Freedom Holding Corp. Reports Strong Revenue Growth in Q3 2025 Fiscal Year, Driven by Brokerage and Banking Segments

Core Insights - Freedom Holding Corp. reported a 57% increase in total revenue for Q4 2024, reaching $655.2 million compared to $418.6 million in Q4 2023 [1] - The company's total assets grew to $9.1 billion from $8.3 billion as of March 31, 2024 [1] Revenue Drivers - The surge in revenue was primarily due to a significant turnaround in net gain on trading securities, which improved from a $5.1 million loss to a $89.6 million gain [2] - Insurance underwriting income saw a remarkable increase of 125%, reaching $177.5 million, driven by the expansion of pension annuities and accident insurance operations [2] - The banking segment also experienced robust growth, with a 47% increase in revenue compared to the same period last year [2] Segment Performance - Brokerage revenue increased by 29% to $213.3 million, supported by net gains on trading securities and fee and commission income [4] - Banking revenue rose by 47% to $206.4 million, bolstered by net gains on trading securities and derivatives [4] - Insurance revenue doubled to $197.8 million, reflecting strategic growth in insurance underwriting income [4] - Other segments saw revenue growth of 120% to $37.7 million, largely due to net gains on foreign exchange operations [4] Financial Overview - Despite strong revenue growth, net income declined by 19% to $78.1 million compared to $96.1 million in the previous year's quarter, attributed to increased expenses [5] - Total expenses for the quarter amounted to $556.9 million, up from $307.0 million in Q3 2024 fiscal year [5] - Fee and commission income increased from $120.2 million to $143.4 million during the same period [6] Strategic Initiatives - The company remains committed to expanding its product portfolio, improving operational efficiencies, and capitalizing on emerging market opportunities [6] - In October 2024, Freedom Holding acquired EliteCom, a telecommunications services company, for $3 million to develop its own telecommunications business [7] Company Profile - Freedom Holding Corp. is an international financial and investment services group specializing in capital markets, asset management, and brokerage services [8] - The company operates primarily in Kazakhstan and has a presence in 22 countries, focusing on delivering innovative financial products to individual and institutional investors [9]