Company: FRHC
Filing Date: 2025-11-07
Form Type: 10-Q
Source: 0000924805-25-000041
Chunk: 171

Company: Freedom Holding Corp.
Filing Date: 2025-11-07
Form: 10-Q
Item: Part I, Item 1
Chunk 171
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 Kazakhstan tenge against the U.S. dollar during the six months ended  September 30, 2025, we realized a foreign currency translation loss of $107.3 million for the six months ended September 30, 2025 since most of our Group's companies use the Kazakhstan tenge as their functional currency, as compared to a foreign currency translation loss of $85.8 million for the six months ended September 30, 2024.

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BUSINESS SEGMENT OPERATIONS

We report our results of operations through the following four business segments: Brokerage, Banking, Insurance, and Other. These operating segments are based on how our CODM makes decisions about allocating resources and assessing performance.

Comparison of the Three-month Periods Ended September 30, 2025 and 2024

Total revenue, net associated with our segments is summarized in the following table:

Three months ended September 30,20252024Amount Change%ChangeBrokerage$234,884 $174,797 $60,087 34 %Banking105,722 201,509 (95,787)(48)%Insurance150,889 178,175 (27,286)(15)%Other34,612 31,658 2,954 9 %Total revenue, net$526,107 $586,139 $(60,032)(10)%

Total revenue, net for the three months ended September 30, 2025 decreased across Banking and Insurance segments compared to the three months ended September 30, 2024. In our segment reporting, we account for all operations within each business segment, including all related subsidiaries and their activities. Below is a discussion of revenue of our segments for the three months ended September 30, 2025 compared to the three months ended September 30, 2024. 

Brokerage Segment

•In the three months ended September 30, 2025, the Brokerage segment experienced an increase in total revenue, net, primarily driven by a $30.6 million increase in fee and commission income, reflecting a general increase in brokerage activity between the two periods. In addition, interest income contributed to the growth, rising by $25.3 million, largely due to increased usage of margin loans for trades by our customers. Net gain on trading securities also increased by $2.5 million due to an increase in the value of securities positions.  However, this growth was partially offset by a $2.0 million decrease in net gain