Company: NTWK
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001493152-25-015950
Chunk: 459

Company: NETSOL TECHNOLOGIES INC
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1B
Chunk 459
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 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.

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.

The
components of basic and diluted earnings per share were as follows:

 SCHEDULE OF DILUTIVE POTENTIAL COMMON SHARES

    For the year ended June 30, 2025 

    Net
    Income  
    Shares  
    Per
    Share 
  
    Basic income per share: 

    Net income 
    $2,923,233  
     11,576,287  
    $0.25 
  
    Effect of dilutive securities 

    Stock
    options 
     -  
     -  
     - 
  
    Diluted income per share 
    $2,923,233  
     11,576,287  
    $0.25 

    For
    the year ended June 30, 2024 

    Net
    Income  
    Shares  
    Per
    Share 

    Basic income per share: 

    Net income 
    $683,873  
     11,378,595  
    $0.06 
  
    Effect of dilutive securities 

    Stock
    options 
     -  
     43,345  
     - 
  
    Diluted income per share 
    $683,873  
     11,421,940  
    $0.06 

As
of June 30, 2025, 50,000 options were outstanding. These options were not included in the computation of diluted earnings per share because
their exercise price exceeded the average market price of the Company’s common stock during the period and, therefore, their effect
would have been anti-dilutive.

As
of June 30, 2024, 250,000 options were outstanding. The effect of these options on diluted earnings per share was 43