Freedom Holding Corp (FRHC)

[Quintessence]

For three months Freedom Holding Corp. earned $ 52 million in net profit, reports LS.

The company has released financial results for the first quarter of the fiscal year 2022 ended June 30, 2021.

"For three months, the holding's revenue amounted to $ 124 million and $ 56 million, respectively. The increase by $ 68 million, or 120%, was mainly due to an increase in commission income for the quarter by 125%, or $ 54 million, to $ 97 million. growth in interest income by 325%, or $ 14 million, to $ 18 million. In addition, for the three months ended June 30, 2021 and 2020, net income reached $ 52 million and $ 24 million, respectively, and earnings per share, calculated on the basis of of the weighted average number of shares of 59 and 58 million shares - $ 0.87 and $ 0.42 ", - noted in Freedom Holding Corp.

However, other comprehensive income was $ 55 million and $ 33 million, respectively.

The holding's expenses increased by $ 39 million, or 142%, for the following reasons:

- an increase in commission expenses by $ 12 million due to an increase in the number of clients and the volume of transactions they make;

- an increase in interest expenses by $ 11 million is mainly due to an increase in interest expenses on client balances in bank accounts, an increase in expenses related to short-term financing attracted through repurchase agreements on securities;

- an increase in operating expenses by $ 16 million mainly due to an increase in salary costs as a result of the expansion of the holding's activities through acquisitions and hiring employees.

"The new fiscal year for the holding began with positive dynamics. The number of open accounts continues to grow in all countries of presence. In three months we opened another 40 thousand new accounts. Our main financial indicators also showed growth. We see that the holding's revenue and net profit have more than doubled compared to the same quarter last year. In addition, S&P has raised the long-term credit ratings of IC "Freedom Finance" and JSC "Freedom Finance" from "B-" to "B", and also assigned Freedom Finance Europe Ltd. and Freedom Finance Global PLC ratings of the issuer of long-term and short-term liabilities of the B / B level. Thus, four brokerage companies of the group at once are rated by one of the most reputable rating agencies in the world, which speaks of international recognition of the holding's development, "commented CEO of Freedom Holding Corp. Timur Turlov.

The company added that, as of June 30, 2021, over 330 thousand client accounts have been opened. This is 40 thousand, or 14%, more compared to the number of client accounts as of March 31, 2021.


Source: https://lsm.kz/freedom-vyruchka