Company: FRHC
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0000924805-25-000002
Chunk: 14

Company: Freedom Holding Corp.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 2
Chunk 14
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 due to securities positions we continued to hold at December 31, 2023. The majority of the unrealized net loss arose from the securities of Kazakhstan Sustainability Fund JSC, primarily as a consequence of price declines.

Interest income

The following tables set forth information regarding our revenue from interest income for the periods presented.

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Three months ended December 31,(amounts in thousands)20242023Amount Change%ChangeInterest income on trading securities$95,666 $112,860 $(17,194)(15)%Interest income on margin loans to customers61,295 51,553 9,742 19 %Interest income on loans to customers51,089 49,529 1,560 3 %Interest income on securities available-for-sale11,027 7,478 3,549 47 %Interest income on reverse repurchase agreements and amounts due from banks5,611 5,025 586 12 %Total interest income$224,688 $226,445 $(1,757)(1)%

Three months ended December 31,20242023(as a % of total interest income)Interest income on trading securities43 %50 %Interest income on loans to customers23 %22 %Interest income on margin loans to customers27 %23 %Interest income on securities available-for-sale5 %3 %Interest income on reverse 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