Company: NTWK
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001493152-25-015950
Chunk: 138

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1
Chunk 138
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,048). These facilities require NetSol PK to maintain a long-term debt equity ratio of 60:40 and the current ratio of 1:1. NetSol
PK also has an approved export refinance facility of Rs. 380 million ($1,337,322) from Samba Bank Limited. During the loan tenure, these
two facilities 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 the date of this report, we are in compliance with the financial covenants associated with our borrowings. The maturity dates of the
borrowings of respective subsidiaries may accelerate if they do not comply with these covenants. In case of any change in control in
subsidiaries, they may have to repay their respective credit facilities.

Dividends
and Redemption 

It
has been our policy to invest earnings in growth rather than distribute earnings as common stock dividends. This policy, under which
common stock dividends have not been paid since our inception is expected to continue but is subject to regular review by the Board of
Directors.

Contractual
Obligations 

Our
contractual obligations are as follows:

    Payment due by period 
    More than 5 
  
    Contractual Obligation 
    Total  
    0 - 1 year  
    1-3 Years  
    3-5 Years  
     years 
  
    Debt Obligations 

    D&O Insurance 
    $119,542  
    $119,542  
    $-  
    $-  
    $  - 
  
    Bank Overdraft Facility 
     405,000  
     405,000  
     -  
     -  
     - 
  
    Bank Overdraft Facility II 
     -  
     -  
     -  
     -  
     - 
  
    Term Finance Facility 
     -  
     -  
     -  
        
     - 
  
    Loan Payable Bank - Export Refinance 
     1,759,634  
     1,759,634  
     -  
     -  
     - 
  
    Loan Payable Bank - Running Finance