Freedom Holding net income doubles to $153.3M on trading gains

Freedom Holding Corp reported fiscal 2026 revenue of $2.19 billion, with net income more than doubling to $153.3 million.

"Over the past few years, we have significantly expanded our customer base across brokerage, banking, and insurance by building a unified digital ecosystem," Timur Turlov, Chairman and CEO of Freedom Holding Corp, said.

Income before income tax reached $226 million, up from $104.6 million a year earlier. Earnings per share came in at $2.56 basic and $2.51 diluted, compared with $1.28 and $1.26 in fiscal 2025. The company did not disclose consensus estimates.

The results were driven by a $216.6 million swing in net gain on trading securities, which produced a gain of $158.8 million versus a $57.8 million loss in the prior year. The improvement came primarily from sales of Kazakhstan sovereign and corporate debt securities. Net gain on derivatives also rose $54.4 million to $66.8 million, driven by Freedom Bank KZ's realized gains from currency swaps.

Interest income edged up 2 percent to $882.5 million, supported by higher margin loans and expansion of the bank's customer loan portfolio. Net insurance revenue fell 29 percent to $402.4 million, reflecting regulatory caps on agent commissions for bank and microfinance loan products.

The company's banking customers roughly doubled to 5.03 million from 2.52 million, while brokerage accounts rose to 858,000 from 683,000. Monthly active users on the Freedom SuperApp climbed 154 percent to 2.59 million in March 2026, with daily active users averaging 634,578, up from 183,000 a year earlier.

Sales of goods and services surged 143 percent to $97.4 million, driven by expansion into telecommunications and increased activity at Arbuz, the company's e-commerce subsidiary. Total assets grew to $13.16 billion from $9.92 billion, while shareholders' equity rose to $1.49 billion from $1.22 billion.

In March 2026, the company agreed to purchase approximately 99.32 percent of Turkish Bank A.S., a bank operating in Turkiye, as part of its strategy to build a financial network across Central Asia, the Caucasus, and beyond. It also plans to establish a brokerage business in Turkiye, subject to regulatory approval. In November 2025, Freedom signed a non-binding memorandum of understanding with the Kazakhstan Ministry of AI and Digital Development and Nvidia Corp to develop a large-scale AI data center in Kazakhstan.

The doubling of net income signals that management's strategy of building a unified digital ecosystem is gaining traction across banking, brokerage, and insurance. Investors will watch for updates on the Turkish Bank acquisition and the AI data center project, both of which could open new revenue streams in fiscal 2027.

This article is for informational purposes only and does not constitute investment advice.