Company: FRHC
Filing Date: 2025-02-07
Form Type: 10-Q
Source: 0000924805-25-000002
Chunk: 43

Company: Freedom Holding Corp.
Filing Date: 2025-02-07
Form: 10-Q
Item: Part I, Item 2
Chunk 43
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.1 million, of which $135.0 million, or approximately 25%, was subject to reverse repurchase agreements. The amount of cash and cash equivalents we hold is subject to minimum levels set by regulatory bodies to comply with required rules and regulations, including adequate capital and liquidity levels for each entity.

(2)     Principally consists of cash of our brokerage customers which are segregated in a special custody

accounts for the exclusive benefit of our brokerage customers.

(3)     Consists of cash and cash equivalents, trading securities, and margin lending, brokerage and other

receivables, net of securities repurchase agreement obligations. It includes liquid assets possessed after deducting securities repurchase agreement obligations.

As of December 31, 2024, and March 31, 2024, we had total liabilities of $7.9 billion and $7.1 billion, respectively, including customer liabilities of $3.8 billion and $2.3 billion, respectively. 

We finance our assets primarily from revenue-generating activities and short-term and long-term financing arrangements.

CASH FLOWS

The following table presents information from our statement of cash flows for the periods indicated. Our cash and cash equivalents include restricted cash, which principally consists of cash of our brokerage customers which are segregated in a special custody accounts for the exclusive benefit of our brokerage customers.

Nine Months EndedDecember 31, 2024Nine Months EndedDecember 31, 2023(amounts in thousands)Net cash flows from/(used in) operating activities$343,311 $(1,373,355)Net cash flows used in investing activities(652,628)(593,033)Net cash flows from financing activities833,611 1,892,328 Effect of changes in foreign exchange rates on cash and cash equivalents(212,300)(6,449)Effect of expected credit losses on cash and cash equivalents and restricted cash378 — NET CHANGE IN CASH, CASH EQUIVALENTS, AND RESTRICTED CASH$312,372 $(80,509)

Net Cash Flows From Operating Activities

Net cash flow from operating activities during the nine months ended December 31, 2024, was comprised of net change in operating assets and liabilities and net income adjusted for non-cash movements (changes in deferred taxes, unrealized gain on trading securities, net change in accrued interest, change in insurance reserves, and allowance for receivables). Net cash from operating activities resulted primarily from changes