Company: FRHC
Filing Date: 2025-08-08
Form Type: 10-Q
Source: 0000924805-25-000031
Chunk: 130

Company: Freedom Holding Corp.
Filing Date: 2025-08-08
Form: 10-Q
Item: Part I, Item 1
Chunk 130
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263 26,756 18 %Other36,902 41,618 (4,716)(11)%Total revenue, net$533,423 $454,999 $78,424 17 %

Total revenue, net for the three months ended June 30, 2025 increased across Brokerage, Banking and Insurance segments compared to the three months ended June 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 June 30, 2025 compared to the three months ended June 30, 2024. 

Brokerage Segment

•In the three months ended June 30, 2025, the Brokerage segment experienced an increase in total revenue, net, primarily driven by a $7.9 million increase in fee and commission income, reflecting a general increase in brokerage activity between the two periods. Net gain on trading securities also increased by $6.2 million due to an increase in the value of securities positions. In addition, interest income contributed to the growth, rising by $2.2 million, largely due to increased usage of margin loans for trades by our customers. However, this growth was partially offset by a $12.4 million decrease in net (loss)/gain on foreign exchange operations and a $1.7 million decrease in other income.

Banking Segment

•In the three months ended June 30, 2025, total revenue, net in the Banking segment increased as compared to the three months ended June 30, 2024, mostly driven by a $79.7 million increase in net gain on trading securities due to the price increase on the majority of the governmental securities, a $5.8 million increase in net gain on foreign exchange operations due to an appreciation of the U.S. dollar against the Kazakhstan tenge between the two periods, a $6.0 million increase in other income due to compensation received as early repayment of right-of-claim for purchased historical loans, and a $5.3 million increase in net gain on derivatives due to increased operations with such instruments. These increases were partially offset by a $30.1 million decrease in interest income due to partial disposal of the securities portfolio, and an $11.6 million decrease in fee and commission income due to lower commission rates and increased SuperApp cashback payments in the three months ended June 30, 2025