NETSOL Technologies, Inc. Quarterly report [Sections 13 or 15(d)]

ACCOUNTING POLICIES (Tables)

9 Months Ended

Mar. 31, 2026

The Company’s financial assets that were measured at fair value on a recurring basis as of March 31, 2026, were as follows:

	Level 1		Level 2		Level 3		Total Assets
Revenues in excess of billings - long term	$	-	$	-	$	2,824,298	$	2,824,298
Total	$	-	$	-	$	2,824,298	$	2,824,298

The Company’s financial assets that were measured at fair value on a recurring basis as of June 30, 2025, are as follows:

	Level 1		Level 2		Level 3		Total Assets
Revenues in excess of billings - long term	$	-	$	-	$	903,766	$	903,766
Total	$	-	$	-	$	903,766	$	903,766

The reconciliation from June 30, 2025 to March 31, 2026 is as follows:

	Revenues in excess of billings - long term			Fair value discount			Total
Balance at June 30, 2025	$	1,111,803		$	(208,037	)	$	903,766
Additions		2,521,608			(270,726	)		2,250,882
Amortization during the period		-			49,822			49,822
Transfers to short term		(290,991	)		-			(290,991	)
Effect of Translation Adjustment		(97,693	)		8,512			(89,181	)
Balance at March 31, 2026	$	3,244,727		$	(420,429	)	$	2,824,298