NetSol Technologies Limited (PSX: NETSOL) has reported a remarkable nearly sixfold increase in its consolidated net profit for the nine months ended March 31, 2026, driven by strong revenue growth and improved cost efficiency.
The company’s net profit surged to Rs1.67 billion, compared to Rs278.86 million in the same period last year, reflecting a 498% increase.
The sharp rise in profitability was mirrored in earnings per share (EPS), with basic EPS climbing to Rs19.36 from Rs3.20, while diluted EPS rose to Rs19.18 from Rs3.15 in 9MFY25.
NETSOL’s revenue from contracts with customers grew by 41% year-on-year, reaching Rs9.34 billion. Meanwhile, the cost of revenue increased at a slower pace of 13%, allowing the company to significantly expand its margins.
As a result, gross profit jumped 89% to Rs4.64 billion, highlighting strong operational efficiency.
Despite higher operating expenses selling and promotional costs rising 66% and administrative expenses increasing 28% the company’s operating profit surged more than threefold to Rs2.11 billion.
The expansion in gross margins effectively offset rising overhead costs.
Below the operating level, the company benefited from a 25% reduction in finance costs and a 39% decline in other operating expenses. However, other income dropped by 50% during the period.
Even so, profit before tax rose sharply to Rs1.92 billion, supported by strong core business performance.
After accounting for higher tax charges, NETSOL closed the nine-month period with a net profit of Rs1.67 billion, marking one of the strongest earnings performances in recent years.
The results underscore the company’s ability to scale revenue while maintaining cost discipline, positioning it for continued growth in the technology sector.
