Freedom Holding Corp. Files 10-Q for Period Ending December 31, 2023

TL;DR

<b>Freedom Holding Corp. has filed its quarterly report (10-Q) for the period ending December 31, 2023, detailing its financial performance for Q3 FY2024.</b>

AI Summary

Freedom Holding Corp. (FRHC) filed a Quarterly Report (10-Q) with the SEC on February 9, 2024. Freedom Holding Corp. filed a 10-Q report for the period ending December 31, 2023. The filing covers the third quarter of fiscal year 2024. The company's fiscal year ends on March 31. The report was filed on February 9, 2024. Freedom Holding Corp. is incorporated in Nevada and operates in the Security Brokers, Dealers & Flotation Companies sector.

Why It Matters

For investors and stakeholders tracking Freedom Holding Corp., this filing contains several important signals. This 10-Q filing provides investors with an updated view of Freedom Holding Corp.'s financial health and operational performance for the most recent fiscal quarter. Understanding the details within this report is crucial for assessing the company's current financial standing, identifying trends, and making informed investment decisions.

Risk Assessment

Risk Level: low — Freedom Holding Corp. shows low risk based on this filing. The filing is a standard 10-Q, which is a routine quarterly report and does not contain any immediate red flags or significant deviations from typical filings.

Analyst Insight

Monitor future filings for trends in revenue, net income, and debt levels to assess the company's growth trajectory and financial stability.

Key Numbers

• 2023-12-31 — Report Period End Date (The 10-Q filing is for the period ending December 31, 2023.)
• 2024-02-09 — Filing Date (The 10-Q was filed on February 9, 2024.)
• March 31 — Fiscal Year End (Freedom Holding Corp.'s fiscal year ends on March 31.)
• Q3 2024 — Fiscal Quarter (The report covers the third quarter of fiscal year 2024.)

Key Players & Entities

• Freedom Holding Corp. (company) — Filer of the 10-Q report
• 2023-12-31 (date) — Period of report for the 10-Q
• 2024-02-09 (date) — Date the 10-Q was filed
• NV (location) — State of incorporation for Freedom Holding Corp.
• 6211 (sic_code) — Standard Industrial Classification for Security Brokers, Dealers & Flotation Companies
• Morgan, Lewis & Bockius LLP (company) — Address listed for Freedom Holding Corp.
• BMB MUNAI INC (company) — Former company name of Freedom Holding Corp.
• Interunion Financial Corp (company) — Former company name of Freedom Holding Corp.

FAQ

Key Dates

• 2024-02-09: 10-Q Filing — Submission of the quarterly financial report for the period ending December 31, 2023.
• 2023-12-31: Fiscal Period End — End date of the reporting period covered by the 10-Q.
• 2024-03-31: Fiscal Year End — The company's fiscal year concludes on this date.

Key Financial Figures

• $0.001 — ich registered Common Stock, par value $0.001 per share FRHC The Nasdaq Capital Marke
• $0 — 9,191 shares of common stock, par value $0.001, issued and outstanding. FREEDOM

Filing Documents

• frhc-20231231.htm (10-Q) — 3716KB
• frhc-20231231x10qxex3101.htm (EX-31.01) — 9KB
• frhc-20231231x10qxex3102.htm (EX-31.02) — 9KB
• frhc-20231231x10qxex3201.htm (EX-32.01) — 6KB
• 0000924805-24-000014.txt (&nbsp;) — 19455KB
• frhc-20231231.xsd (EX-101.SCH) — 121KB
• frhc-20231231_cal.xml (EX-101.CAL) — 138KB
• frhc-20231231_def.xml (EX-101.DEF) — 490KB
• frhc-20231231_lab.xml (EX-101.LAB) — 1139KB
• frhc-20231231_pre.xml (EX-101.PRE) — 815KB
• frhc-20231231_htm.xml (XML) — 4416KB

— FINANCIAL INFORMATION

PART I — FINANCIAL INFORMATION Item 1. Unaudited Condensed Consolidated Financial Statements 3 Condensed Consolidated Balance Sheets as of December 31, 2023, and March 31, 2023 3 Condensed Consolidated Statements of Operations and Statements of Other Comprehensive Income for the Three and Nine Months Ended December 31, 2023 and 202 2 4 Condensed Consolidated Statements of Cash Flows for the N ine Months Ended December 31, 2023 and 202 2 6 Condensed Consolidated Statements of Shareholders' Equity for the Three and Nine Months Ended December 31, 2023 and 202 2 9 Notes to Condensed Consolidated Financial Statements 11 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 79 Item 3. Qualitative and Quantitative Disclosures About Market Risk 112 Item 4.

Controls and Procedures

Controls and Procedures 116

— OTHER INFORMATION

PART II — OTHER INFORMATION 118 Item 1.

Legal Proceedings

Legal Proceedings 118 Item 1A.

Risk Factors

Risk Factors 118 Item 5. Other Information 120 Item 6. Exhibits 121

Signatures

Signatures 122 2 Table of contents FREEDOM HOLDING CORP. CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) (All amounts in thousands of United States dollars, unless otherwise stated) December 31, 2023 March 31, 2023 ASSETS Cash and cash equivalents (including $ — and $ 35,549 with related parties) $ 561,883 $ 581,417 Restricted cash (including $ 67,215 and $ 114,885 with related parties) 384,553 445,528 Trading securities (including $ 16,220 and $ 556 with related parties) 3,680,453 2,412,556 Available-for-sale securities, at fair value 202,497 239,053 Margin lending, brokerage and other receivables, net (including $ 43,241 and $ 295,611 due from related parties) 961,392 376,329 Loans issued (including $ 144,289 and $ 121,316 to related parties) 1,346,005 826,258 Fixed assets, net 78,099 54,017 Intangible assets, net 46,771 17,615 Goodwill 52,238 14,192 Right-of-use asset 34,180 30,345 Insurance contract assets 12,728 13,785 Other assets, net (including $ 533 and $ 16,102 with related parties) 88,244 73,463 TOTAL ASSETS $ 7,449,043 $ 5,084,558 LIABILITIES AND SHAREHOLDERS' EQUITY Securities repurchase agreement obligations $ 2,889,173 $ 1,517,416 Customer liabilities (including $ 112,701 and $ 130,210 to related parties) 2,248,042 1,925,247 Margin lending and trade payables (including $ 474 and $ 3,721 to related parties) 145,804 122,900 Liabilities from insurance activity 242,179 182,502 Current income tax liability 27,711 4,547 Debt securities issued 266,310 60,025 Lease liability 34,614 30,320 Liability arising from continuing involvement 494,513 440,805 Other liabilities (including $ 11,783 and $ 46 to related parties) 61,447 30,060 TOTAL LIABILITIES $ 6,409,793 $ 4,313,822 Commitments and Contingent Liabilities (Note 23) — — SHAREHOLDERS' EQUITY Preferred stock - $ 0.001 par value; 20,000,000 shares authorized, no shares issued or outstanding — — Common stock - $ 0.001 par value; 500,000,000 shares author