NETSOL Technologies, Inc. Annual report [Section 13 and 15(d), not S-K Item 405]

LEASES (Tables)

12 Months Ended

Jun. 30, 2026

Supplemental balance sheet information related to leases was as follows:

	As of		As of
	June 30, 2026		June 30, 2025
Assets
Operating lease assets, net	$	831,196	$	809,513

Liabilities
Current
Operating	$	447,332	$	433,242
Operating lease liability, Current	$	447,332	$	433,242
Non-current
Operating		428,491		333,374
Operating lease liability, Noncurrent		428,491		333,374
Total Lease Liabilities	$	875,823	$	766,616

The components of lease cost were as follows:

SCHEDULE OF COMPONENTS OF LEASE COST

	2026			2025
	For the Years
	Ended June 30,
	2026			2025

Amortization of finance lease assets	$	32,343		$	37,228
Interest on finance lease obligation		12,109			11,845
Operating lease cost		635,847			383,760
Short term lease cost		314,507			237,733
Sub lease income		(35,656	)		(34,180	)
Total lease cost	$	959,150		$	636,386

Lease term and discount rate were as follows:

	As of			As of
	June 30, 2026			June 30, 2025

Weighted average remaining lease term - Operating leases		1.99 Years			1.44 Years

Weighted average discount rate - Operating leases		5.0	%		4.8	%

Supplemental disclosures of cash flow information related to leases were as follows:

	2026		2025
	For the Years
	Ended June 30,
	2026		2025

Operating cash flows related to operating leases	$	754,670	$	364,956

Operating cash flows related to finance leases	$	12,108	$	11,841

Financing cash flows related finance leases	$	12,066	$	15,109

Maturities of operating lease liabilities were as follows as of June 30, 2026:

	Amount
Within year 1	$	479,413
Within year 2		314,315
Within year 3		129,184
Total Lease Payments		922,912
Less: Imputed interest		(47,089	)
Present Value of lease liabilities		875,823
Less: Current portion		(447,332	)
Non-Current portion	$	428,491