NAVIGATING A YEAR OF PROGRESS
In June, Freedom Holding Corp. disclosed its fiscal year 2025 results, which encompass record revenues of over $2 billion, diversified growth from all business segments, and consistent geographical and customer expansion. Concurrent with these developments, the ambitious plans of expansion unveil bright prospects for the multinational diversified financial and lifestyle services holding, which already has a presence in 22 countries.
Freedom Holding’s most recent annual statement, released in mid-June, covers the financial year that ended on March 31, 2025. The report indicates the achievement of new milestones in business development.
Diversified success
Total revenue, net in fiscal year 2025, compared to fiscal 2024, grew 23% across brokerage, insurance, banking, and other segments from $1.67 billion to a historical record of $2.05 billion. The segment analysis, provided in the financial statement, demonstrates numerous achievements across these four sectors.
Thus, although the Brokerage segment proved to be the largest in terms of revenue, creating 35% of the total holding sales ($717.3 million), the fastest growth was in the Insurance segment. It was the second by revenue ($683 million), but its result almost doubled in the 12 months from March 2024 to March 2025.
The Banking sector was the third largest revenue generator, with earnings amounting to $506.1 million. The banking division demonstrated consistent growth in terms of retail and SME business. This expansion was characterized by an increase of $19.6 million in interest income.
The Other segment has shown consistent growth. In the last fiscal year, its share of the Freedom Holding’s revenue increased from 5% to 7%, and sales growth was 72% with a total of $144 million.
“Given the substantial growth in multiple business segments, the holding’s revenue is becoming increasingly diversified, leading to more qualitative growth,” stated Freedom Holding Corp. CEO Timur Turlov. This not only mitigates business risks but also fosters additional potential as conditions in various sectors improve.
Continuous growth
Such significant growth is an integral component of Freedom’s strategic approach. It is primarily driven by the group’s internal resources, which have the effect of reducing net profit. This year, the report indicated a value of only $84.5 million, yet it remained positive. This reflects that the holding strategy maintains profitability for shareholders, even in the context of active business and geographical expansion.
In addition to key operations in Kazakhstan, a strong presence in Western Europe, and brokerage business in the USA, the holding also currently holds brokerage licenses in Kyrgyzstan and Uzbekistan and possesses banking and brokerage licenses in Tajikistan, where it is preparing to launch a full-fledged digital bank.
“We have received approval in principle in the United Arab Emirates and Turkey, and we are currently working to secure licenses in these countries,” says Timur Turlov. In our next fiscal year, we will certainly expand our business in the United States as well, including our retail business digital platform.”
Customers appreciation
Freedom Holding Corp. has an extensive customer base numbering in the millions. Of these users, 2.5 million are in the banking sector. Its unique digital banking products, like mortgages, car loans, and loans for SME, can be obtained entirely remotely.
The number of insurance customers has reached 1.1 million. The company is among the leaders in Kazakhstan in terms of the digitization of insurance products, the speed of policy issuance, and the receipt of payments.
The customer brokerage accounts reached 683 thousand. Clients appreciate the high level of service, the multifunctional Freedom Broker app, with access to 16 stock exchanges, high-quality news and analytics, and built-in AI tools.
605 thousand clients use the “Other” segment services. The Freedom digital ecosystem encompasses not only a broad array of financial but also non-financial services. These are categorized into two segments: lifestyle, which includes e-commerce, travel, event tickets, etc., and telecommunications (mobile, media). According to Freedom, the digital ecosystem boasts over 1.8 million registered users.
Market recognition
The client’s confidence is based on a prolonged history of delivering high-quality services. The evidence of this reliability is B+ ratings from S&P Global for both the broker and bank subsidiaries and the BB- rating for the insurance segment.
The market recognition is confirmed through the substantial capitalization growth of Freedom Holding Corp., the head company of the holding, listed on Nasdaq since 2019. Over the subsequent six years, its market valuation increased approximately tenfold to nearly $9 billion.
At the end of May 2025, Freedom Holding Corp. was selected for inclusion in the Russell 3000 Index as part of the 2025 annual index reconstitution. For the holding, it brings a strong possibility to broaden its investor base, boost liquidity, and have a positive impact on the share price.
