Company: FRHC
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0000924805-25-000002
Chunk: 272

Company: Freedom Holding Corp.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 8
Chunk 272
---
,785 993 %Advertising expense58,722 4 %27,805 3 %30,917 111 %General and administrative expense171,782 12 %86,211 10 %85,571 99 %Provision for allowance for expected credit losses39,269 3 %15,462 2 %23,807 154 %Total expense$1,418,392 100 %$839,542 100 %$578,850 69 %              ______________

*    Percentage of total expense.

Fee and commission expense 

The following table sets forth information regarding our fee and commission expense for the periods presented.

Nine months ended December 31,(amounts in thousands)20242023Amount Change%ChangeAgency fees expense$213,530 $68,489 145,041 212 %Brokerage services18,93412,8926,042 47 %Bank services13,53215,194(1,662)(11)%Exchange services1,3582,543(1,185)(47)%Central Depository services495346149 43 %Other commission expenses 17,0623,65213,410 367 %Total fee and commission expense$264,911 $103,116 $161,795 157 %

The following table sets out the components of our fee and commission expense as a percentage of total fee and commission expense, net for the periods presented.

Nine months ended December 31,20242023(as a % of total fee and commission expense)Agency fees expense81 %66 %Brokerage services7 %13 %Bank services5 %15 %Exchange services1 %2 %Central Depository services— %— %Other commission expenses6 %4 %Total fee and commission expense100 %100 %

Fee and commission expense increased by $161.8 million or 157% in the nine months ended December 31, 2024, as compared to the nine months ended December 31, 2023. The increase is mainly attributable to an increase of agency fees 

80

expense of  $145.0 million, or 212%, compared to the nine months ended December 31, 2023 and other commission expenses of $13.4 million, compared to the nine months ended December 31, 2023. The increase in agency fees expenses was due to an