Company: FRHC
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0000924805-25-000002
Chunk: 256

Company: Freedom Holding Corp.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 8
Chunk 256
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 repurchase agreements and amounts due from banks2 %2 %Total interest income 100 %100 %

For the three months ended December 31, 2024, we had interest income of $224.7 million, representing a decrease of $1.8 million, or 1%, compared to the three months ended December 31, 2023. The increase in interest income was primarily attributable to the increase of the income from margin loans to customers by $9.7 million, or 19% due to an increase in the usage of margin loans for trades by our clients between the two periods, partially offset by the decrease in interest income on trading securities by $17.2 million, or 15%, as a result of a decrease in the total size of our trading portfolio and a decrease in the amount of bonds we held as a percentage of our total trading portfolio between the two periods.

Additionally, the interest income on securities available-for-sale increased by $3.5 million, or 47%, compared to the three months ended December 31, 2023. Such increase was due to the increase of volume of available-for-sale securities which is attributable to the purchase of debt securities of the Ministry of Finance of the Republic of Kazakhstan. 

The following table provides a summary of the monthly average balances and average interest rates for the major categories of our interest-earning assets for the three months ended December 31, 2024 and 2023.

68

Three months ended December 31,20242023(amounts in thousands)Average balanceInterest-earning assetsTrading securities $3,331,297 $3,468,932Loans issued1,363,371 1,314,966Margin lending, brokerage and other receivables, net 2,485,961 1,084,052Available for sale securities, at fair value395,396 205,955Average yieldsTrading securities 12.0 %13.7 %Loans issued15.9 %15.9 %Margin lending, brokerage and other receivables, net10.2 %11.3 %Available- for- sale securities, at fair value11.6 %15.3 %Interest incomeInterest income on trading securities $95,666$112,860Interest income on loans to customers51,08949,529Interest income on margin loans to customers61,29529,483Interest income on available- for- sale securities11,0277,478