NetSol Technologies Inc. increased its net income in the fiscal third quarter even though its revenue dropped due to lower license fees.
The Calabasas software developer for the vehicle and equipment leasing markets reported on Monday net income of $2.9 million (25 cents a share) on revenue of $17 million for the quarter ending March 31. That compares with net income of $700,000 (3 cents) on revenue of $17.9 million in the same period a year earlier.
The company attributed the decrease in revenue to lower license fees that fell to $2.6 million in the quarter compared to $5.7 million in the same period a year earlier.
Chief Executive Najeeb Ghauri credited cost cutting with saving at least $7 million during the current fiscal year.
“While we are working diligently to advance some of the more significant deals within our expanded pipeline, we were still able to produce our second consecutive quarter of profitability thanks greatly to the outperformance of our ongoing cost reduction initiatives,” Ghauri said in a statement
Shares of NetSol (NTWK) closed up 20 cents or 4.2 percent to $5 on the Nasdaq.
Sienna Biopharmaceuticals Inc. reported losses for the first quarter.
The Westlake Village biotech has five drugs in the development pipeline, but no commercial products. It lost $17 million (-85 cents a share) during the quarter ended March 31, which represents only the second time the company has reported quarterly results since its initial public offering in July.
The company had about $60 million in cash and cash equivalents at the end of the quarter.
“We continue to advance our innovative multi-asset pipeline and are looking forward to data from all five of our clinical programs in the second half of this year and into the first quarter of 2019.” Chief Executive Dr. Frederick Beddingfield III said in a statement.
Shares of Sienna (SNNA) closed Monday down 66 cents, or 4.1 percent, to $15.36 on the Nasdaq.