Freedom Holding Corp
FRHC
$131.58 -0.30%
Exchange: NASDAQ | Sector: Financial Services | Industry: Financial Capital Markets
Q2 2025
Published: Nov 8, 2024

Earnings Highlights

  • Revenue of $506.91M up 69% year-over-year
  • EPS of $1.90 decreased by 2.5% from previous year
  • Gross margin of 55.9%
  • Net income of 114.66M
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FRHC
Company FRHC

Executive Summary

Freedom Holding Corp reported a strong top-line quarter for QQ2 2025, with revenue of $506.9 million, up 69.0% year over year and 16.7% quarter over quarter. However, the operating cadence remained muted, as operating income registered $6.5 million and the company posted net income of $114.7 million, bolstered by a sizable contribution from total other income and expenses ($122.0 million) that amplified headline profitability. The earnings per share (diluted) came in at $1.90, with GAAP earnings per share at $1.93, reflecting a material mix shift toward non-operating items in the quarter.

On the balance sheet, Freedom exhibits a robust liquidity position (cash and short-term investments of about $4.45 billion and cash at period-end of $1.46 billion). Yet liquidity indicators are weak on a current-basis (current ratio 0.395) due to elevated short-term liabilities and working-capital outflows. Net debt stood around $2.32 billion, and leverage metrics imply a high debt burden relative to equity (debt-to-equity ~2.29; total debt-to-capitalization ~69.6%). Operating cash flow was negative (-$462.4 million) largely due to aggressive working-capital dynamics—most notably a substantial increase in accounts receivable and other working capital components—driving free cash flow negative (-$447.5 million).

Management commentary is not included in the provided transcript data. Accordingly, the forward-looking commentary relies on the quantified performance and industry context. The QQ2 2025 results underscore a growth-oriented revenue engine with a heavy reliance on non-operating income for profitability, a characteristic that warrants close monitoring of recurring earnings quality, balance-sheet resilience, and cash-flow discipline in the coming quarters.

Key Performance Indicators

Revenue
Increasing
506.91M
QoQ: 16.67% | YoY: 69.03%
Gross Profit
Decreasing
283.18M
55.86% margin
QoQ: -6.50% | YoY: -5.58%
Operating Income
Decreasing
6.48M
QoQ: -96.39% | YoY: -96.82%
Net Income
Decreasing
114.66M
QoQ: 233.31% | YoY: -1.03%
EPS
Decreasing
1.93
QoQ: 232.76% | YoY: -2.53%

Revenue Trend

Margin Analysis

Historical Earnings Comparison

PeriodRevenue ($M)EPS ($)YoY GrowthReport
Q2 2026 526.11 0.00 +21.1% View
Q1 2026 524.86 0.50 +7.1% View
Q3 2025 655.19 1.29 +51.9% View
Q2 2025 506.91 1.90 +69.0% View
Q1 2025 434.48 0.57 +115.2% View