Company: NTWK
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001641172-25-010127
Chunk: 160

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 2
Chunk 160
---
, dated April 2, 2024, World Bank.

    ●
    
    The
    US and EU have placed tariffs on a range of high-tech products from China including the US placing 100% tariffs on EV vehicles and
    25% tariffs on EV batteries imported from China. (Center for Strategic and International Studies June 28, 2024). The US imposed additional
    tariffs on China in February 2025 with retaliatory tariffs from China on US goods.

Page 39

CHANGES
IN FINANCIAL CONDITION

Quarter
Ended March 31, 2025 Compared to the Quarter Ended March 31, 2024

The
following table sets forth the items in our unaudited condensed consolidated statement of operations for the three months ended March
31, 2025 and 2024 as a percentage of revenues.

    For
    the Three Months 

    Ended
    March 31, 

    2025  
    %  
    2024  
    % 
  
    Net
    Revenues: 

    License
    fees 
    $1,198  
     0.0% 
    $558,340  
     3.6%
  
    Subscription
    and support 
     7,888,360  
     45.0% 
     7,140,358  
     46.2%
  
    Services 
     9,654,399  
     55.0% 
     7,765,818  
     50.2%
  
    Total
    net revenues 
     17,543,957  
     100.0% 
     15,464,516  
     100.0%

    Cost
    of revenues 
     8,802,184  
     50.2% 
     7,989,696  
     51.7%
  
    Gross
    profit 
     8,741,773  
     49.8% 
     7,474,820  
     48.3%
  
    Operating
    expenses: 

    Selling,
    general and administrative 
     6,883,587  
     39.2% 
     5,811,335  
     37.6%
  
    Research
    and development cost 
     304,788