Company: NTWK
Filing Date: 2025-02-13
Form Type: 10-Q
Source: 0001493152-25-006348
Chunk: 91

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-02-13
Form: 10-Q
Item: Part I, Item 2
Chunk 91
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)

Net revenues for the three months
ended December 31, 2024 and 2023 are broken out among the segments as follows:

    2024  
    2023 

    Revenue  
    %  
    Revenue  
    % 

    North America 
    $3,207,273  
     20.6% 
    $1,465,221  
     9.6%
  
    Europe 
     3,261,180  
     21.0% 
     2,472,357  
     16.2%
  
    Asia-Pacific 
     9,068,208  
     58.4% 
     11,300,363  
     74.2%
  
    Total 
    $15,536,661  
     100.0% 
    $15,237,941  
     100.0%

Revenues

License
fees

License
fees for the three months ended December 31, 2024 were $72,688 compared to $2,990,453 for the three months ended December 31, 2023 reflecting
a decrease of $2,917,765 with a decrease in constant currency of $2,920,457. During the three months ended December 31, 2023, we recognized
approximately $2,800,000 related to the sale of our NFS Ascent® CMS software to a renowned US auto manufacturer based in China.

Page 40

Subscription and support

Subscription
and support fees for the three months ended December 31, 2024 were $8,642,629 compared to $6,827,781 for the three months ended December
31, 2023 reflecting an increase of $1,814,848 with an increase in constant currency of $1,746,037. The increase includes a one-time catch
up of approximately $1,000,000 from four of our customers. Subscription and support fees begin once a customer has “gone live”
with our product. Subscription and support fees are recurring in nature, and we anticipate these fees to gradually increase as we implement
both our NFS legacy products and NFS Ascent®.

Services

Services
income for the three months ended December 31, 2024 was $6,821,344 compared to $5,419,707 for the three months ended December 31, 2023
reflecting