Loan Payable Bank - Export Refinance II (5) 1,367,251 1,367,251 - Loan Payable Bank - Export Refinance III (6) 2,518,620 2,518,620 - Sale and Leaseback Financing (7) 149,141 107,694 41,447 Term Finance Facility (8) - - - 6,071,626 6,030,179 41,447 Subsidiary Finance Leases (9) 106,266 17,332 88,934 $ 6,177,892 $ 6,047,511 $ 130,381 As of June 30, 2023 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 89,823 $ 89,823 $ - Bank Overdraft Facility (2) - - - Loan Payable Bank - Export Refinance (3) 1,741,493 1,741,493 - Loan Payable Bank - Running Finance (4) - - - Loan Payable Bank - Export Refinance II (5) 1,323,535 1,323,535 - Loan Payable Bank - Export Refinance III (6) 2,438,089 2,438,089 - Sale and Leaseback Financing (7) 321,113 148,264 172,849 Term Finance Facility (8) 13,356 13,356 - 5,927,409 5,754,560 172,849 Subsidiary Finance Leases (9) 28,330 24,950 3,380 $ 5,955,739 $ 5,779,510 $ 176,229 (1) The Company finances Directors’ and Officers’ (“D&O”) liability insurance and Errors and Omissions (“E&O”) liability insurance, for which the D&O and E&O balances are renewed on an annual basis and, as such, are recorded in current maturities. The interest rate on these financings were ranging from 8.6 10.9 5.0 7.9 (2) The Company’s subsidiary, NTE, has an overdraft facility with HSBC Bank plc whereby the bank would cover any overdrafts up to £ 300,000 379,747 9.5 Nil This overdraft facility requires that the aggregate amount of invoiced trade debtors (net of provisions for bad and doubtful debts and excluding intra-group debtors) of NTE, not exceeding 90 days old, will not be less than an amount equal to 200 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) (3) The Company’s subsidiary, NetSol PK, has an export refinance facility with Askari Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 500,000,000 1,799,014 500,000,000 1,741,493 19.0 17.0 (4) The Company’s subsidiary, NetSol PK, has a running finance facility with Askari Bank Limited, secured by NetSol PK’s assets. The total facility amount is Rs. 53,000,000 192,854 Nil 24.0 24.9 This facility requires NetSol PK to maintain a long-term debt equity ratio of 60:40 and a current ratio of 1:1. As of March 31, 2024, NetSol PK was in compliance with this covenant. (5) The Company’s subsidiary, NetSol PK, has an export refinance facility with Samba Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 380,000,000 1,367,251 380,000,000 1,323,535 19.0 18.0 During the tenure of the loan, the facilities from Samba Bank Limited require NetSol PK to maintain at a minimum a current ratio of 1:1, an interest coverage ratio of 4 times, a leverage ratio of 2 times, and a debt service coverage ratio of 4 times. As of March 31, 2024, NetSol PK was in compliance with these covenants. (6) The Company’s subsidiary, NetSol PK, has an export refinance facility with Habib Metro Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 900,000,000 3,238,225 900,000,000 3,134,687 700,000,000 2,518,620 700,000,000 2,438,089 19.0 18.0 (7) The Company’s subsidiary, NetSol PK, availed sale and leaseback financing from First Habib Modaraba secured by the transfer of the vehicles’ title. As of March 31, 2024, NetSol PK used Rs. 41,450,876 149,141 41,447 107,694 92,194,774 321,113 172,849 148,264 9.0 16.0 (8) In March 2019, the Company’s subsidiary, VLS, entered into a loan agreement. The loan amount was £ 69,549 88,037 5 1,349 1,708 13,356 6.14 (9) The Company leases various fixed assets under finance lease arrangements expiring in various years through 2028. The assets and liabilities under finance leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are secured by the assets themselves. Depreciation of assets under finance leases is included in depreciation expense for the three months ended March 31, 2024 and 2023. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) Following are the aggregate minimum future lease payments under finance leases as of March 31, 2024: SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES Amount Minimum Lease Payments Within year 1 $ 29,213 Within year 2 22,805 Within year 3 88,023 Total Minimum Lease Payments 140,041 Interest Expense relating to future periods (33,775 ) Present Value of minimum lease payments 106,266 Less: Current portion (17,332 ) Non-Current portion $ 88,934 Following are the aggregate future long term debt payments as of March 31, 2024 which consists of “Sale and Leaseback Financing (7)” and “Term Finance Facility (8)”. SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS Amount Loan Payments Within year 1 $ 107,696 Within year 2 41,445 Total Loan Payments 149,141 Less: Current portion (107,694 ) Non-Current portion $ 41,447

STOCKHOLDERS_ EQUITY

STOCKHOLDERS’ EQUITY	9 Months Ended
	Mar. 31, 2024
Equity [Abstract]
STOCKHOLDERS’ EQUITY	NOTE 14 - STOCKHOLDERS’ EQUITY During the three and nine months ended March 31, 2024, the Company issued 14,352 54,384 39,750 119,250 During the three and nine months ended March 31, 2024, the Company issued nil 5,000 nil 9,050 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) Stock Grants The following table summarizes stock grants awarded as compensation: SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION # Number of Weighted Unvested, June 30, 2022 - $ - Granted 58,317 $ 2.73 Vested (58,317 ) $ 2.73 Unvested, June 30, 2023 - $ - Granted 59,384 $ 2.16 Vested (59,384 ) $ 2.16 Unvested, March 31, 2024 - $ - For the three and nine months ended March 31, 2024, the Company recorded compensation expense of $ 39,750 128,300 39,750 119,250

INCENTIVE AND NON-STATUTORY STO

INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN	9 Months Ended
	Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]
INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN	NOTE 15 – INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN Common stock purchase options consisted of the following: OPTIONS: SCHEDULE OF COMMON STOCK PURCHASE OPTIONS # of shares Weighted Weighted Aggregate Outstanding and exercisable, June 30, 2023 - - - Granted 250,000 $ 2.15 0.74 Exercised - - - Expired / Cancelled - - - Outstanding and exercisable, March 31, 2024 250,000 $ 2.15 0.74 $ 155,000 The aggregate intrinsic value at March 31, 2024 represents the difference between the Company’s closing stock price of $ 2.77 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The following table summarizes information about stock options outstanding and exercisable at March 31, 2024. SUMMARY OF STOCK OPTIONS OUTSTANDING Exercise Price Number Weighted Weighted OPTIONS: $2.15 250,000 0.74 $ 2.15 $ 2.15 250,000 0.74 $ 2.15 Totals 250,000 0.74 $ 2.15 OPTIONS During the nine months ended March 31, 2024, the Company granted 250,000 2.15 one year 101,424 ● Risk-free interest rate - 5.24 ● Expected life – 6 ● Expected volatility – 63.6 ● Expected dividend - 0

OPERATING SEGMENTS

OPERATING SEGMENTS	9 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
OPERATING SEGMENTS	NOTE 16– OPERATING SEGMENTS The Company has identified three The following table presents a summary of identifiable assets as of March 31, 2024 and June 30, 2023: SUMMARY OF IDENTIFIABLE ASSETS As of As of March 31, 2024 June 30, 2023 Identifiable assets: Corporate headquarters $ 984,161 $ 878,899 North America 6,060,509 7,344,122 Europe 9,296,634 8,716,656 Asia - Pacific 46,965,482 41,439,733 Consolidated $ 63,306,786 $ 58,379,410 Identifiable assets $ 63,306,786 $ 58,379,410 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The following table presents a summary of revenue streams by segment for the three months ended March 31, 2024 and 2023: SUMMARY OF REVENUE STREAMS License fees Subscription Services Total License fees Subscription Services Total 2024 2023 License fees Subscription Services Total License fees Subscription Services Total North America $ - $ 1,161,417 $ 203,657 $ 1,365,074 $ - $ 1,075,286 $ 290,270 $ 1,365,556 Europe 92,925 869,429 2,083,430 3,045,784 65,177 665,585 1,819,610 2,550,372 Asia-Pacific 465,415 5,109,512 5,478,731 11,053,658 1,917,808 4,915,211 2,757,442 9,590,461 Total $ 558,340 $ 7,140,358 $ 7,765,818 $ 15,464,516 $ 1,982,985 $ 6,656,082 $ 4,867,322 $ 13,506,389 The following table presents a summary of revenue streams by segment for the nine months ended March 31, 2024 and 2023: License fees Subscription Services Total License fees Subscription Services Total 2024 2023 License fees Subscription Services Total License fees Subscription Services Total North America $ - $ 3,454,455 $ 784,455 $ 4,238,910 $ 28,000 $ 3,251,397 $ 809,299 $ 4,088,696 Europe 101,891 2,457,513 5,520,770 8,080,174 115,416 1,847,690 5,680,302 7,643,408 Asia-Pacific 4,727,351 14,568,414 13,329,789 32,625,554 2,105,413 14,076,498 10,688,851 26,870,762 Total $ 4,829,242 $ 20,480,382 $ 19,635,014 $ 44,944,638 $ 2,248,829 $ 19,175,585 $ 17,178,452 $ 38,602,866 Revenue $ 4,829,242 $ 20,480,382 $ 19,635,014 $ 44,944,638 $ 2,248,829 $ 19,175,585 $ 17,178,452 $ 38,602,866 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The following table presents a summary of operating information for the three and nine months ended March 31: SUMMARY OF OPERATING INFORMATION 2024 2023 2024 2023 For the Three Months For the Nine Months Ended March 31, Ended March 31, 2024 2023 2024 2023 Revenues from unaffiliated customers: North America $ 1,365,074 $ 1,365,556 $ 4,238,910 $ 4,088,696 Europe 3,045,784 2,550,372 8,080,174 7,643,408 Asia - Pacific 11,053,658 9,590,461 32,625,554 26,870,762 Revenues from unaffiliated customers 15,464,516 13,506,389 44,944,638 38,602,866 Revenue from affiliated customers Asia - Pacific - - - - Revenue from affiliated customers - - - - Consolidated $ 15,464,516 $ 13,506,389 $ 44,944,638 $ 38,602,866 Revenue $ 15,464,516 $ 13,506,389 $ 44,944,638 $ 38,602,866 Intercompany revenue Europe $ 100,315 $ 103,249 $ 300,732 $ 292,210 Asia - Pacific 2,601,585 3,026,986 8,087,181 7,720,764 Eliminated $ 2,701,900 $ 3,130,235 $ 8,387,913 $ 8,012,974 Revenue $ 2,701,900 $ 3,130,235 $ 8,387,913 $ 8,012,974 Net income (loss) after taxes and before non-controlling interest: Corporate headquarters $ (1,003,157 ) $ 289,652 $ (2,229,549 ) $ 919,914 North America 7,679 (3,702 ) (61,546 ) 82,677 Europe 14,516 (103,219 ) (228,303 ) (586,607 ) Asia - Pacific 1,296,832 4,059,800 4,109,146 986,613 Consolidated $ 315,870 $ 4,242,531 $ 1,589,748 $ 1,402,597 Net income (loss) after taxes and before non-controlling interest $ 315,870 $ 4,242,531 $ 1,589,748 $ 1,402,597 Depreciation and amortization: North America $ 407 $ 657 $ 1,305 $ 1,866 Europe 58,469 65,584 179,128 207,186 Asia - Pacific 332,414 716,725 1,170,806 2,310,417 Consolidated $ 391,290 $ 782,966 $ 1,351,239 $ 2,519,469 Depreciation and amortization $ 391,290 $ 782,966 $ 1,351,239 $ 2,519,469 Interest expense: Corporate headquarters $ 12,028 $ 7,834 $ 24,687 $ 16,226 North America - - - - Europe 508 1,806 6,984 8,146 Asia - Pacific 277,141 178,497 824,345 487,738 Consolidated $ 289,677 $ 188,137 $ 856,016 $ 512,110 Interest Expense $ 289,677 $ 188,137 $ 856,016 $ 512,110 Income tax expense: Corporate headquarters $ - $ - $ - $ (44,154 ) North America 800 1,600 800 45,754 Europe - 2,822 (93,583 ) 2,822 Asia - Pacific 145,769 223,296 511,300 636,700 Consolidated $ 146,569 $ 227,718 $ 418,517 $ 641,122 Income tax expense $ 146,569 $ 227,718 $ 418,517 $ 641,122 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The following table presents a summary of capital expenditures for the nine months ended March 31: SUMMARY OF CAPITAL EXPENDITURES 2024 2023 For the Nine Months Ended March 31, 2024 2023 Capital expenditures: North America $ - $ 4,880 Europe 592,432 31,519 Asia - Pacific 355,905 1,538,660 Consolidated $ 948,337 $ 1,575,059 Capital expenditures $ 948,337 $ 1,575,059

NON-CONTROLLING INTEREST IN SUB

NON-CONTROLLING INTEREST IN SUBSIDIARY	9 Months Ended
	Mar. 31, 2024
Noncontrolling Interest [Abstract]
NON-CONTROLLING INTEREST IN SUBSIDIARY	NOTE 17 – NON-CONTROLLING INTEREST IN SUBSIDIARY The Company had non-controlling interests in several of its subsidiaries. The balance of non-controlling interest was as follows: SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST SUBSIDIARY Non-Controlling Non-Controlling NetSol PK 32.38 % $ 4,624,485 NetSol-Innovation 32.38 % (393,420 ) NAMECET 32.38 % (15,591 ) NetSol Thai 0.006 % (136 ) OTOZ Thai 5.60 % (18,532 ) OTOZ 5.59 % (55,887 ) Total $ 4,140,919 SUBSIDIARY Non-Controlling Non-Controlling NetSol PK 32.38 % $ 3,314,659 NetSol-Innovation 32.38 % (223,504 ) NAMECET 32.38 % (5,384 ) NetSol Thai 0.006 % (194 ) OTOZ Thai 5.60 % (23,572 ) OTOZ 5.59 % (86,952 ) Total $ 2,975,053 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

INCOME TAXES

INCOME TAXES	9 Months Ended
	Mar. 31, 2024
Income Tax Disclosure [Abstract]
INCOME TAXES	NOTE 18– INCOME TAXES The current tax provision is based on taxable income for the year determined in accordance with the prevailing law for taxation of income. The charge for tax on income is calculated at the current rates of taxation as applicable after considering tax credit and tax rebates available, if any. We are subject to income taxes in the U.S. and numerous foreign jurisdictions. Our effective tax rate is lower than the U.S. statutory rate primarily because of more earnings realized in countries that have lower statutory tax rates. Our effective tax rate in the future will depend on the portion of our profits earned within and outside the United States. Income from the export of computer software and its related services developed in Pakistan is exempt from tax through June 30, 2025; however, tax at the applicable rates is charged to the income from revenue generated from other than core business activities. During the three and nine months ended March 31, 2024, the Company recorded an income tax provision of $ 146,569 418,517 227,718 641,122

ACCOUNTING POLICIES (Policies)

ACCOUNTING POLICIES (Policies)	9 Months Ended
	Mar. 31, 2024
Accounting Policies [Abstract]
Use of Estimates	Use of Estimates The preparation of consolidated financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. The areas requiring significant estimates are provision for doubtful accounts, provision for taxation, useful life of depreciable assets, useful life of intangible assets, contingencies, assumptions used to determine the net present value of operating lease liabilities, and estimated contract costs. The estimates and underlying assumptions are reviewed on an ongoing basis. Actual results could differ from those estimates.
Concentration of Credit Risk	Concentration of Credit Risk Cash includes cash on hand and demand deposits in accounts maintained within the United States as well as in foreign countries. Certain financial instruments, which subject the Company to concentration of credit risk, consist of cash and restricted cash. The Company maintains balances at financial institutions which, from time to time, may exceed Federal Deposit Insurance Corporation insured limits for the banks located in the United States. Balances at financial institutions within certain foreign countries are not covered by insurance except balances maintained in China are insured for RMB 500,000 69,252 85,000 107,595 11,779,289 13,524,518 The Company’s operations are carried out globally. Accordingly, the Company’s business, financial condition and results of operations may be influenced by the political, economic, and legal environments of each country and by the general state of the country’s economy. The Company’s operations in each foreign country are subject to specific considerations and significant risks not typically associated with companies in economically developed nations. These include risks associated with, among others, the political, economic and legal environments and foreign currency exchange. The Company’s results may be adversely affected by changes in governmental policies with respect to laws and regulations, anti-inflationary measures, currency conversion and remittance abroad, and rates and methods of taxation, among other things.
Fair Value of Financial Instruments	Fair Value of Financial Instruments The Company applies the provisions of Accounting Standards Codification (“ASC”) 820-10, “Fair Value Measurements and Disclosures.” The three levels of valuation hierarchy are defined as follows: Level 1: Valuations consist of unadjusted quoted prices in active markets for identical assets and liabilities and has the highest priority. Level 2: Valuations rely on quoted prices in markets that are not active or observable inputs over the full term of the asset or liability. Level 3: Valuations are based on prices or third party or internal valuation models that require inputs that are significant to the fair value measurement and are less observable and thus have the lowest priority. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) The Company’s financial assets that were measured at fair value on a recurring basis as of March 31, 2024, were as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS Level 1 Level 2 Level 3 Total Assets Revenues in excess of billings - long term $ - $ - $ 752,582 $ 752,582 Total $ - $ - $ 752,582 $ 752,582 The Company did not have any financial assets that were measured at fair value on a recurring basis at June 30, 2023. The reconciliation from June 30, 2023 to March 31, 2024 is as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION Revenues in Fair value discount Total Balance at June 30, 2023 $ - $ - $ - Additions 827,853 (103,958 ) 723,895 Amortization during the period - 30,773 30,773 Effect of Translation Adjustment (1,404 ) (682 ) (2,086 ) Balance at March 31, 2024 $ 826,449 $ (73,867 ) $ 752,582 Management analyzes all financial instruments with features of both liabilities and equity under ASC 480, “Distinguishing Liabilities from Equity” “Derivatives and Hedging.”
Recent Accounting Standards:	Recent Accounting Standards: In October 2021, the FASB issued ASU 2021-08, Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers, which requires contract assets and contract liabilities acquired in a business combination to be recognized in accordance with Accounting Standards Codification (“ASC”) 606, Revenue from Contracts with Customers, as if the acquirer had originated the contracts. ASU 2021-08 is effective for annual periods beginning after December 15, 2022, and interim periods within those years, and was adopted by the Company on July 1, 2023. The adoption of the new standard did not have a material impact on the Company’s consolidated financial statements. In August 2023, the FASB issued ASU 2023-05, “Business Combinations – Joint Venture Formations (Subtopic 805-60): Recognition and Initial Measurement. ASU 2023-05 provides decision-useful information to a joint venture’s investors and reduces diversity in practice by requiring that a joint venture apply a new basis of accounting upon formation. As a result, a newly formed joint venture, upon formation, would initially measure its assets and liabilities at fair value (with exceptions to fair value measurement that are consistent with the business combinations guidance). ASU 2023-05 is effective prospectively for all joint ventures with a formation date on or after January 1, 2025, and early adoption is permitted. The Company does not expect the standard to have a material effect on its consolidated financial statements. All other newly issued accounting pronouncements not yet effective have been deemed either immaterial or not applicable. NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

ACCOUNTING POLICIES (Tables)

ACCOUNTING POLICIES (Tables)	9 Months Ended
	Mar. 31, 2024
Accounting Policies [Abstract]
SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS	The Company’s financial assets that were measured at fair value on a recurring basis as of March 31, 2024, were as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS Level 1 Level 2 Level 3 Total Assets Revenues in excess of billings - long term $ - $ - $ 752,582 $ 752,582 Total $ - $ - $ 752,582 $ 752,582
SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION	The reconciliation from June 30, 2023 to March 31, 2024 is as follows: SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION Revenues in Fair value discount Total Balance at June 30, 2023 $ - $ - $ - Additions 827,853 (103,958 ) 723,895 Amortization during the period - 30,773 30,773 Effect of Translation Adjustment (1,404 ) (682 ) (2,086 ) Balance at March 31, 2024 $ 826,449 $ (73,867 ) $ 752,582

REVENUE RECOGNITION (Tables)

REVENUE RECOGNITION (Tables)	9 Months Ended
	Mar. 31, 2024
Revenue from Contract with Customer [Abstract]
SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY	The Company’s disaggregated revenue by category is as follows: SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY 2024 2023 2024 2023 For the Three Months For the Nine Months Ended March 31, Ended March 31, 2024 2023 2024 2023 Core: License $ 558,340 $ 1,982,985 $ 4,829,242 $ 2,248,829 Subscription and support 7,140,358 6,656,082 20,480,382 19,175,585 Services 6,477,849 3,869,444 15,566,480 14,109,271 Total core revenue, net 14,176,547 12,508,511 40,876,104 35,533,685 Non-Core: Services 1,287,969 997,878 4,068,534 3,069,181 Total non-core revenue, net 1,287,969 997,878 4,068,534 3,069,181 Total net revenue $ 15,464,516 $ 13,506,389 $ 44,944,638 $ 38,602,866
SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE	The Company’s revenues in excess of billings and unearned revenue are as follows: SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE As of As of March 31, 2024 June 30, 2023 Revenues in excess of billings $ 16,412,388 $ 12,377,677 Unearned revenue $ 9,503,548 $ 7,932,306
SCHEDULE OF UNEARNED REVENUE RECONCILIATION	The Company’s unearned revenue reconciliation is as follows: SCHEDULE OF UNEARNED REVENUE RECONCILIATION Unearned Revenue Balance at June 30, 2023 $ 7,932,306 Invoiced 18,714,384 Revenue Recognized (17,213,051 ) Adjustments 69,909 Balance at March 31, 2024 $ 9,503,548

EARNINGS PER SHARE (Tables)

EARNINGS PER SHARE (Tables)	9 Months Ended
	Mar. 31, 2024
Net income (loss) per share:
SCHEDULE OF DILUTIVE POTENTIAL COMMON SHARES	SCHEDULE OF DILUTIVE POTENTIAL COMMON SHARES For the three months For the nine months Net Income Shares Per Share Net Income Shares Per Share Basic income (loss) per share: Net income (loss) available to common shareholders $ 327,549 11,390,888 $ 0.03 $ 766,755 11,369,778 $ 0.07 Effect of dilutive securities Stock options - 39,605 - - 39,605 - Diluted income (loss) per share $ 327,549 11,430,493 $ 0.03 $ 766,755 11,409,383 $ 0.07 For the three months For the nine months Net Income Shares Per Share Net Loss Shares Per Share Basic income (loss) per share: Net income (loss) available to common shareholders $ 2,544,623 11,283,954 $ 0.23 $ (169,032 ) 11,270,466 $ (0.01 ) Effect of dilutive securities Stock options - - - - - - Diluted income (loss) per share $ 2,544,623 11,283,954 $ 0.23 $ (169,032 ) 11,270,466 $ (0.01 )

OTHER CURRENT ASSETS (Tables)

OTHER CURRENT ASSETS (Tables)	9 Months Ended
	Mar. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
SCHEDULE OF OTHER CURRENT ASSETS	Other current assets consisted of the following: SCHEDULE OF OTHER CURRENT ASSETS As of As of March 31, 2024 June 30, 2023 Prepaid Expenses $ 1,408,652 $ 1,299,334 Advance Income Tax 295,226 144,428 Employee Advances 116,184 68,488 Security Deposits 193,289 177,148 Other Receivables 135,690 92,716 Other Assets 249,362 196,400 Net Balance $ 2,398,403 $ 1,978,514

REVENUES IN EXCESS OF BILLING_2

REVENUES IN EXCESS OF BILLINGS – LONG TERM (Tables)	9 Months Ended
	Mar. 31, 2024
Contractors [Abstract]
SCHEDULE OF REVENUE IN EXCESS OF BILLING	Revenues in excess of billings, net consisted of the following: SCHEDULE OF REVENUE IN EXCESS OF BILLING As of As of March 31, 2024 June 30, 2023 Revenues in excess of billings - long term $ 826,449 $ - Present value discount (73,867 ) - Net Balance $ 752,582 $ -

PROPERTY AND EQUIPMENT (Tables)

PROPERTY AND EQUIPMENT (Tables)	9 Months Ended
	Mar. 31, 2024
Property, Plant and Equipment [Abstract]
SCHEDULE OF PROPERTY AND EQUIPMENT	Property and equipment consisted of the following: SCHEDULE OF PROPERTY AND EQUIPMENT As of As of March 31, 2024 June 30, 2023 Office Furniture and Equipment $ 2,469,658 $ 2,678,664 Computer Equipment 8,561,715 8,317,131 Assets Under Capital Leases 154,762 46,554 Building 3,607,498 3,497,913 Land 914,722 885,474 Autos 1,964,370 1,941,063 Improvements 207,726 205,289 Subtotal 17,880,451 17,572,088 Accumulated Depreciation (12,374,842 ) (11,410,902 ) Property and Equipment, Net $ 5,505,609 $ 6,161,186
SCHEDULE OF FIXED ASSETS HELD UNDER CAPITAL LEASES	Following is a summary of fixed assets held under finance leases as of March 31, 2024 and June 30, 2023: SCHEDULE OF FIXED ASSETS HELD UNDER CAPITAL LEASES As of As of March 31, 2024 June 30, 2023 Vehicles $ 154,762 $ 46,554 Total 154,762 46,554 Less: Accumulated Depreciation - Net (18,647 ) (17,366 ) Fixed assets held under capital leases, Total $ 136,115 $ 29,188
SCHEDULE OF FINANCE LEASE TERM	Finance lease term and discount rate were as follows: SCHEDULE OF FINANCE LEASE TERM As of As of March 31, 2024 June 30, 2023 Weighted average remaining lease term - Finance leases 3 1.21 Weighted average discount rate - Finance leases 11.3 % 16.4 %

LEASES (Tables)

LEASES (Tables)	9 Months Ended
	Mar. 31, 2024
Leases
SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE	Supplemental balance sheet information related to leases was as follows: SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE As of As of March 31, 2024 June 30, 2023 Assets Operating lease assets, net $ 1,490,669 $ 1,151,575 Liabilities Current Operating $ 635,168 $ 505,237 Operating, Current $ 635,168 $ 505,237 Non-current Operating 837,756 652,194 Operating, Non Current 837,756 652,194 Total Lease Liabilities $ 1,472,924 $ 1,157,431
SCHEDULE OF COMPONENTS OF LEASE COST	The components of lease cost were as follows: SCHEDULE OF COMPONENTS OF LEASE COST 2024 2023 2024 2023 For the Three Months For the Nine Months Ended March 31, Ended March 31, 2024 2023 2024 2023 Amortization of finance lease assets $ 3,963 $ 2,569 $ 8,624 $ 8,564 Interest on finance lease obligation 1,434 1,043 3,073 4,402 Operating lease cost 99,201 115,392 304,543 346,993 Short term lease cost 41,087 39,356 122,311 143,978 Sub lease income (8,406 ) (8,099 ) (25,011 ) (23,697 ) Total lease cost $ 137,279 $ 150,261 $ 413,540 $ 480,240
SCHEDULE OF LEASE TERM AND DISCOUNT RATE	Lease term and discount rate were as follows: SCHEDULE OF LEASE TERM AND DISCOUNT RATE As of As of March 31, 2024 June 30, 2023 Weighted average remaining lease term - Operating leases 2.2 3.09 Weighted average discount rate - Operating leases 4.6 % 4.0 %
SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES	Supplemental disclosures of cash flow information related to leases were as follows: SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES For the Nine Months Ended March 31, 2024 2023 Operating cash flows related to operating leases $ 230,943 $ 358,778 Operating cash flows related to finance leases $ 3,070 $ 4,472 Financing cash flows related finance leases $ 20,180 $ 24,362
SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES	Maturities of operating lease liabilities were as follows as of March 31, 2024: SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES Amount Within year 1 $ 698,961 Within year 2 485,363 Within year 3 275,582 Within year 4 108,551 Within year 5 27,494 Thereafter 119 Total Lease Payments 1,596,070 Less: Imputed interest (123,146 ) Present Value of lease liabilities 1,472,924 Less: Current portion (635,168 ) Non-Current portion $ 837,756

INTANGIBLE ASSETS (Tables)

INTANGIBLE ASSETS (Tables)	9 Months Ended
	Mar. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]
SCHEDULE OF INTANGIBLE ASSETS	Intangible assets consisted of the following: SCHEDULE OF INTANGIBLE ASSETS As of As of March 31, 2024 June 30, 2023 Product Licenses - Cost $ 39,395,533 $ 47,244,997 Effect of Translation Adjustment (24,348,267 ) (24,756,959 ) Accumulated Amortization (15,047,266 ) (22,360,107 ) Net Balance $ - $ 127,931

ACCOUNTS PAYABLE AND ACCRUED _2

ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Tables)	9 Months Ended
	Mar. 31, 2024
Payables and Accruals [Abstract]
SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES	Accounts payable and accrued expenses consisted of the following: SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES As of As of March 31, 2024 June 30, 2023 Accounts Payable $ 1,364,926 $ 1,114,915 Accrued Liabilities 3,619,695 3,695,091 Accrued Payroll 1,110,573 982,884 Accrued Payroll Taxes 169,967 170,063 Taxes Payable 88,591 195,491 Other Payable 354,185 393,737 Total $ 6,707,937 $ 6,552,181 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited)

DEBTS (Tables)

DEBTS (Tables)	9 Months Ended
	Mar. 31, 2024
Debt Disclosure [Abstract]
SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES	Notes payable and finance leases consisted of the following: SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES As of March 31, 2024 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 237,600 $ 237,600 $ - Bank Overdraft Facility (2) - - - Loan Payable Bank - Export Refinance (3) 1,799,014 1,799,014 - Loan Payable Bank - Running Finance (4) - - - Loan Payable Bank - Export Refinance II (5) 1,367,251 1,367,251 - Loan Payable Bank - Export Refinance III (6) 2,518,620 2,518,620 - Sale and Leaseback Financing (7) 149,141 107,694 41,447 Term Finance Facility (8) - - - 6,071,626 6,030,179 41,447 Subsidiary Finance Leases (9) 106,266 17,332 88,934 $ 6,177,892 $ 6,047,511 $ 130,381 As of June 30, 2023 Current Long-Term Name Total Maturities Maturities D&O Insurance (1) $ 89,823 $ 89,823 $ - Bank Overdraft Facility (2) - - - Loan Payable Bank - Export Refinance (3) 1,741,493 1,741,493 - Loan Payable Bank - Running Finance (4) - - - Loan Payable Bank - Export Refinance II (5) 1,323,535 1,323,535 - Loan Payable Bank - Export Refinance III (6) 2,438,089 2,438,089 - Sale and Leaseback Financing (7) 321,113 148,264 172,849 Term Finance Facility (8) 13,356 13,356 - 5,927,409 5,754,560 172,849 Subsidiary Finance Leases (9) 28,330 24,950 3,380 $ 5,955,739 $ 5,779,510 $ 176,229 (1) The Company finances Directors’ and Officers’ (“D&O”) liability insurance and Errors and Omissions (“E&O”) liability insurance, for which the D&O and E&O balances are renewed on an annual basis and, as such, are recorded in current maturities. The interest rate on these financings were ranging from 8.6 10.9 5.0 7.9 (2) The Company’s subsidiary, NTE, has an overdraft facility with HSBC Bank plc whereby the bank would cover any overdrafts up to £ 300,000 379,747 9.5 Nil This overdraft facility requires that the aggregate amount of invoiced trade debtors (net of provisions for bad and doubtful debts and excluding intra-group debtors) of NTE, not exceeding 90 days old, will not be less than an amount equal to 200 NETSOL TECHNOLOGIES, INC. Notes to Condensed Consolidated Financial Statements March 31, 2024 (Unaudited) (3) The Company’s subsidiary, NetSol PK, has an export refinance facility with Askari Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 500,000,000 1,799,014 500,000,000 1,741,493 19.0 17.0 (4) The Company’s subsidiary, NetSol PK, has a running finance facility with Askari Bank Limited, secured by NetSol PK’s assets. The total facility amount is Rs. 53,000,000 192,854 Nil 24.0 24.9 This facility requires NetSol PK to maintain a long-term debt equity ratio of 60:40 and a current ratio of 1:1. As of March 31, 2024, NetSol PK was in compliance with this covenant. (5) The Company’s subsidiary, NetSol PK, has an export refinance facility with Samba Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 380,000,000 1,367,251 380,000,000 1,323,535 19.0 18.0 During the tenure of the loan, the facilities from Samba Bank Limited require NetSol PK to maintain at a minimum a current ratio of 1:1, an interest coverage ratio of 4 times, a leverage ratio of 2 times, and a debt service coverage ratio of 4 times. As of March 31, 2024, NetSol PK was in compliance with these covenants. (6) The Company’s subsidiary, NetSol PK, has an export refinance facility with Habib Metro Bank Limited, secured by NetSol PK’s assets. This is a revolving loan that matures every nine months. The total facility amount is Rs. 900,000,000 3,238,225 900,000,000 3,134,687 700,000,000 2,518,620 700,000,000 2,438,089 19.0 18.0 (7) The Company’s subsidiary, NetSol PK, availed sale and leaseback financing from First Habib Modaraba secured by the transfer of the vehicles’ title. As of March 31, 2024, NetSol PK used Rs. 41,450,876 149,141 41,447 107,694 92,194,774 321,113 172,849 148,264 9.0 16.0 (8) In March 2019, the Company’s subsidiary, VLS, entered into a loan agreement. The loan amount was £ 69,549 88,037 5 1,349 1,708 13,356 6.14 (9) The Company leases various fixed assets under finance lease arrangements expiring in various years through 2028. The assets and liabilities under finance leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are secured by the assets themselves. Depreciation of assets under finance leases is included in depreciation expense for the three months ended March 31, 2024 and 2023.
SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES	Following are the aggregate minimum future lease payments under finance leases as of March 31, 2024: SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES Amount Minimum Lease Payments Within year 1 $ 29,213 Within year 2 22,805 Within year 3 88,023 Total Minimum Lease Payments 140,041 Interest Expense relating to future periods (33,775 ) Present Value of minimum lease payments 106,266 Less: Current portion (17,332 ) Non-Current portion $ 88,934
SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS	Following are the aggregate future long term debt payments as of March 31, 2024 which consists of “Sale and Leaseback Financing (7)” and “Term Finance Facility (8)”. SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS Amount Loan Payments Within year 1 $ 107,696 Within year 2 41,445 Total Loan Payments 149,141 Less: Current portion (107,694 ) Non-Current portion $ 41,447

STOCKHOLDERS_ EQUITY (Tables)

STOCKHOLDERS’ EQUITY (Tables)	9 Months Ended
	Mar. 31, 2024
Equity [Abstract]
SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION	The following table summarizes stock grants awarded as compensation: SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION # Number of Weighted Unvested, June 30, 2022 - $ - Granted 58,317 $ 2.73 Vested (58,317 ) $ 2.73 Unvested, June 30, 2023 - $ - Granted 59,384 $ 2.16 Vested (59,384 ) $ 2.16 Unvested, March 31, 2024 - $ -

INCENTIVE AND NON-STATUTORY S_2

INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN (Tables)	9 Months Ended
	Mar. 31, 2024
Share-Based Payment Arrangement [Abstract]
SCHEDULE OF COMMON STOCK PURCHASE OPTIONS	SCHEDULE OF COMMON STOCK PURCHASE OPTIONS # of shares Weighted Weighted Aggregate Outstanding and exercisable, June 30, 2023 - - - Granted 250,000 $ 2.15 0.74 Exercised - - - Expired / Cancelled - - - Outstanding and exercisable, March 31, 2024 250,000 $ 2.15 0.74 $ 155,000
SUMMARY OF STOCK OPTIONS OUTSTANDING	The following table summarizes information about stock options outstanding and exercisable at March 31, 2024. SUMMARY OF STOCK OPTIONS OUTSTANDING Exercise Price Number Weighted Weighted OPTIONS: $2.15 250,000 0.74 $ 2.15 $ 2.15 250,000 0.74 $ 2.15 Totals 250,000 0.74 $ 2.15

OPERATING SEGMENTS (Tables)

OPERATING SEGMENTS (Tables)	9 Months Ended
	Mar. 31, 2024
Segment Reporting [Abstract]
SUMMARY OF IDENTIFIABLE ASSETS	The following table presents a summary of identifiable assets as of March 31, 2024 and June 30, 2023: SUMMARY OF IDENTIFIABLE ASSETS As of As of March 31, 2024 June 30, 2023 Identifiable assets: Corporate headquarters $ 984,161 $ 878,899 North America 6,060,509 7,344,122 Europe 9,296,634 8,716,656 Asia - Pacific 46,965,482 41,439,733 Consolidated $ 63,306,786 $ 58,379,410 Identifiable assets $ 63,306,786 $ 58,379,410
SUMMARY OF REVENUE STREAMS	The following table presents a summary of revenue streams by segment for the three months ended March 31, 2024 and 2023: SUMMARY OF REVENUE STREAMS License fees Subscription Services Total License fees Subscription Services Total 2024 2023 License fees Subscription Services Total License fees Subscription Services Total North America $ - $ 1,161,417 $ 203,657 $ 1,365,074 $ - $ 1,075,286 $ 290,270 $ 1,365,556 Europe 92,925 869,429 2,083,430 3,045,784 65,177 665,585 1,819,610 2,550,372 Asia-Pacific 465,415 5,109,512 5,478,731 11,053,658 1,917,808 4,915,211 2,757,442 9,590,461 Total $ 558,340 $ 7,140,358 $ 7,765,818 $ 15,464,516 $ 1,982,985 $ 6,656,082 $ 4,867,322 $ 13,506,389 The following table presents a summary of revenue streams by segment for the nine months ended March 31, 2024 and 2023: License fees Subscription Services Total License fees Subscription Services Total 2024 2023 License fees Subscription Services Total License fees Subscription Services Total North America $ - $ 3,454,455 $ 784,455 $ 4,238,910 $ 28,000 $ 3,251,397 $ 809,299 $ 4,088,696 Europe 101,891 2,457,513 5,520,770 8,080,174 115,416 1,847,690 5,680,302 7,643,408 Asia-Pacific 4,727,351 14,568,414 13,329,789 32,625,554 2,105,413 14,076,498 10,688,851 26,870,762 Total $ 4,829,242 $ 20,480,382 $ 19,635,014 $ 44,944,638 $ 2,248,829 $ 19,175,585 $ 17,178,452 $ 38,602,866 Revenue $ 4,829,242 $ 20,480,382 $ 19,635,014 $ 44,944,638 $ 2,248,829 $ 19,175,585 $ 17,178,452 $ 38,602,866
SUMMARY OF OPERATING INFORMATION	The following table presents a summary of operating information for the three and nine months ended March 31: SUMMARY OF OPERATING INFORMATION 2024 2023 2024 2023 For the Three Months For the Nine Months Ended March 31, Ended March 31, 2024 2023 2024 2023 Revenues from unaffiliated customers: North America $ 1,365,074 $ 1,365,556 $ 4,238,910 $ 4,088,696 Europe 3,045,784 2,550,372 8,080,174 7,643,408 Asia - Pacific 11,053,658 9,590,461 32,625,554 26,870,762 Revenues from unaffiliated customers 15,464,516 13,506,389 44,944,638 38,602,866 Revenue from affiliated customers Asia - Pacific - - - - Revenue from affiliated customers - - - - Consolidated $ 15,464,516 $ 13,506,389 $ 44,944,638 $ 38,602,866 Revenue $ 15,464,516 $ 13,506,389 $ 44,944,638 $ 38,602,866 Intercompany revenue Europe $ 100,315 $ 103,249 $ 300,732 $ 292,210 Asia - Pacific 2,601,585 3,026,986 8,087,181 7,720,764 Eliminated $ 2,701,900 $ 3,130,235 $ 8,387,913 $ 8,012,974 Revenue $ 2,701,900 $ 3,130,235 $ 8,387,913 $ 8,012,974 Net income (loss) after taxes and before non-controlling interest: Corporate headquarters $ (1,003,157 ) $ 289,652 $ (2,229,549 ) $ 919,914 North America 7,679 (3,702 ) (61,546 ) 82,677 Europe 14,516 (103,219 ) (228,303 ) (586,607 ) Asia - Pacific 1,296,832 4,059,800 4,109,146 986,613 Consolidated $ 315,870 $ 4,242,531 $ 1,589,748 $ 1,402,597 Net income (loss) after taxes and before non-controlling interest $ 315,870 $ 4,242,531 $ 1,589,748 $ 1,402,597 Depreciation and amortization: North America $ 407 $ 657 $ 1,305 $ 1,866 Europe 58,469 65,584 179,128 207,186 Asia - Pacific 332,414 716,725 1,170,806 2,310,417 Consolidated $ 391,290 $ 782,966 $ 1,351,239 $ 2,519,469 Depreciation and amortization $ 391,290 $ 782,966 $ 1,351,239 $ 2,519,469 Interest expense: Corporate headquarters $ 12,028 $ 7,834 $ 24,687 $ 16,226 North America - - - - Europe 508 1,806 6,984 8,146 Asia - Pacific 277,141 178,497 824,345 487,738 Consolidated $ 289,677 $ 188,137 $ 856,016 $ 512,110 Interest Expense $ 289,677 $ 188,137 $ 856,016 $ 512,110 Income tax expense: Corporate headquarters $ - $ - $ - $ (44,154 ) North America 800 1,600 800 45,754 Europe - 2,822 (93,583 ) 2,822 Asia - Pacific 145,769 223,296 511,300 636,700 Consolidated $ 146,569 $ 227,718 $ 418,517 $ 641,122 Income tax expense $ 146,569 $ 227,718 $ 418,517 $ 641,122
SUMMARY OF CAPITAL EXPENDITURES	The following table presents a summary of capital expenditures for the nine months ended March 31: SUMMARY OF CAPITAL EXPENDITURES 2024 2023 For the Nine Months Ended March 31, 2024 2023 Capital expenditures: North America $ - $ 4,880 Europe 592,432 31,519 Asia - Pacific 355,905 1,538,660 Consolidated $ 948,337 $ 1,575,059 Capital expenditures $ 948,337 $ 1,575,059

NON-CONTROLLING INTEREST IN S_2

NON-CONTROLLING INTEREST IN SUBSIDIARY (Tables)	9 Months Ended
	Mar. 31, 2024
Noncontrolling Interest [Abstract]
SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST	The Company had non-controlling interests in several of its subsidiaries. The balance of non-controlling interest was as follows: SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST SUBSIDIARY Non-Controlling Non-Controlling NetSol PK 32.38 % $ 4,624,485 NetSol-Innovation 32.38 % (393,420 ) NAMECET 32.38 % (15,591 ) NetSol Thai 0.006 % (136 ) OTOZ Thai 5.60 % (18,532 ) OTOZ 5.59 % (55,887 ) Total $ 4,140,919 SUBSIDIARY Non-Controlling Non-Controlling NetSol PK 32.38 % $ 3,314,659 NetSol-Innovation 32.38 % (223,504 ) NAMECET 32.38 % (5,384 ) NetSol Thai 0.006 % (194 ) OTOZ Thai 5.60 % (23,572 ) OTOZ 5.59 % (86,952 ) Total $ 2,975,053

SCHEDULE OF FAIR VALUE OF FINAN

SCHEDULE OF FAIR VALUE OF FINANCIAL ASSETS MEASURED ON RECURRING BASIS (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Platform Operator, Crypto Asset [Line Items]
Revenues in excess of billings - long term	$ 752,582
Total	752,582
Fair Value, Inputs, Level 1 [Member]
Platform Operator, Crypto Asset [Line Items]
Revenues in excess of billings - long term
Total
Fair Value, Inputs, Level 2 [Member]
Platform Operator, Crypto Asset [Line Items]
Revenues in excess of billings - long term
Total
Fair Value, Inputs, Level 3 [Member]
Platform Operator, Crypto Asset [Line Items]
Revenues in excess of billings - long term	752,582
Total	$ 752,582

SCHEDULE OF FAIR VALUE OF FIN_2

SCHEDULE OF FAIR VALUE OF FINANCIAL INSTRUMENTS RECONCILIATION (Details)	9 Months Ended
	Mar. 31, 2024 USD ($)
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance
Additions	723,895
Amortization during the period	30,773
Effect of Translation Adjustment	(2,086)
Ending balance	752,582
Revenues in Excess of Billings - Long Term [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance
Additions	827,853
Amortization during the period
Effect of Translation Adjustment	(1,404)
Ending balance	826,449
Fair Value Discount [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Beginning balance
Additions	(103,958)
Amortization during the period	30,773
Effect of Translation Adjustment	(682)
Ending balance	$ (73,867)

ACCOUNTING POLICIES (Details Na

ACCOUNTING POLICIES (Details Narrative)	Mar. 31, 2024 USD ($)	Mar. 31, 2024 CNY (¥)	Mar. 31, 2024 GBP (£)	Jun. 30, 2023 USD ($)
Uninsured deposits related to cash deposits	$ 11,779,289			$ 13,524,518
CHINA
Uninsured deposits related to cash deposits	69,252	¥ 500,000
UNITED KINGDOM
Uninsured deposits related to cash deposits	$ 107,595		£ 85,000

SCHEDULE OF DISAGGREGATED REVEN

SCHEDULE OF DISAGGREGATED REVENUE BY CATEGORY (Details) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Disaggregation of Revenue [Line Items]
Total net revenue	$ 15,464,516	$ 13,506,389	$ 44,944,638	$ 38,602,866
License [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	558,340	1,982,985	4,829,242	2,248,829
Subscription and Support [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	7,140,358	6,656,082	20,480,382	19,175,585
Service [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	7,765,818	4,867,322	19,635,014	17,178,452
Core Revenue [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	14,176,547	12,508,511	40,876,104	35,533,685
Core Revenue [Member] | License [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	558,340	1,982,985	4,829,242	2,248,829
Core Revenue [Member] | Subscription and Support [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	7,140,358	6,656,082	20,480,382	19,175,585
Core Revenue [Member] | Service [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	6,477,849	3,869,444	15,566,480	14,109,271
Non-Core Revenue [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	1,287,969	997,878	4,068,534	3,069,181
Non-Core Revenue [Member] | Service [Member]
Disaggregation of Revenue [Line Items]
Total net revenue	$ 1,287,969	$ 997,878	$ 4,068,534	$ 3,069,181

SCHEDULE OF REVENUES IN EXCESS

SCHEDULE OF REVENUES IN EXCESS OF BILLINGS AND DEFERRED REVENUE (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Revenue from Contract with Customer [Abstract]
Revenues in excess of billings	$ 16,412,388	$ 12,377,677
Unearned revenue	$ 9,503,548	$ 7,932,306

SCHEDULE OF UNEARNED REVENUE RE

SCHEDULE OF UNEARNED REVENUE RECONCILIATION (Details)	9 Months Ended
	Mar. 31, 2024 USD ($)
Revenue from Contract with Customer [Abstract]
Beginning balance	$ 7,932,306
Invoiced	18,714,384
Revenue Recognized	(17,213,051)
Adjustments	69,909
Ending balance	$ 9,503,548

REVENUE RECOGNITION (Details Na

REVENUE RECOGNITION (Details Narrative)	3 Months Ended	9 Months Ended
	Mar. 31, 2024 USD ($)	Mar. 31, 2024 USD ($)
Revenue from Contract with Customer [Abstract]
Recognized revenue	$ 620,000	$ 7,074,000
Unsatisfied performance obligation	36,014,000	36,014,000
Contracted but unsatisfied performance obligations, next twelve months	$ 24,225,000	$ 24,225,000

SCHEDULE OF DILUTIVE POTENTIAL

SCHEDULE OF DILUTIVE POTENTIAL COMMON SHARES (Details) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Net income (loss) per share:
Net income (loss) available to common shareholders, Basic Net Income	$ 327,549	$ 2,544,623	$ 766,755	$ (169,032)
Net income (loss) available to common shareholders, Basic Shares	11,390,888	11,283,954	11,369,778	11,270,466
Net income (loss) available to common shareholders, Basic Per Share	$ 0.03	$ 0.23	$ 0.07	$ (0.01)
Stock options, Shares	39,605		39,605
Net income (loss) available to common shareholders, Diluted Net Income	$ 327,549	$ 2,544,623	$ 766,755	$ (169,032)
Net income (loss) available to common shareholders, Diluted Shares	11,430,493	11,283,954	11,409,383	11,270,466
Net income (loss) available to common shareholders, Diluted Per Share	$ 0.03	$ 0.23	$ 0.07	$ (0.01)

OTHER COMPREHENSIVE INCOME AN_2

OTHER COMPREHENSIVE INCOME AND FOREIGN CURRENCY (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023	Jun. 30, 2023
Other Comprehensive Income And Foreign Currency
Accumulated other comprehensive loss	$ 45,505,920		$ 45,505,920		$ 45,975,156
Net translation adjustment	$ 364,389	$ (5,181,654)	$ 469,236	$ (7,829,909)

MAJOR CUSTOMERS (Details Narrat

MAJOR CUSTOMERS (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023	Jun. 30, 2023
Concentration Risk [Line Items]
Revenue	$ 15,464,516	$ 13,506,389	$ 44,944,638	$ 38,602,866
Revenues in excess of billings	15,659,806		15,659,806		$ 12,377,677
Daimler Financial Services [Member]
Concentration Risk [Line Items]
Revenues in excess of billings	$ 2,275,426		$ 2,275,426		1,961,750
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Daimler Financial Services [Member]
Concentration Risk [Line Items]
Concentration risk, percentage	27.20%	27.80%	26.30%	28%
Accounts Receivable [Member] | Daimler Financial Services [Member]
Concentration Risk [Line Items]
Accounts receivable, gross	$ 7,379,879		$ 7,379,879		$ 4,368,881
Daimler Financial Services [Member]
Concentration Risk [Line Items]
Revenue	$ 4,207,409	$ 3,754,752	$ 11,840,101	$ 10,824,636

SCHEDULE OF OTHER CURRENT ASSET

SCHEDULE OF OTHER CURRENT ASSETS (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]
Prepaid Expenses	$ 1,408,652	$ 1,299,334
Advance Income Tax	295,226	144,428
Employee Advances	116,184	68,488
Security Deposits	193,289	177,148
Other Receivables	135,690	92,716
Other Assets	249,362	196,400
Net Balance	$ 2,398,403	$ 1,978,514

SCHEDULE OF REVENUE IN EXCESS O

SCHEDULE OF REVENUE IN EXCESS OF BILLING (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Accounts, Notes, Loans and Financing Receivable [Line Items]
Net Balance	$ 752,582
Present value discount	(752,582)
Revenues in Excess of Billings - Long Term [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Net Balance	826,449
Present value discount	(826,449)
Fair Value Discount [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Net Balance	73,867
Present value discount	$ (73,867)

REVENUES IN EXCESS OF BILLING_3

REVENUES IN EXCESS OF BILLINGS – LONG TERM (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Construction Contractor, Receivable, after Year One, Interest Rate [Line Items]
Interest income	$ 12,309	$ 9,372	$ 30,773	$ 28,029
Interest rate discount			7.34%
Minimum [Member]
Construction Contractor, Receivable, after Year One, Interest Rate [Line Items]
Interest rate discount				4.65%
Maximum [Member]
Construction Contractor, Receivable, after Year One, Interest Rate [Line Items]
Interest rate discount				6.25%

SCHEDULE OF PROPERTY AND EQUIPM

SCHEDULE OF PROPERTY AND EQUIPMENT (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Property, Plant and Equipment [Line Items]
Subtotal	$ 17,880,451	$ 17,572,088
Accumulated Depreciation	(12,374,842)	(11,410,902)
Property and Equipment, Net	5,505,609	6,161,186
Office Furniture and Equipment [Member]
Property, Plant and Equipment [Line Items]
Subtotal	2,469,658	2,678,664
Computer Equipment [Member]
Property, Plant and Equipment [Line Items]
Subtotal	8,561,715	8,317,131
Assets Held under Capital Leases [Member]
Property, Plant and Equipment [Line Items]
Subtotal	154,762	46,554
Building [Member]
Property, Plant and Equipment [Line Items]
Subtotal	3,607,498	3,497,913
Land [Member]
Property, Plant and Equipment [Line Items]
Subtotal	914,722	885,474
Automobiles [Member]
Property, Plant and Equipment [Line Items]
Subtotal	1,964,370	1,941,063
Leasehold Improvements [Member]
Property, Plant and Equipment [Line Items]
Subtotal	$ 207,726	$ 205,289

SCHEDULE OF FIXED ASSETS HELD U

SCHEDULE OF FIXED ASSETS HELD UNDER CAPITAL LEASES (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Property, Plant and Equipment [Line Items]
Total	$ 154,762	$ 46,554
Less: Accumulated Depreciation - Net	(18,647)	(17,366)
Fixed assets held under capital leases, Total	136,115	29,188
Vehicles [Member]
Property, Plant and Equipment [Line Items]
Total	$ 154,762	$ 46,554

SCHEDULE OF FINANCE LEASE TERM

SCHEDULE OF FINANCE LEASE TERM (Details)	Mar. 31, 2024	Jun. 30, 2023
Property, Plant and Equipment [Abstract]
Weighted average remaining lease term - Finance leases	3 years	1 year 2 months 15 days
Weighted average discount rate - Finance leases	11.30%	16.40%

PROPERTY AND EQUIPMENT (Details

PROPERTY AND EQUIPMENT (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Property, Plant and Equipment [Abstract]
Depreciation	$ 391,290	$ 507,314	$ 1,225,198	$ 1,598,325
Depreciation reflected in cost of revenues	$ 250,126	$ 327,177	$ 781,442	$ 1,029,012

SCHEDULE OF BALANCE SHEET INFOR

SCHEDULE OF BALANCE SHEET INFORMATION RELATED TO LEASE (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Leases
Operating lease assets, net	$ 1,490,669	$ 1,151,575
Operating, Current	635,168	505,237
Operating, Non Current	837,756	652,194
Total Lease Liabilities	$ 1,472,924	$ 1,157,431

SCHEDULE OF COMPONENTS OF LEASE

SCHEDULE OF COMPONENTS OF LEASE COST (Details) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Leases
Amortization of finance lease assets	$ 3,963	$ 2,569	$ 8,624	$ 8,564
Interest on finance lease obligation	1,434	1,043	3,073	4,402
Operating lease cost	99,201	115,392	304,543	346,993
Short term lease cost	41,087	39,356	122,311	143,978
Sub lease income	(8,406)	(8,099)	(25,011)	(23,697)
Total lease cost	$ 137,279	$ 150,261	$ 413,540	$ 480,240

SCHEDULE OF LEASE TERM AND DISC

SCHEDULE OF LEASE TERM AND DISCOUNT RATE (Details)	Mar. 31, 2024	Jun. 30, 2023
Leases
Weighted average remaining lease term - Operating leases	2 years 2 months 12 days	3 years 1 month 2 days
Weighted average discount rate - Operating leases	4.60%	4%

SCHEDULE OF SUPPLEMENTAL DISCLO

SCHEDULE OF SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION RELATED TO LEASES (Details) - USD ($)	9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Leases
Operating cash flows related to operating leases	$ 230,943	$ 358,778
Operating cash flows related to finance leases	3,070	4,472
Financing cash flows related finance leases	$ 20,180	$ 24,362

SCHEDULE OF MATURITIES OF OPERA

SCHEDULE OF MATURITIES OF OPERATING LEASE LIABILITIES (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Leases
Within year 1	$ 698,961
Within year 2	485,363
Within year 3	275,582
Within year 4	108,551
Within year 5	27,494
Thereafter	119
Total Lease Payments	1,596,070
Less: Imputed interest	(123,146)
Present Value of lease liabilities	1,472,924	$ 1,157,431
Less: Current portion	(635,168)	(505,237)
Non-Current portion	$ 837,756	$ 652,194

LEASES (Details Narrative)

LEASES (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Lease Agreement [Member]
Operating lease income	$ 8,406	$ 8,099	$ 25,011	$ 23,697
Minimum [Member]
Finance lease term	1 year		1 year
Operating lease term	1 year		1 year
Maximum [Member]
Finance lease term	10 years		10 years
Operating lease term	10 years		10 years

SCHEDULE OF INTANGIBLE ASSETS (

SCHEDULE OF INTANGIBLE ASSETS (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Goodwill and Intangible Assets Disclosure [Abstract]
Product Licenses - Cost	$ 39,395,533	$ 47,244,997
Effect of Translation Adjustment	(24,348,267)	(24,756,959)
Accumulated Amortization	(15,047,266)	(22,360,107)
Net Balance		$ 127,931

INTANGIBLE ASSETS (Details Narr

INTANGIBLE ASSETS (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Product Licenses [Member]
Finite-Lived Intangible Assets [Line Items]
Amortization expenses of intangible assets		$ 275,652	$ 126,041	$ 921,144

SCHEDULE OF ACCOUNTS PAYABLE AN

SCHEDULE OF ACCOUNTS PAYABLE AND ACCRUED EXPENSES (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Payables and Accruals [Abstract]
Accounts Payable	$ 1,364,926	$ 1,114,915
Accrued Liabilities	3,619,695	3,695,091
Accrued Payroll	1,110,573	982,884
Accrued Payroll Taxes	169,967	170,063
Taxes Payable	88,591	195,491
Other Payable	354,185	393,737
Total	$ 6,707,937	$ 6,552,181

SCHEDULE OF COMPONENTS OF NOTES

SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES (Details) - USD ($)		Mar. 31, 2024	Jun. 30, 2023
Debt Instrument [Line Items]
Total		$ 6,071,626	$ 5,927,409
Current Maturities		6,030,179	5,754,560
Long-Term Maturities		41,447	172,849
Subsidiary Finance Leases, Total	[1]	106,266	28,330
Subsidiary Finance Leases, Current Maturities	[1]	17,332	24,950
Subsidiary Finance Leases, Long-Term Maturities	[1]	88,934	3,380
Total		6,177,892	5,955,739
Current Maturities		6,047,511	5,779,510
Long-Term Maturities		130,381	176,229
D&O Insurance [Member]
Debt Instrument [Line Items]
Total	[2]	237,600	89,823
Current Maturities	[2]	237,600	89,823
Long-Term Maturities	[2]
Bank Overdraft Facility [Member]
Debt Instrument [Line Items]
Total	[3]
Current Maturities	[3]
Long-Term Maturities	[3]
Loan Payable Bank - Export Refinance [Member]
Debt Instrument [Line Items]
Total	[4]	1,799,014	1,741,493
Current Maturities	[4]	1,799,014	1,741,493
Long-Term Maturities	[4]
Loan Payable Bank - Running Finance [Member]
Debt Instrument [Line Items]
Total	[5]
Current Maturities	[5]
Long-Term Maturities	[5]
Loan Payable Bank - Export Refinance II [Member]
Debt Instrument [Line Items]
Total	[6]	1,367,251	1,323,535
Current Maturities	[6]	1,367,251	1,323,535
Long-Term Maturities	[6]
Loan Payable Bank - Export Refinance III [Member]
Debt Instrument [Line Items]
Total	[7]	2,518,620	2,438,089
Current Maturities	[7]	2,518,620	2,438,089
Long-Term Maturities	[7]
Sale and Leaseback Financing [Member]
Debt Instrument [Line Items]
Total	[8]	149,141	321,113
Current Maturities	[8]	107,694	148,264
Long-Term Maturities	[8]	41,447	172,849
Term Finance Facility [Member]
Debt Instrument [Line Items]
Total	[9]		13,356
Current Maturities	[9]		13,356
Long-Term Maturities	[9]
[1]The Company leases various fixed assets under finance lease arrangements expiring in various years through 2028. The assets and liabilities under finance leases are recorded at the lower of the present value of the minimum lease payments or the fair value of the asset. The assets are secured by the assets themselves. Depreciation of assets under finance leases is included in depreciation expense for the three months ended March 31, 2024 and 2023.[2]The Company finances Directors’ and Officers’ (“D&O”) liability insurance and Errors and Omissions (“E&O”) liability insurance, for which the D&O and E&O balances are renewed on an annual basis and, as such, are recorded in current maturities. The interest rate on these financings were ranging from 8.6 10.9 5.0 7.9 300,000 379,747 9.5 Nil 500,000,000 1,799,014 500,000,000 1,741,493 19.0 17.0 53,000,000 192,854 Nil 24.0 24.9 380,000,000 1,367,251 380,000,000 1,323,535 19.0 18.0 900,000,000 3,238,225 900,000,000 3,134,687 700,000,000 2,518,620 700,000,000 2,438,089 19.0 18.0 41,450,876 149,141 41,447 107,694 92,194,774 321,113 172,849 148,264 9.0 16.0 69,549 88,037 5 1,349 1,708 13,356 6.14

SCHEDULE OF COMPONENTS OF NOT_2

SCHEDULE OF COMPONENTS OF NOTES PAYABLE AND CAPITAL LEASES (Details) (Parenthetical)			9 Months Ended
	Mar. 31, 2019 USD ($)	Mar. 31, 2019 GBP (£)	Mar. 31, 2024 USD ($)	Mar. 31, 2024 INR (₨)	Mar. 31, 2024 GBP (£)	Jun. 30, 2023 USD ($)	Jun. 30, 2023 INR (₨)	Jun. 30, 2023 GBP (£)	Mar. 31, 2019 GBP (£)
Virtual Lease Services Limited [Member] | Loan Agreement [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity						$ 13,356
Debt instrument, interest rate			6.14%	6.14%	6.14%	6.14%	6.14%	6.14%
Line of credit	$ 88,037								£ 69,549
Line of credit monthly payments, term	5 years	5 years
Line of credit monthly payments	$ 1,708	£ 1,349
HSBC Bank [Member] | NTE [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 379,747		£ 300,000
Debt instrument, interest rate			9.50%	9.50%	9.50%
Line of credit | £
Commitment fee percentage			200%
Askari Bank Limited [Member] | NetSol PK [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 1,799,014	₨ 500,000,000		$ 1,741,493	₨ 500,000,000
Debt instrument, interest rate			19%	19%	19%	17%	17%	17%
Askari Bank Limited [Member] | NetSol PK [Member] | Running Finance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 192,854	₨ 53,000,000
Debt instrument, interest rate			24%	24%	24%	24.90%	24.90%	24.90%
Line of credit | ₨
Samba Bank Limited [Member] | NetSol PK [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 1,367,251	₨ 380,000,000		$ 1,323,535	₨ 380,000,000
Debt instrument, interest rate			19%	19%	19%	18%	18%	18%
Debt instrument covenant description			During the tenure of the loan, the facilities from Samba Bank Limited require NetSol PK to maintain at a minimum a current ratio of 1:1, an interest coverage ratio of 4 times, a leverage ratio of 2 times, and a debt service coverage ratio of 4 times. As of March 31, 2024, NetSol PK was in compliance with these covenants.
Habib Metro Bank Limited [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 3,238,225	₨ 900,000,000		$ 3,134,687	₨ 900,000,000
Habib Metro Bank Limited [Member] | NetSol PK [Member] | Refinance Facility [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 2,518,620	₨ 700,000,000		$ 2,438,089	₨ 700,000,000
Debt instrument, interest rate			19%	19%	19%	18%	18%	18%
Habib Metro Bank Limited [Member] | NetSol PK [Member] | Sale and Leaseback Financing [Member]
Line of Credit Facility [Line Items]
Line of credit facility, maximum borrowing capacity			$ 149,141	₨ 41,450,876		$ 321,113	₨ 92,194,774
Debt instrument, interest rate			16%	16%	16%	9%	9%	9%
Line of credit, long term			$ 41,447			$ 172,849
Line of credit, current			$ 107,694			$ 148,264
Directors and Officers and Error and Omissions Liability Insurance [Member] | Minimum [Member]
Line of Credit Facility [Line Items]
Line of credit facility interest rate			8.60%	8.60%	8.60%	5%	5%	5%
Directors and Officers and Error and Omissions Liability Insurance [Member] | Maximum [Member]
Line of Credit Facility [Line Items]
Line of credit facility interest rate			10.90%	10.90%	10.90%	7.90%	7.90%	7.90%

SCHEDULE OF AGGREGATE MINIMUM F

SCHEDULE OF AGGREGATE MINIMUM FUTURE LEASE PAYMENTS UNDER CAPITAL LEASES (Details)	Mar. 31, 2024 USD ($)
Debt Disclosure [Abstract]
Within year 1	$ 29,213
Within year 2	22,805
Within year 3	88,023
Total Minimum Lease Payments	140,041
Interest Expense relating to future periods	(33,775)
Present Value of minimum lease payments	106,266
Less: Current portion	(17,332)
Non-Current portion	$ 88,934

SCHEDULE OF AGGREGATE FUTURE LO

SCHEDULE OF AGGREGATE FUTURE LONG TERM DEBT PAYMENTS (Details)	Mar. 31, 2024 USD ($)
Debt Disclosure [Abstract]
Within year 1	$ 107,696
Within year 2	41,445
Total Loan Payments	149,141
Less: Current portion	(107,694)
Non-Current portion	$ 41,447

SUMMARY OF UNVESTED STOCK GRANT

SUMMARY OF UNVESTED STOCK GRANTS AWARDED AS COMPENSATION (Details) - $ / shares	9 Months Ended	12 Months Ended
	Mar. 31, 2024	Jun. 30, 2023
Equity [Abstract]
Number of shares Unvested
Weighted Average Grant Date Fair Value Unvested
Number of shares Granted	59,384	58,317
Weighted Average Grant Date Fair Value Granted	$ 2.16	$ 2.73
Number of shares Vested	(59,384)	(58,317)
Weighted Average Grant Date Fair Value Vested	$ 2.16	$ 2.73
Number of shares Unvested
Weighted Average Grant Date Fair Value Unvested

STOCKHOLDERS_ EQUITY (Details N

STOCKHOLDERS’ EQUITY (Details Narrative) - USD ($)	3 Months Ended						9 Months Ended
	Mar. 31, 2024	Dec. 31, 2023	Sep. 30, 2023	Mar. 31, 2023	Dec. 31, 2022	Sep. 30, 2022	Mar. 31, 2024	Mar. 31, 2023
Issuance of common stock value for services	$ 39,750	$ 39,750	$ 48,800	$ 39,750	$ 39,750	$ 39,750
Compensation expenses	$ 39,750			$ 39,750			$ 128,300	$ 119,250
Employees [Member]
Issuance of common stock shares for services							5,000
Issuance of common stock value for services							$ 9,050
Director [Member]
Issuance of common stock shares for services	14,352						54,384
Issuance of common stock value for services	$ 39,750						$ 119,250

SCHEDULE OF COMMON STOCK PURCHA

SCHEDULE OF COMMON STOCK PURCHASE OPTIONS (Details)	9 Months Ended
	Mar. 31, 2024 USD ($) $ / shares shares
Share-Based Payment Arrangement [Abstract]
Number of shares options outstanding, beginning shares | shares
Number of shares options exercisable, beginning shares | shares
Weighted average exercise price options outstanding, beginning balance | $ / shares
Weighted average exercise price option exercisable, beginning balance | $ / shares
Number of shares options granted, shares | shares	250,000
Weighted average exercise price options granted | $ / shares	$ 2.15
Weighted average remaining life in years granted	8 months 26 days
Number of shares options exercised, shares | shares
Weighted average exercise price options exercised | $ / shares
Number of shares options expired/cancelled, shares | shares
Weighted average exercise price options expired/cancelled | $ / shares
Number of shares options outstanding, ending shares | shares	250,000
Number of shares options exercisable, ending shares | shares	250,000
Weighted average exercise price options outstanding, ending balance | $ / shares	$ 2.15
Weighted average exercise price option exercisable, ending balance | $ / shares	$ 2.15
Weighted average remaining life in years outstanding	8 months 26 days
Weighted average remaining life in years exercisable	8 months 26 days
Aggregate intrinsic value outstanding | $	$ 155,000
Aggregate intrinsic value exercisable | $	$ 155,000

SUMMARY OF STOCK OPTIONS OUTSTA

SUMMARY OF STOCK OPTIONS OUTSTANDING (Details) - $ / shares	9 Months Ended
	Mar. 31, 2024	Jun. 30, 2023
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Options outstanding, outstanding number of options, shares	250,000
Options exercisable, exercisable number of options, shares	250,000
Options outstanding weighted average remaining life in years	8 months 26 days
Options exercisable weighted average remaining life in years	8 months 26 days
Options outstanding weighted average exercise price	$ 2.15
Options exercisable weighted average exercise price	$ 2.15
Range One [Member]
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Options outstanding, outstanding number of options, shares	250,000
Options exercisable, exercisable number of options, shares	250,000
Options outstanding weighted average remaining life in years	8 months 26 days
Options exercisable weighted average remaining life in years	8 months 26 days
Options outstanding weighted average exercise price	$ 2.15
Options exercisable weighted average exercise price	$ 2.15

SUMMARY OF STOCK OPTIONS OUTS_2

SUMMARY OF STOCK OPTIONS OUTSTANDING (Details) (Parenthetical)	9 Months Ended
	Mar. 31, 2024 $ / shares
Range One [Member]
Share-Based Payment Arrangement, Option, Exercise Price Range [Line Items]
Exercise price	$ 2.15

INCENTIVE AND NON-STATUTORY S_3

INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Closing stock price			$ 2.77
Options granted			250,000
Options granted, exercise price			$ 2.15
Weighted average remaining life in years granted			8 months 26 days
Compensation expenses	$ 39,750	$ 39,750	$ 128,300	$ 119,250
Officers And Employees [Member]
Options granted			250,000
Options granted, exercise price			$ 2.15
Weighted average remaining life in years granted			1 year
Compensation expenses			$ 101,424
Risk-free interest rates			5.24%
Expected life (in years)			6 months
Expected volatility			63.60%
Expected dividend			0%

SUMMARY OF IDENTIFIABLE ASSETS

SUMMARY OF IDENTIFIABLE ASSETS (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	$ 63,306,786	$ 58,379,410
Corporate Headquarters [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	984,161	878,899
North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	6,060,509	7,344,122
Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	9,296,634	8,716,656
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Identifiable assets	$ 46,965,482	$ 41,439,733

SUMMARY OF REVENUE STREAMS (Det

SUMMARY OF REVENUE STREAMS (Details) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Revenue from External Customer [Line Items]
Revenue	$ 15,464,516	$ 13,506,389	$ 44,944,638	$ 38,602,866
North America [Member]
Revenue from External Customer [Line Items]
Revenue	1,365,074	1,365,556	4,238,910	4,088,696
Europe [Member]
Revenue from External Customer [Line Items]
Revenue	3,045,784	2,550,372	8,080,174	7,643,408
Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	11,053,658	9,590,461	32,625,554	26,870,762
License [Member]
Revenue from External Customer [Line Items]
Revenue	558,340	1,982,985	4,829,242	2,248,829
License [Member] | North America [Member]
Revenue from External Customer [Line Items]
Revenue				28,000
License [Member] | Europe [Member]
Revenue from External Customer [Line Items]
Revenue	92,925	65,177	101,891	115,416
License [Member] | Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	465,415	1,917,808	4,727,351	2,105,413
Subscription and Support [Member]
Revenue from External Customer [Line Items]
Revenue	7,140,358	6,656,082	20,480,382	19,175,585
Subscription and Support [Member] | North America [Member]
Revenue from External Customer [Line Items]
Revenue	1,161,417	1,075,286	3,454,455	3,251,397
Subscription and Support [Member] | Europe [Member]
Revenue from External Customer [Line Items]
Revenue	869,429	665,585	2,457,513	1,847,690
Subscription and Support [Member] | Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	5,109,512	4,915,211	14,568,414	14,076,498
Service [Member]
Revenue from External Customer [Line Items]
Revenue	7,765,818	4,867,322	19,635,014	17,178,452
Service [Member] | North America [Member]
Revenue from External Customer [Line Items]
Revenue	203,657	290,270	784,455	809,299
Service [Member] | Europe [Member]
Revenue from External Customer [Line Items]
Revenue	2,083,430	1,819,610	5,520,770	5,680,302
Service [Member] | Asia Pacific [Member]
Revenue from External Customer [Line Items]
Revenue	$ 5,478,731	$ 2,757,442	$ 13,329,789	$ 10,688,851

SUMMARY OF OPERATING INFORMATIO

SUMMARY OF OPERATING INFORMATION (Details) - USD ($)	3 Months Ended						9 Months Ended
	Mar. 31, 2024	Dec. 31, 2023	Sep. 30, 2023	Mar. 31, 2023	Dec. 31, 2022	Sep. 30, 2022	Mar. 31, 2024	Mar. 31, 2023
Segment Reporting Information [Line Items]
Revenue	$ 15,464,516			$ 13,506,389			$ 44,944,638	$ 38,602,866
Net income (loss) after taxes and before non-controlling interest	315,870	$ 982,815	$ 291,063	4,242,531	$ (2,401,963)	$ (437,971)	1,589,748	1,402,597
Depreciation and amortization	391,290			782,966			1,351,239	2,519,469
Interest Expense	289,677			188,137			856,016	512,110
Income tax expense	146,569			227,718			418,517	641,122
North America [Member]
Segment Reporting Information [Line Items]
Revenue	1,365,074			1,365,556			4,238,910	4,088,696
Net income (loss) after taxes and before non-controlling interest	7,679			(3,702)			(61,546)	82,677
Depreciation and amortization	407			657			1,305	1,866
Interest Expense
Income tax expense	800			1,600			800	45,754
Europe [Member]
Segment Reporting Information [Line Items]
Revenue	3,045,784			2,550,372			8,080,174	7,643,408
Net income (loss) after taxes and before non-controlling interest	14,516			(103,219)			(228,303)	(586,607)
Depreciation and amortization	58,469			65,584			179,128	207,186
Interest Expense	508			1,806			6,984	8,146
Income tax expense				2,822			(93,583)	2,822
Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue	11,053,658			9,590,461			32,625,554	26,870,762
Net income (loss) after taxes and before non-controlling interest	1,296,832			4,059,800			4,109,146	986,613
Depreciation and amortization	332,414			716,725			1,170,806	2,310,417
Interest Expense	277,141			178,497			824,345	487,738
Income tax expense	145,769			223,296			511,300	636,700
Corporate Headquarters [Member]
Segment Reporting Information [Line Items]
Net income (loss) after taxes and before non-controlling interest	(1,003,157)			289,652			(2,229,549)	919,914
Interest Expense	12,028			7,834			24,687	16,226
Income tax expense								(44,154)
Unaffiliated Customers [Member]
Segment Reporting Information [Line Items]
Revenue	15,464,516			13,506,389			44,944,638	38,602,866
Unaffiliated Customers [Member] | North America [Member]
Segment Reporting Information [Line Items]
Revenue	1,365,074			1,365,556			4,238,910	4,088,696
Unaffiliated Customers [Member] | Europe [Member]
Segment Reporting Information [Line Items]
Revenue	3,045,784			2,550,372			8,080,174	7,643,408
Unaffiliated Customers [Member] | Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue	11,053,658			9,590,461			32,625,554	26,870,762
Affiliated Customers [Member]
Segment Reporting Information [Line Items]
Revenue
Affiliated Customers [Member] | Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue
Intercompany Revenue [Member]
Segment Reporting Information [Line Items]
Revenue	2,701,900			3,130,235			8,387,913	8,012,974
Intercompany Revenue [Member] | Europe [Member]
Segment Reporting Information [Line Items]
Revenue	100,315			103,249			300,732	292,210
Intercompany Revenue [Member] | Asia Pacific [Member]
Segment Reporting Information [Line Items]
Revenue	$ 2,601,585			$ 3,026,986			$ 8,087,181	$ 7,720,764

SUMMARY OF CAPITAL EXPENDITURES

SUMMARY OF CAPITAL EXPENDITURES (Details) - USD ($)	9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures	$ 948,337	$ 1,575,059
North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures		4,880
Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures	592,432	31,519
Asia Pacific [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Capital expenditures	$ 355,905	$ 1,538,660

OPERATING SEGMENTS (Details Nar

OPERATING SEGMENTS (Details Narrative)	9 Months Ended
	Mar. 31, 2024 Segments
Segment Reporting [Abstract]
Number of operating segments	3

SCHEDULE OF BALANCE OF NON-CONT

SCHEDULE OF BALANCE OF NON-CONTROLLING INTEREST (Details) - USD ($)	Mar. 31, 2024	Jun. 30, 2023
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest	$ 4,140,919	$ 2,975,053
NetSol PK [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	32.38%	32.38%
Non-Controlling Interest	$ 4,624,485	$ 3,314,659
NetSol Innovation [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	32.38%	32.38%
Non-Controlling Interest	$ (393,420)	$ (223,504)
NAMECET [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	32.38%	32.38%
Non-Controlling Interest	$ (15,591)	$ (5,384)
NetSol Thai [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	0.006%	0.006%
Non-Controlling Interest	$ (136)	$ (194)
OTOZ Thai [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	5.60%	5.60%
Non-Controlling Interest	$ (18,532)	$ (23,572)
OTOZ [Member]
Consolidation, Less than Wholly Owned Subsidiary, Parent Ownership Interest, Effects of Changes, Net [Line Items]
Non-Controlling Interest, Percentage	5.59%	5.59%
Non-Controlling Interest	$ (55,887)	$ (86,952)

INCOME TAXES (Details Narrative

INCOME TAXES (Details Narrative) - USD ($)	3 Months Ended		9 Months Ended
	Mar. 31, 2024	Mar. 31, 2023	Mar. 31, 2024	Mar. 31, 2023
Income Tax Disclosure [Abstract]
Income tax provision	$ 146,569	$ 227,718	$ 418,517	$ 641,122