NETSOL Technologies, one of the leading providers of software solutions for the global asset finance and leasing industry, announced its financial results for the fiscal year 2023-24, reporting significant growth in revenue and profitability.
The company achieved a remarkable 21% increase in its topline, recording a net turnover of PKR 9,281 million, up from PKR 7,670 million in the previous fiscal year. This growth was driven by several key factors, including a strong performance in license sales and their service offerings.
License sales for the year contributed PKR 802 million, which included the provision of the NFS Ascent® platform to customers of associated companies. On the services side, NETSOL recorded PKR 3,781 million, a notable increase from PKR 3,405 million last year, driven by enhancements and customizations to systems deployed at customer sites. Additionally, the company’s subscription and support revenues rose to PKR 4,697 million, up from PKR 3,849 million in the previous fiscal year.
Despite inflationary pressures, the company maintained stable costs of revenue, resulting in an improvement in gross margins, which climbed to 45%, compared to 29% in the previous year. This, along with cost optimization initiatives, contributed to a significant rise in operating profits, which soared from PKR 235 million to PKR 1,887 million.
NETSOL’s net profit after tax for FY 2023-24 stood at PKR 1,384 million, slightly higher than the PKR 1,285 million reported last year. The company’s earnings per share (EPS) also saw growth, with basic and diluted EPS recorded at PKR 15.76 and PKR 15.63, respectively, compared to PKR 14.63 and PKR 14.59 in the corresponding period last year. The Company also declared a 30% final cash dividend to its shareholders ie., PKR 3/- per share.
Management Commentary
“We are proud of our performance this year, especially in the face of a challenging economic landscape,” said Salim Ullah Ghauri, Chief Executive of NETSOL Technologies. “Our sustained growth in revenue and profitability reflects the strength of our offerings and our ability to adapt to evolving market needs. As we have moved into the next fiscal year, we are committed to further enhancing our product portfolio, investing in cutting-edge technologies, and expanding our footprint across new markets. We see tremendous opportunities on the horizon, and our focus will remain on delivering innovative solutions that create value for our customers and stakeholders.”
About NETSOL Technologies
NETSOL Technologies is a global leader in delivering state-of-the-art solutions for the asset finance and leasing industry, serving automotive OEMs, auto captives and financial institutions across over 30 countries. Since its inception in 1996, NETSOL has been at the cutting edge of technology, pioneering innovations with its asset finance solutions and leveraging advanced AI and cloud services to meet the complex needs of the global market. Renowned for its deep industry expertise, customer-centric approach and commitment to excellence, NETSOL fosters strong partnerships with its clients, ensuring their success in an ever-evolving landscape. With a rich history of innovation, ethical business practices and a focus on sustainability, NETSOL is dedicated to empowering businesses worldwide, securing its position as the trusted partner for leading firms around the globe.
