# Freedom Holding Corp. (FRHC) Informational only - not investment advice. CIK: 0000924805 SIC: 6211 Security Brokers, Dealers & Flotation Companies SIC breadcrumb: [Finance, Insurance, And Real Estate](/division/H/) > [Security And Commodity Brokers, Dealers, Exchanges, And Services](/major-group/62/) > [SIC 6211 Security Brokers, Dealers & Flotation Companies](/industry/6211/) Latest 10-K filed: 2026-06-01 SEC page: https://www.sec.gov/edgar/browse/?CIK=924805 Filing source: https://www.sec.gov/Archives/edgar/data/924805/000092480526000012/frhc-20260331.htm ## At a glance FY2026 · period end 2026-03-31 · filed 2026-06-01 · accession 0000924805-26-000012 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000924805.json | Metric | Value | FY | Provenance | | --- | ---: | ---: | --- | | Revenue | 2,191,291,000 USD | 2026 | verified | | Net income | 153,328,000 USD | 2026 | verified | | Assets | 13,155,239,000 USD | 2026 | verified | | Free cash flow | -13,545,000 USD | 2026 | computed | | Net margin | 7.00% | 2026 | computed | | Revenue YoY | +9.34% | 2026 | computed | | ROE | 10.30% | 2026 | computed | Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Revenue YoY = FY2026 revenue ÷ FY2025 revenue − 1 (consecutive fiscal years only). ROE = net income ÷ period-end stockholders' equity. No market price, no rating, no forecast on this site. Not investment advice. ### Peer percentile fingerprint | Ratio | FRHC | Peer median | Percentile | N | | --- | ---: | ---: | ---: | ---: | | Net margin | 7.0% | 14.8% | 28 | 19 | | Revenue growth | 9.3% | 14.4% | 39 | 19 | | FCF margin | -0.6% | 14.7% | 14 | 15 | | ROE | 10.3% | 15.1% | 33 | 19 | | ROA | 1.2% | 1.8% | 33 | 19 | | Liabilities / equity | 7.83 | 6.06 | 67 | 19 | Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC industry 6211 Security Brokers, Dealers & Flotation Companies, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking. ## Selected Fundamentals | Metric | Value | Unit | FY | Filed | | --- | ---: | --- | ---: | --- | | Revenue | 2191291000 | USD | 2026 | 2026-06-01 | | Net income | 153328000 | USD | 2026 | 2026-06-01 | | Assets | 13155239000 | USD | 2026 | 2026-06-01 | ## Financials Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-06-01. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000924805.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts. | Metric | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Revenue | | | | 55,224,000 | 74,285,000 | 83,393,000 | 346,883,000 | 689,790,000 | 799,141,000 | 1,647,256,000 | 2,004,155,000 | 2,191,291,000 | | Net income | | | -578,139 | 19,233,000 | 7,147,000 | 24,837,000 | 149,650,000 | 227,494,000 | 205,140,000 | 379,107,000 | 76,287,000 | 153,328,000 | | Diluted EPS | | | | | | 0.43 | 2.56 | 3.84 | 3.45 | 6.39 | 1.26 | 2.51 | | Operating cash flow | 40,201 | -538,629 | -369,141 | | | 82,622,000 | 529,397,000 | -406,365,000 | -951,683,000 | -1,064,362,000 | 1,681,058,000 | 185,221,000 | | Capital expenditures | | | 0.00 | 1,980,000 | 4,987,000 | 1,996,000 | 1,518,000 | 5,623,000 | 38,542,000 | 36,735,000 | 80,902,000 | 198,766,000 | | Assets | | | 8,586,653 | 330,086,000 | 350,911,000 | 453,523,000 | 2,100,322,000 | 3,230,347,000 | 5,084,558,000 | 8,301,930,000 | 9,915,117,000 | 13,155,239,000 | | Liabilities | | 8,583,895 | | 214,986,000 | 233,314,000 | 324,486,000 | 1,824,651,000 | 2,683,739,000 | 4,313,822,000 | 7,134,972,000 | 8,690,553,000 | 11,665,960,000 | | Stockholders' equity | | | 43,887,000 | 127,032,000 | 117,597,000 | 129,037,000 | 277,312,000 | 553,603,000 | 777,285,000 | 1,163,650,000 | 1,224,447,000 | 1,489,279,000 | | Cash and cash equivalents | | | 8,584,103 | 65,731,000 | 49,960,000 | 11,242,000 | 168,804,000 | 225,464,000 | 581,417,000 | 545,084,000 | 837,302,000 | 966,115,000 | | Free cash flow | | | -369,141 | | | 80,626,000 | 527,879,000 | -411,988,000 | -990,225,000 | -1,101,097,000 | 1,600,156,000 | -13,545,000 | ### Ratios ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported. | Metric | 2015 | 2016 | 2017 | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Net margin | | | | 34.83% | 9.62% | 29.78% | 43.14% | 32.98% | 25.67% | 23.01% | 3.81% | 7.00% | | Return on equity | | | -1.32% | 15.14% | 6.08% | 19.25% | 53.96% | 41.09% | 26.39% | 32.58% | 6.23% | 10.30% | | Return on assets | | | -6.73% | 5.83% | 2.04% | 5.48% | 7.13% | 7.04% | 4.03% | 4.57% | 0.77% | 1.17% | | Liabilities / equity | | | | 1.69 | 1.98 | 2.51 | 6.58 | 4.85 | 5.55 | 6.13 | 7.10 | 7.83 | ## As-reported value updates 26 tracked differences above grepcent's stated thresholds were found between the earliest XBRL-filed value and the value currently on file for the same fiscal period. Ledger: /company/FRHC/revisions/ ## Quarterly Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-08-10. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0000924805.json. Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived. | Quarter | End date | Revenue | Net income | Diluted EPS | Method | | --- | --- | ---: | ---: | ---: | --- | | 2023-Q2 | 2022-09-30 | | | 0.44 | reported discrete quarter | | 2023-Q3 | 2022-12-31 | | | 1.36 | reported discrete quarter | | 2024-Q1 | 2023-06-30 | | | 1.15 | reported discrete quarter | | 2024-Q2 | 2023-09-30 | 435,581,000 | 115,847,000 | 1.95 | reported discrete quarter | | 2024-Q3 | 2023-12-31 | 418,634,000 | 96,368,000 | 1.63 | reported discrete quarter | | 2024-Q4 | 2024-03-31 | 464,655,000 | 95,223,000 | | derived Q4 = FY annual - nine-month YTD | | 2025-Q1 | 2024-06-30 | 450,715,000 | 34,400,000 | 0.57 | reported discrete quarter | | 2025-Q2 | 2024-09-30 | 580,900,000 | 114,658,000 | 1.89 | reported discrete quarter | | 2025-Q3 | 2024-12-31 | 655,190,000 | 78,281,000 | 1.29 | reported discrete quarter | | 2025-Q4 | 2025-03-31 | 363,722,000 | -142,689,000 | | derived Q4 = FY annual - nine-month YTD | | 2026-Q1 | 2025-06-30 | 533,423,000 | 30,396,000 | 0.50 | reported discrete quarter | | 2026-Q2 | 2025-09-30 | 526,107,000 | 38,721,000 | 0.63 | reported discrete quarter | | 2026-Q3 | 2025-12-31 | 628,621,000 | 76,235,000 | 1.25 | reported discrete quarter | | 2026-Q4 | 2026-03-31 | 503,140,000 | 7,976,000 | | derived Q4 = FY annual - nine-month YTD | | 2027-Q1 | 2026-06-30 | 732,527,000 | 31,660,000 | 0.52 | reported discrete quarter | ## Filed narrative (10-K & 10-Q) ## Business Verbatim Item 1 Business section from FRHC's latest 10-K: [/company/FRHC/business/](/company/FRHC/business/). ## Risk Factors Verbatim Item 1A Risk Factors from FRHC's latest 10-K: [/company/FRHC/risk-factors/](/company/FRHC/risk-factors/). ## Latest quarter (10-Q) Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/924805/000092480526000047/frhc-20260630.htm Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Published MD&A gate trimmed front/tail over-capture. Confidence: high Filing date: 2026-08-10 Report date: 2026-06-30 ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following discussion and analysis presents management’s perspective on the financial condition and results of operations of Freedom Holding Corp. ("FRHC") and its consolidated subsidiaries. Except where the context otherwise requires or where otherwise indicated, references herein to the "Company," "Freedom," "we," "our," and "us" mean Freedom Holding Corp. together with its consolidated subsidiaries. References to a "fiscal year(s)" mean the 12-month periods ended March 31 for the referenced year. The following discussion and analysis is intended to highlight and supplement data and information presented elsewhere in this quarterly report on Form 10-Q, and it should be read in conjunction with our unaudited condensed consolidated financial statements and the accompanying notes included in this quarterly report on Form 10-Q and the discussion under the heading "Management's Discussion and Analysis of Financial Condition and Results of Operations" included in our annual report on Form 10-K for the fiscal year ended March 31, 2026, filed with the Securities Exchange Commission ("SEC") on June 1, 2026 (the "2026 Form 10-K"). Special Note About Forward-Looking Information This quarterly report on Form 10-Q contains, and any related discussions may contain, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or our future financial or operating performance. In some cases, forward-looking statements can be identified by terminology such as "anticipate," "believe," "continue," "could," "estimate," "expect," "forecast," "future," "intend," "likely," "may," "might," "plan," "potential," "predict," "project," "should," "strategy," "will," "would," and other similar expressions and their negatives. All statements, other than statements of historical fact, included herein and in the documents incorporated by reference in this quarterly report on Form 10-Q are forward-looking statements, including statements regarding our aims, goals, strategic goals, priorities, plans and objectives, plans to obtain licenses; key prospective markets; business strategy, including our strategy for expansion of business and entry into new business areas, such as the telecommunications, media and health sectors in Kazakhstan; our plans with respect to Freedom Media; the development of our digital fintech ecosystem; our products and services and expected operations, including Freedom SuperApp; expected capital expenditures and plans to finance such capital expenditures; our artificial intelligence ("AI") data center development project; the impact of new accounting pronouncements; acquisitions and business expansions in various regions or jurisdictions; treasury policy; regulatory investigations, including their preliminary determinations and potential outcomes, the potential outcome of legal proceedings; and other non-historical statements. Forward-looking statements are not guarantees of future performance and involve known and unknown risks and uncertainties, many of which may be beyond our control. Actual results could differ materially as a result of various factors. The following are some but not all of the factors that could cause actual results or events to differ materially from anticipated results or events: •economic and political conditions in the regions where we operate or in which we have customers; •current and future conditions in the global financial markets, including fluctuations in interest rates and foreign currency exchange rates; •the direct and indirect effects on our business stemming from Russia's large-scale military action against Ukraine; •the impact of war involving Iran and corresponding political and economic instability and armed conflict in the Middle East, the India-Pakistan conflict, and any possible escalation of such conflicts or contagion to neighboring countries or regions; •economic sanctions that limit movement of funds, restrict access to capital markets, block access to third party technologies and IT services or curtail our ability to service existing or potential new customers; •our ability to obtain required licenses; •the outcome and impact of legal and regulatory actions, proceedings, investigations and disputes; •the policies and actions of regulatory authorities in the jurisdictions in which we have operations, including changes in U.S. or other countries' trade policies, the imposition of tariffs and retaliatory tariffs, as well as the degree and pace of regulatory changes and new government initiatives generally; •our ability to manage our growth effectively; •our ability to complete planned acquisitions or successfully integrate businesses we acquire; •our ability to successfully execute our strategy for entry into new business areas, including among others the telecommunications, media and health sectors in Kazakhstan; •our ability to secure financing and develop an AI data center infrastructure in Kazakhstan, including procurement of financing as well as advanced graphics processing units; •the availability of funds, or funds at reasonable rates, for use in our businesses, including for executing our growth strategy; 66 Table of Contents •the impact of competition, including downward pressures on fee and commissions; •our ability to meet regulatory capital adequacy or liquidity requirements, or prudential norms; •our ability to protect or enforce our intellectual property rights in our brands or proprietary technology; •our ability to retain key executives and recruit and retain personnel; •the impact of rapid technological change, including incorporation of AI technologies into products and processes; •information technology, trading platform and other system failures, cybersecurity threats and other disruptions; •market risks affecting the value of our proprietary investments; •risks of non-performance by third parties with whom we have business relationships; •the creditworthiness of our trading counterparties, and banking and brokerage customers; •the impact of tax laws and regulations, and their changes, in any of the jurisdictions in which we operate; •compliance with laws and regulations in each of the jurisdictions in which we operate, particularly those relating to the brokerage, banking and insurance industries; •unforeseen or catastrophic events, including the emergence of pandemics, terrorist attacks, extreme weather events or other natural disasters, political discord or armed conflict; and •other factors discussed in this quarterly report, as well as in the 2026 Form 10-K, including those listed under Part I, Item 1A. "Risk Factors" of the 2026 Form 10-K. Moreover, we operate in a very competitive and rapidly changing environment. New risk factors emerge from time to time and it is not possible for our management to predict all risk factors, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results to differ materially from those contained in any forward-looking statements. You should not place undue reliance on forward-looking statements. Forward-looking statements are based on the beliefs of management as well as assumptions made by and information currently available to management and are made only as of the date of this report or the respective dates of the documents from which they are incorporated by reference. Except to the extent required by law, we undertake no obligations to update or revise any forward-looking statements, whether as a result of new information, future events, a change in events, conditions, circumstances or assumptions underlying such statements, or otherwise. We may also make additional forward-looking statements from time to time. All such subsequent forward-looking statements, whether written or oral, made by us or on our behalf, are also expressly qualified by these cautionary statements. OVERVIEW Our Business Freedom Holding Corp. ("FRHC") is organized under the laws of the State of Nevada and acts as a holding company for all of our subsidiaries. Our subsidiaries engage in a broad range of activities including securities brokerage, securities dealing for customers and for our own account, market making activities, investment research, investment counseling, retail and commercial banking, and insurance products. We also own several ancillary businesses and lifestyle solutions, which complement our core financial services businesses, including payment and information processing services, entertainment and travel ticketing services, e-commerce business, cloud services, and telecommunications as well as media businesses in Kazakhstan that are in a developmental stage. Our mission has always been to democratize access to financial markets for global customers. Our company was founded to provide access to the international capital markets for retail brokerage customers and has rapidly grown providing a world-class digital infrastructure that has led to innovative, integrated financial technologies that address customer needs in Kazakhstan, our home market, and dozens of other countries across Europe, Asia, and North America. The main market of our operations is Kazakhstan. Our operating subsidiaries are located in Kazakhstan, Cyprus, the United States, the United Kingdom, Armenia, the United Arab Emirates, Japan, Uzbekistan, Kyrgyzstan, Georgia, Tajikistan, Azerbaijan, Türkiye, Bulgaria, Germany, Greece, Lithuania, The Netherlands, Portugal, Spain, Austria, France and Poland and the Group also has representative office in Italy. Our subsidiaries in the United States include an SEC- and FINRA-registered broker dealer. As of June 30, 2026, we had 12,100 full-time employees and 264 offices (of which 34 offered brokerage services, 72 offered insurance services, 40 offered banking services and 118 offered other financial and non-financial services). FRHC's common stock is included in the Russell 3000® Index. 67 Table of Contents Products and Services Our business is organized into four segments: Brokerage, Banking, Insurance, and Other. Additional information regarding our segments can be found in the narrative and tabular descriptions of segments and operating results under "Management's Discussion and Analysis of Financial Condition and Results of Operations" included in Item 2 of this quarterly report and Note 25 "Segment Reporting" in the notes to our condensed consolidated financial statements included in Item 1 of this quarterly report. Our Brokerage segment primarily focuses on retail brokerage and broader investment banking services. Our Banking segment encompasses lending, deposit services, payment card services, money transfers, and correspondent accounts, supporting both individual and corporate customers with innovative digital financial solutions. Our Insurance segment offers life and general insurance services. Our Other segment includes payment processing services, e-commerce, online ticket sales, and new business areas including telecommunications and media services. We also engage in proprietary securities trading activities through each of our four segments. The expansion of our retail customers’ activity has been a major driver of our growth, particularly in Kazakhstan, Europe and other Central Asian jurisdictions. Over recent years, we have experienced a significant increase in retail customers' activity across these key markets, which has been instrumental in scaling our business. Below is the table with the number of our customers across our key segments as of the date indicated: [Excerpt truncated for page length; source filing is linked above.] ## Latest 10-K MD&A (excerpt) Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/924805/000092480526000012/frhc-20260331.htm Complete FY 2026 MD&A: /company/FRHC/mda/fy2026/ Extracted from Item 7 to the first post-MD&A boundary after HTML sanitization. Confidence: high Filing date: 2026-06-01 Report date: 2026-03-31 ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS The following discussion and analysis is intended to assist you in understanding the results of operations and present financial condition of Freedom Holding Corp. ("FRHC") and its consolidated subsidiaries in Part II Item 8 of this annual report as well as the information set forth in Part I Item 1 "Business" of this annual report. Except where the context otherwise requires or where otherwise indicated, references herein to the "Company," "Freedom," "we," "our," 65 Table of Contents and "us" mean FRHC together with its consolidated subsidiaries. This discussion contains certain forward-looking statements that involve known and unknown risks, uncertainties, and other factors as described under the heading "Special Note About Forward-Looking Information" in this annual report. Actual results could differ materially from those projected in any forward-looking statements. For additional information regarding these risks and uncertainties, see the disclosure under the heading "Risk Factors" in Part I Item 1A of this annual report. This discussion summarizes the significant factors affecting our consolidated operating results, financial condition, liquidity and capital resources for fiscal 2026 and 2025. For a discussion of our results of operations for fiscal 2024, see "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Part II Item 7 of our annual report on Form 10-K for the fiscal year ended March 31, 2025 filed with the SEC on June 13, 2025. OVERVIEW FRHC is organized under the laws of the State of Nevada and acts as a holding company for all of our operating subsidiaries. Our subsidiaries engage in a broad range of activities including securities brokerage, securities dealing for customers and for our own account, underwriting, market making activities, investment research, investment counseling, retail and commercial banking, insurance products, payment services, and information processing services. We also own several ancillary businesses which complement our core financial services businesses, including telecommunications and media businesses in Kazakhstan that are in a developmental stage. Our mission has always been to democratize access to financial markets for global customers. Our company was founded to provide access to the international capital markets for retail brokerage customers and has rapidly grown providing a world-class digital infrastructure that has led to innovative, integrated financial technologies that address customer needs in Kazakhstan, our home market, and dozens of other countries across Europe, Asia, and North America. Our principal executive office is in New York, United States. We have subsidiaries or otherwise maintain a presence in Kazakhstan, Uzbekistan, Kyrgyzstan, Cyprus, Germany, the United Kingdom, Greece, Spain, France, Poland, Lithuania, Austria, Bulgaria, Italy, Netherlands, Portugal, the United States, Türkiye, Armenia, Azerbaijan, Tajikistan, and the United Arab Emirates. We divested our Russian subsidiaries in February 2023. Our subsidiaries in the United States include an SEC- and FINRA-registered broker dealer. As of March 31, 2026, we had 11,846 employees, 230 offices (of which 32 offered brokerage services, 63 offered insurance services, 9 offered banking services and 126 offered other financial and non-financial services). Summary of Results of Operations The highlights of our consolidated results for fiscal 2026 are as follows: •We had total revenues, net of $2,191.3 million for fiscal 2026, as compared to $2,004.2 million for fiscal 2025. The increase from fiscal 2025 and 2026 was primarily attributable to the following: ◦Our interest income for fiscal 2026 was $882.5 million, representing an increase of $18.0 million, or 2%, compared to fiscal 2025. The increase was primarily driven by increased usage of margin loans by customers and continued expansion of Freedom Bank KZ's customer loan portfolio. This was partially offset by lower interest income from trading securities due to a strategic shift in our investment portfolio in response to increased market volatility and rising interest rates, which adversely impacted reinvestment decisions. ◦Our net insurance revenue for fiscal 2026 was $402.4 million, representing a decrease of $168.8 million, or 29%, compared to fiscal 2025. This decrease was primarily driven by lower written insurance premiums, reflecting regulatory caps on agent commissions for bank and microfinance loan products, and by higher deferred profit liability issuance expense. ◦Our net gain on trading securities for fiscal 2026 was $158.8 million, an increase of $216.6 million, or 375%, compared to fiscal 2025, primarily from sales of Kazakhstani corporate debt securities, partially offset by an unrealized net loss of $5.1 million for fiscal 2026 reflecting a decline in the fair value of securities held at period-end. 66 Table of Contents ◦Our net gain on derivatives for fiscal 2026 was $66.8 million, an increase of $54.4 million, or 438%, compared to fiscal 2025, driven primarily by Freedom Bank KZ, which recorded a realized net gain of $40.9 million for fiscal 2026 largely due to positive revaluation of currency swaps. ◦Our fee and commission income for fiscal 2026 was $489.8 million, representing a decrease of $15.3 million, or 3%, compared to fiscal 2025. This decrease was primarily attributable to lower fee and commission income from banking services, which declined by $87.7 million, mainly driven by the active use of a cashback-based loyalty program. ◦Our sales of goods and services increased by $57.3 million, or 143%, to $97.4 million for fiscal 2026 from $40.1 million for fiscal 2025, primarily reflecting our expansion into the telecommunications sector following the acquisition of Freedom Cloud Holding and increased customer activity and order volume at Arbuz. •We had net income of $153.3 million for fiscal 2026, as compared to $76.2 million for the fiscal 2025. •Our total assets increased to $13.2 billion as of March 31, 2026 from $9.9 billion as of March 31, 2025. Of our total assets: ◦Our investment securities portfolio increased by 19% to $3,342.6 million as of March 31, 2026 from $2,814.7 million as of March 31, 2025, which reflects a strategic shift in response to increased market volatility and rising interest rates. ◦The loan portfolio of Freedom Bank KZ increased by 29% to $2,045.3 million as of March 31, 2026 from $1,587.6 million as at March 31, 2025 mainly due to the growth of mortgage and collateralized bank customer loans portfolio between the two periods. •We had approximately 858,000 total retail brokerage customers as of March 31, 2026 as compared to approximately 683,000 as of March 31, 2025. •We had approximately 5,026,000 bank customers at our Freedom Bank KZ subsidiary as of March 31, 2026 as compared to approximately 2,515,000 as of March 31, 2025. The operating results for any period are not necessarily indicative of the results that may be expected for any future period. Key Factors Affecting Our Results of Operations Our operations have been, and may continue to be, affected by certain key factors as well as certain historical events. The key factors affecting our business and the results of operations include, in particular: market and economic conditions, expansion of our digital ecosystem, acquisitions and expansion into new business areas and markets, our transactions with related parties, our arrangements with market maker customers and governmental policies. Each of these factors is discussed in more detail below. Market and Economic Conditions Performance in the financial services industry is heavily influenced by the overall strength of economic conditions and financial market activity, which generally have a direct and material impact on our results of operations and financial condition. These conditions are a product of many factors, which are mostly unpredictable and beyond our control, and may affect the decisions made by financial market participants. Changes in economic and political conditions, including economic output levels, interest and inflation rates, employment levels, prices of commodities including oil and gas, exogenous market events, consumer confidence levels, tariffs, fiscal and monetary policy can affect market conditions. A period of sustained downturns and/or volatility in the securities markets, and/or prolonged levels of increasing interest rates, could lead to a return to increased credit market dislocations, reductions in the value of real estate, and other negative market factors which could significantly impact our revenues and profitability.     Financial markets may also be impacted by armed conflicts, political and civil unrest occurring in the Middle East, Eastern Europe, Russia and Ukraine, South America and Asia. Hostilities between Russia and Ukraine, war involving Iran and the corresponding political and economic instability in the Middle East, including blockage of crucial transportation 67 Table of Contents routes, have created global uncertainties around the spread of the conflict and have impacted global supply chains of energy supplies and food supplies throughout the world. These issues could have unforeseen and negative impacts upon the financial markets and our company and its operations. Expansion of Our Digital Ecosystem Over the past few years, we have significantly expanded our customer base across brokerage, banking, and insurance by building a unified digital ecosystem. At the core of this growth is the launch of our SuperApp, which brings together essential financial services, including banking, insurance and lifestyle services in a single application. The addition of attractive loyalty and referral programs, improvement and further diversification of our offerings within our SuperApp during fiscal 2026 has further supported customer adoption, increasing overall engagement within the ecosystem. Our mission is to provide our customers with the most convenient, seamless, and beneficial experience possible, engaging them across a broad range of digital products, each offered on terms designed to deliver maximum value and ease of use. We expect the increase in our customer base in recent years will positively impact our future growth prospects. This includes opportunities for increased revenue generation through the ongoing development of our integrated digital fintech ecosystem and expanded cross-selling capabilities. Additionally, we anticipate benefits from network effects, where the value of our services increases as our customer base grows, enabling us to achieve economies of scale by reducing operating costs per customer and enhancing overall operational efficiency. A larger and more diverse customer base also gives us access to a broader pool of data and customer insights, which may allow us to better understand customer preferences, tailor our product offerings, and optimize marketing and sales strategies. However, while the expansion of our customer base presents significant opportunities, it also exposes us to certain risks and uncertainties related to the effective management of our growth. These include potential increases in customer liabilities, intensified competition from both existing and new market participants, and a heightened regulatory burden. Moreover, managing a larger customer base along with developing new businesses, such as telecom and media businesses, and implementing new technologies may introduce operational difficulties and increase the demands on our information systems and management resources. The growing reliance on digital channels and the increasing volume of customer data heighten our exposure to cybersecurity threats. We remain focused on proactively identifying, mitigating, and responding to these risk [Excerpt truncated for page length; the complete text is on the linked full-MD&A page.] Read the full FY 2026 MD&A: /company/FRHC/mda/fy2026/ All MD&A years: /company/FRHC/mda/ ## MD&A history Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page. - [FY 2025 MD&A](/company/FRHC/mda/fy2025/): filed 2025-06-13; accession 0000924805-25-000012 (https://www.sec.gov/Archives/edgar/data/924805/000092480525000012/frhc-20250331.htm) - [FY 2024 MD&A](/company/FRHC/mda/fy2024/): filed 2024-06-14; accession 0000924805-24-000041 (https://www.sec.gov/Archives/edgar/data/924805/000092480524000041/frhc-20240331.htm) - [FY 2023 MD&A](/company/FRHC/mda/fy2023/): filed 2023-08-04; accession 0000924805-23-000076 (https://www.sec.gov/Archives/edgar/data/924805/000092480523000076/frhc-20230331.htm) - [FY 2022 MD&A](/company/FRHC/mda/fy2022/): filed 2022-05-31; accession 0000924805-22-000027 (https://www.sec.gov/Archives/edgar/data/924805/000092480522000027/frhc-20220331.htm) ## Macro cross-references Indicators mapped to this company's SIC classification (industry 6211 Security Brokers, Dealers & Flotation Companies) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim. - [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate - [DGS2](/indicator/DGS2/): Market Yield on U.S. Treasury Securities at 2-Year Constant Maturity - [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity - [T10Y2Y](/indicator/T10Y2Y/): 10-Year Treasury Constant Maturity Minus 2-Year Treasury Constant Maturity - [M2SL](/indicator/M2SL/): M2 Macro-to-micro threads including this sector: [Interest rates & the Fed](/thread/interest-rates-fed/), [Money & trade](/thread/money-trade/), [Consumer & credit](/thread/consumer-credit/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/). All macro indicators: /indicators/ ## For LLMs & downloads Markdown twin: /company/FRHC.md · JSON record: /company/FRHC.json · verified financials: /company/FRHC/financials.json / /company/FRHC/financials.csv · machine TOC for the whole site: /llms.txt