August 20, 2024, Almaty

The total number of Freedom Broker client accounts as of July 1, 2024 amounted to 279.8 thousand; since the beginning of the year, more than 8.1 million transactions in securities have been carried out.

Top 5 stocks based on the results of the first half of 2024 based on transactions carried out by Freedom Broker clients: 

By number of transactions

• Kazakhstani Securities:

JSC "People's Bank of Kazakhstan" (HSBK)
JSC "Air Astana" (AIRA)
JSC "KazTransOil" (KZTO)
JSC "NC "KazMunayGas" (KMGZ)
JSC "Bank CenterCredit" (CCBN)

• American Securities:

Marathon Digital Holdings (MARA)
Tesla (TSLA)
Freedom Holding Corp. (FRHC)
Nvidia (NVDA)
Coinbase Global (COIN)

By Transaction Amount:

• Kazakhstani Securities:

JSC "Air Astana" (AIRA)
JSC "People's Bank of Kazakhstan" (HSBK)
JSC "NAC "Kazatomprom" (KZAP)
JSC "NC "KazMunayGas" (KMGZ)
JSC "Kcell" (KCEL)

• American Securities:

Nvidia (NVDA)
Alibaba Group Holdings (BABA)
AT&T (T)
Tesla (TSLA)
Coinbase Global (COIN)

In June 2024, the international agency S&P Global Ratings changed the rating outlook for Freedom Finance JSC and Freedom Finance Global PLC from "negative" to "positive" and affirmed the long-term and short-term credit ratings at the "B/B" level. Freedom Finance JSC's national scale ratings were upgraded to "kzBBB-".

Freedom Finance JSC's results for the first half of 2024*
Assets as of July 1, 2024 decreased by 19.9 billion tenge (6.28%) compared to December 31, 2023 and amounted to 297 billion tenge. The reason is a decrease in the volume of securities in the trading portfolio by 27.5 billion tenge, or 12.9%, after recording a positive result on previously purchased securities. It is worth noting a significant increase in the volume of reverse repo transactions to 6.9 billion tenge.
Liabilities decreased by 22.4 billion tenge, or 13.6%, compared to
December 31, 2023 and amounted to 142.3 billion tenge due to a decrease in the volume of direct repo transactions by 22 billion tenge, or 13.6%.
Equity increased by 2.5 billion tenge, or 1.6%, compared to December 31, 2023 and amounted to 154.8 billion tenge.
Net profit decreased by 4.1 billion tenge, or 62.2%, compared to the same period last year and amounted to 2.5 billion tenge. This is due to a decrease in: income in the form of commission fees from underwriter services - by 1 billion tenge, or 38.4%. brokerage services - by 1.1 billion, or 30.5%. And also an increase in: expenses related to the payment of remuneration for repo transactions - by 788.6 million tenge, or 8.4%; operating expenses - by 746.9 million tenge, or 15.9%. The decrease in demand for underwriting services is associated with a gradual decrease in the base rate, which affects the decision of many issuers expecting more favorable conditions for raising funds through bond issuance. This trend is expected to continue until the fourth quarter of this year. The decrease in income from the provision of brokerage services, in turn, is offset by an increase in the same indicator in Freedom Finance Global.
The authorized capital is 98.5 billion tenge. As of July 1, 2024, Freedom Finance JSC is an official market maker for 104 securities traded on the Kazakhstan Stock Exchange (KASE), and for 10 securities on the Astana International Exchange (AIX). The company continues to maintain its leadership in the KASE member activity ranking. Based on the results of the second quarter of this year, Freedom Finance JSC took first place in three market sectors: equity and debt securities, repo.

Freedom Finance Global Results for the First Quarter of Fiscal Year 2025**
Freedom Finance Global assets for the first quarter of fiscal year 2025 amounted to USD 264.9 million, an increase of 18% over the reporting period, which is due to an increase in cash and cash equivalents in the company's accounts by USD 48.3 million, or 32%.
Liabilities for the reporting period decreased by USD 2.3 million, or 2.6%, to USD 86.4 million, due to a decrease in the volume of direct repo transactions by USD 5.7 million, or 11.9%.
Equity as of July 1, 2024 amounted to USD 178.5 million, an increase of 32% over the year as a result of an increase in retained earnings for the reporting period.
Net profit for the reporting period amounted to USD 52.6 million, an increase of 90.5% compared to the same indicator a year earlier, which is largely due to an increase in interest income by USD 48.6 million, or 147%. It is also worth noting the increase in income from the provision of brokerage services by 77% to USD 21.1 million.

Reference:
* Key financial indicators from the separate financial statements of Freedom Finance JSC (unaudited) as of July 1, 2024.
** For the company, Q1 of the 2025 fiscal year ended on June 30, 2024.
Freedom Finance JSC provides its clients with brokerage services on KASE and AIX, market maker services for maintaining securities quotes, organization of debt and equity financing, and financial consulting services.
Freedom Finance Global is a broker with new opportunities, specializing in servicing retail investors. The company is registered in the AIFC, has a license from AFSA and operates with elements of English law. Freedom Finance Global clients have direct access to exchange transactions on international financial markets (NYSE/NASDAQ, London Stock Exchange, HKEX, Frankfurt Stock Exchange), KASE and AIX, as well as to the holding’s most popular and in-demand service – participation in initial public offerings (IPOs).
The companies are part of the international investment group Freedom Holding Corp. The holding’s shares have been listed (since October 15, 2019) on the Nasdaq Capital Market under the ticker FRHC. Freedom Holding Corp. Activities regulated by the Securities and Exchange Commission (SEC, USA).

Media contacts:

Ramina Fakhrutdinova – Advisor to the Chairman of the Board of Directors on PR, Freedom Finance JSC

E-mail: [email protected]