Company: FRHC
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0000924805-25-000041
Chunk: 28

Company: Freedom Holding Corp.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 2
Chunk 28
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,372 101,760 26,612 26 %Interest income on trading securities90,245 212,120 (121,875)(57)%Interest income on securities available-for-sale27,257 17,403 9,854 57 %Interest income on held-to-maturity securities20,529 — 20,529 100 %Interest income on reverse repurchase agreements and amounts due from banks10,727 13,061 (2,334)(18)%Total interest income$410,233 $436,328 $(26,095)(6)%

Six months ended September 30,20252024(as a % of total interest income)Interest income on margin loans to customers32 %21 %Interest income on loans to customers31 %23 %Interest income on trading securities22 %49 %Interest income on securities available-for-sale7 %4 %Interest income on held-to-maturity securities5 %— %Interest income on reverse repurchase agreements and amounts due from banks3 %3 %Total interest income 100 %100 %

For the six months ended September 30, 2025, we had interest income of $410.2 million, representing a decrease of $26.1 million, or 6%, compared to the six months ended September 30, 2024. The decrease was primarily driven by a $121.9 million, or 57%, decrease in interest income on trading securities. This decrease was primarily due to a lower volume of trading securities held during the period.

This decline was partially offset by increase in other streams of interest income. Specifically, interest income on loans to customers increased by $26.6 million, or 26%, due to the increase in loan portfolio. Similarly, interest income on margin loans to customers rose by $41.1 million, or 45%, reflecting increased customer activity in margin lending. The interest income on held-to-maturity has increased by $20.5 million due to expansion of the held-to-maturity portfolio. 

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Additionally, the interest income on securities available-for-sale increased by $9.9 million, or 57%, compared to the six months ended September 30, 2024. 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