NetSol Technologies Investor Presentation

Enterprise software solutionsfor leasing, finance and lending industries NetSol Technologies Company Overview May 2012

SAFE HARBOR STATEMENT This presentation may contain forward-looking statements relating to the development of the NetSol Technologies’ products and services and future operation results, including statements regarding the Company that are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. The words "believe," "expect," "anticipate," "intend," variations of such words, and similar expressions, identify forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, but their absence does not mean that the statement is not forward-looking. These statements are not guarantees of future performance and are subject to certain risks, uncertainties, and assumptions that are difficult to predict. Factors that could affect the Companys actual results include the progress and costs of the development of products and services and the timing of the market acceptance. Any forward-looking statements contained herein speak only as of the date hereof. The Company undertakes no obligation to update or review any forward-looking statements. This presentation may reference non-GAAP measures such as EBITDA. EBITDA is defined as earnings before interest, taxes, depreciation and amortization. The Company uses EBITDA as a measure of the Company’s operating trends. Investors are cautioned that EDITDA is not a measure of liquidity or of financial performance under Generally Accepted Accounting Principles (GAAP). The EDITDA numbers presented may not be comparable to similarly titled measures reported by other companies. EBITDA, while providing useful information, should not be considered in isolation or as an alternative to net income or cash flows as determined under GAAP. Investors are advised to carefully review and consider this information as well as the GAAP financial results that are disclosed in the Company’s SEC filings.NetSol Technologies, Inc.© 2012 All Rights Reserved 2

THE COMPANY Revenue $36.5 M (FY 11) Products Recognized leader in asset finance software “BestShoring delivers BestSolution®” strategy Customers Top-tier global client base Offices North America: Calabasas (HQ) & San Francisco, CA Europe: London, U.K. Asia Pacific: China, Thailand & Pakistan Stock NASDAQ: NTWK Shares 75 M outstanding Established 1997NetSol Technologies, Inc.© 2012 All Rights Reserved 3

A HISTORY OF GROWTH & ACHIEVEMENT 1997 1999 2005 2011 NetSol First Public NetSol Financial Vroozi Founded Technologies Listing: Suite Launched Founded NASDAQNetSol Technologies, Inc.© 2012 All Rights Reserved 5

PRODUCT AND SERVICES OVERVIEW Enterprise Solutions + Managed Services • NetSol Financial Suite (NFS) • SAP Certified Services Provider • LeasePak & LeasePak SaaS  SRM, SCM, CRM • Vroozi (smartOCI)  Solution & Project Manager  Staff Augmentation & Training • Information Security Consulting • Independent System ReviewNetSol Technologies, Inc.© 2012 All Rights Reserved 6

GLOBAL STANDARDS & WORLD CLASS DELIVERY Qualifications Quality Management Information Security Management CMMI Maturity Level 5 NetSol Technologies Delivery Centers (Version 1.2)– A distinction shared by less than 100 elite companies worldwideNetSol Technologies, Inc.© 2012 All Rights Reserved 7

SYNERGIES & PARTNERSHIPS  Microsoft Gold Certified Partner  RackSpace  Financing & Leasing Association  Equipment Leasing & Financing Association  Oracle Certified Partner  Real Consulting  IBM Business Partner  HP DSPP Partner  Thales Raytheon SystemsNetSol Technologies, Inc.© 2012 All Rights Reserved 9

TM NETSOL FINANCIAL SUITE (NFS ) Comprehensive, modular solutions for credit origination, lease and loan accounting, fleet management, and wholesale finance addressing the complete finance and leasing lifecycle Industries TaTarget Market • Automotive • Financial Institutions • Construction • Equipment Finance • Banking • Captive Finance • Transportation • Retail • Information Tech “NetSol’s NFS solution is the benchmark of the banking industry in China. The system was the Assets most advanced in the real sense for $100+ billion managed China’s financial leasing industry.” using NFS Mr. Kong Linshan President of Minsheng Financial LeasingNetSol Technologies, Inc.© 2012 All Rights Reserved 10

TM NFS LEASEPAK  Provides leasing & lending industry with enterprise grade lease/loan accounting and portfolio management solution – Streamline lease/loan management lifecycle – Deliver superior customer service – Reduce operating costs – Support collaboration with origination channel and asset partners  Critical to equipment and leasing infrastructure at leading Fortune 500 banks, manufacturersNetSol Technologies, Inc.© 2012 All Rights Reserved 11

LEASEPAK-SAAS  Monthly subscription-based cloud solution  Mature, rich business functionality available for a fraction of the license price  Ideal for small and mid-sized leasing and finance companies – Fast implementation – No prerequisite hardware & software to buy – No system administration cost – Seamless upgrade cycles  Pioneering cloud computing in the industry  Opportunity to cross sell value-added services – Portfolio management – Business consulting – Full BPONetSol Technologies, Inc.© 2012 All Rights Reserved 12

TM NFS GROWTH STRATEGY  Implement global solutions with local customization  Cater to different segments in the global lending industry  Balance growth – Markets – Geography – Organic and acquisitionsNetSol Technologies, Inc.© 2012 All Rights Reserved 13

NEXT GENERATION LEASING SOLUTION  Being developed on state-of-the-art architecture  Customers will benefit from: – Rich functionality – Mature solution – Modern technology – Greater flexibility to meet client needs – Service and maintenance focus  Revenue growth through – Upgrades to existing customers – New target segments – New geographiesNetSol Technologies, Inc.© 2012 All Rights Reserved 14

E-COMMERCE DIVISION: VROOZI Dedicated sales and delivery channel for NetSol’s B2B search engine technology smartOCI: B2B e-commerce search engine and supplier catalog marketplace for ERP systems Next generation collaborative e-commerce solutions, mobile deployment, and public marketplace for B2B supply chain market Multiple agreements already signed with Fortune 500 companies Implementation revenue, subscription revenue, and professional services revenueNetSol Technologies, Inc.© 2012 All Rights Reserved 15

SMARTOCI - B2B SEARCH ENGINE Cloud-based B2B e-commerce marketplace seamlessly integrated with ERP systems and designed to allow easier and faster collaboration between buyers and suppliers globally Industries • Aerospace and Defense • Public Sector • Finance/Banking www.smartoci.com • Consumer Goods Consumer-like B2B • Utilities shopping experience • Manufacturing 100% web-based • Education Target Market Certified since June 2010 • 10,000+ global customers SAP is one of the largest global running SAP ERP systems enterprise software vendors serving over 55,000 customersNetSol Technologies, Inc.© 2012 All Rights Reserved 16

GROWING VROOZI  Currently focused on U.S. and European expansion  Building a dedicated sales and marketing infrastructure – Mix of current NetSol employees and new hires in the U.S.  Introducing further offerings to smartOCI marketplace – smartOCI Catalog  Projecting first full-year 2012 annual revenue range of $4 to 5 million for the divisionNetSol Technologies, Inc.© 2012 All Rights Reserved 17

WHY BUSINESSES CHOOSE NETSOL  Global solution, local support  Flexible and customizable solutions  Mature solutions, rich in functionality  Targeted solutions for type of customer according to size  Great customer service cultureNetSol Technologies, Inc.© 2012 All Rights Reserved 18

RECENT WINS Signed $4 million with major Japanese automotive manufacturer NFS Signed $2 million agreement with Mercedes Benz Finance in Malaysia Signed agreement with Chongqing Auto Finance, Chinas first state- owned auto finance company Signed deals with multiple leading global companies and began the implementation of smartOCI Vroozi Signed $1.3 million agreement with LTC Supply Source to implement SAP Purchasing Platform and smartOCI Marketplace Saudi Arabia joint venture signed four new contracts exceeding $2.0Services million in combined valueNetSol Technologies, Inc.© 2012 All Rights Reserved 19

EXPANSION THROUGH PARTNERSHIPS  Atheeb NetSol (Saudi Arabia) – Software engineering center of excellence in Saudi Arabia, Bahrain, Kuwait, Oman, Qatar, UAE – JV agreement in 2009, 50.1 NetSol/49.9% Atheeb Group  Brasilinvest Group (Brazil) – Diversifies global footprint into Latin and South America – JV formed in 2011, 55% NetSol/45% Brasilinvest  NetSol & Investec Asset Finance (United Kingdom) – Jointly acquired Virtual Lease Services, 51% NetSol/49% Investec  ABeam Consulting (Japan) – Strengthens capabilities in Japan and APAC region  NEC (India) – Jointly develop and support business in India and APAC regionNetSol Technologies, Inc.© 2012 All Rights Reserved 20

NETSOL IN NORTH AMERICA  >30 years experience in U.S. leasing software solutions industry  Building on existing enterprise customer base  Reaching small & medium enterprises through new cloud based offering Country Annual Leasing  Extending presence to South Volume (U.S. $B) North America $190.8 America United States $173.9  North America’s share of Global Canada $13.05 Leasing Volume is 34.2%* Brazil $23.31NetSol Technologies, Inc.© 2012 All Rights Reserved * Source: World Leasing Yearbook 2011 21

NETSOL IN EUROPE  Over 30 years of presence in U.K.  Strong customer relationships  Extending presence in Europe  Recent joint acquisition of VLS  Europe’s share of Global Leasing Volume is 37.9%* Country Annual Leasing Volume (U.S. $B) Europe $211.50 United Kingdom $14.69 Germany $55.30 France $31.84NetSol Technologies, Inc.© 2012 All Rights Reserved * Source: World Leasing Yearbook 2011 22

NETSOL IN APAC  Leading leasing software solutions provider  Dominance in Captive Auto Finance Segment  Blue chip customer base  Extending through new partnerships  New facility in Thailand Country Annual Leasing Volume (U.S. $B)  Asia’s share of Global Leasing Volume Asia $112.70 is 20.2%* Japan $53.25 China $41.01 Australia $6.03NetSol Technologies, Inc.© 2012 All Rights Reserved * Source: World Leasing Yearbook 2011 23

REVENUE BREAKDOWN FISCAL YEAR ENDED JUNE 30, 2011 Revenue by Category Revenue by Region 31% 12% 20% 68% 49% 20% License fees No single customer concentration greater Maintenance fees than 10% ServicesNetSol Technologies, Inc.© 2012 All Rights Reserved 24

SOLID REVENUE GROWTH Revenue $40 36.6 36.8 36.5 $35 29.3 $30 Revenue ($ millions) $25 26.4 $20 18.7 $15 12.4 $10 5.8 $5 $0 2004 2005 2006 2007 2008 2009 2010 2011 Fiscal Year Ending June 30thNetSol Technologies, Inc.© 2012 All Rights Reserved 25

FINANCIALS – QUARTERLY GROWTH IN CURRENT FISCAL YEAR Turnaround Net income (loss) $10 8.60 0.02 0.01 $8 0.01 6.23 $6 0 $4 -0.01 Q1 Q2 $2 -0.02 $0 -0.03 Q1 Q2 (0.03) -0.04 Revenue In $ Million Income / (loss) per shareNetSol Technologies, Inc.© 2012 All Rights Reserved 26

FINANCIAL SUMMARY – SECOND QUARTER ENDED DEC. 31, 2011 (UNAUDITED) Balance Sheet Summary 2Q ‘12 Cash and cash equivalents $4,723,366 Total assets $83,274,821 Total current liabilities $12,388,330 Total liabilities $18,071,648 Total liabilities and stockholders equity $83,274,821 Income Statement Summary 2Q ‘12 1H ‘12 Total Revenues $8,606,052 $14,834,760 Gross profit $4,702,083 $6,846,131 Total operating expenses $3,485,579 $6,456,069 Net income (loss) per share $0.01 $(0.02) Weighted Average Common Shares Outstanding (Diluted) 57,261,550 56,269,445NetSol Technologies, Inc.© 2012 All Rights Reserved 27

MANAGEMENT TEAM Najeeb Ghauri Mike Miller Chief Executive Officer and Chairman Senior Vice President, Client Services Patti L.W. McGlasson Paul Banke General Counsel and Company Secretary Senior Vice President, Technology Solutions Boo-Ali Siddiqui Asad Shahab Chief Financial Officer Head of Sales, APAC Salim Ghauri Jeffrey Andrews President – APAC R2 Senior Vice President, Sales Naeem Ghauri Tony Langford President, Americas and Europe, R1 Senior Vice President, Client Services Europe Imran Haider Shaz Khan Chief Operating Officer, NTNA Chief Operating Officer, VrooziNetSol Technologies, Inc.© 2012 All Rights Reserved 28

KEY TAKEAWAYS Enterprise Technology and Global Leasing Domain Expertise Software Solutions for Leasing & Finance Business Operations B2B e-Commerce Search Engine Technology Powered by smartOCI True Global Presence: 8 countries, 800+ employees Long Term Blue Chip Client Partnerships Global Opportunities for Business Growth Committed Management Driving Efficiency and GrowthNetSol Technologies, Inc.© 2012 All Rights Reserved 29

NetSol Technologies Thank you

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NetSol Technologies Investor Presentation

by NetSol Technologies on Aug 01, 2011

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