RESTATEMENT

6 Months Ended

Sep. 30, 2022

Accounting Changes and Error Corrections [Abstract]

RESTATEMENTS

During the course of the Company's preparation of Form 10-Q for the period ended September 30, 2022, it was determined that there was an error in the Company's quarterly report on Form 10-Q for the six months ended September 30, 2021 related to the classification of loans issued and bank customer accounts within the Company's Condensed Consolidated Statements of Cash Flows. Specifically, the Company identified that activities related to certain loans had been classified within "Cash flows from operating activities" and should have been classified within "Cash flows from investing activities". In addition, the Company identified that activities related to bank customer accounts had been classified within "Cash flows from operating activities" and should have been classified within "Cash flows from financing activities".

Subsequently to the issuance of the Form 10-Q for the period ended September 30, 2022, the Company determined that there was an error in the Company's quarterly report on Form 10-Q for the six months ended September 30, 2022 related to classification of funds received under the Kazakhstan state program within the Company's Condensed Consolidated Statements of Cash Flows. The Company identified that activities related to funds received under the Kazakhstan state program for financing of mortgage loans “7-20-25” had been classified within "Cash flows from operating activities" and should have been classified within "Cash flows from financing activities". The Company has evaluated the effect of the incorrect classification and concluded that restatement was necessary for the period ended September 30, 2022 while the adjustments for the period ended September 30, 2021 were not material . The Company determined that the restatement did not have any impact on the Company’s operating performance or any per-share amounts.

The following table summarizes the impact of these correction of errors for the periods presented:


	Six months ended September 30, 2022
	As previously reported		Correction of errors related to classification of funds received for financing mortgage loans		As restated
Net cash flows from/(used in) operating activities	$	124,183	$	(149,590)	$	(25,407)
Net cash flows used in investing activities	(323,187)		—		(323,187)
Net cash flows from/(used in) financing activities	746,094		149,590		895,684
Effect of changes in foreign exchange rates on cash and cash equivalents	184,186		—		184,186
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	$	731,276	$	—	$	731,276


	Six months ended September 30, 2021
	As previously reported		FF Life and FF Insurance acquisitions		Adjustments for discontinued operations		As recasted		Correction of errors related to the classification of loans issued and bank customer accounts		As restated
Net cash flows from/(used in) operating activities	$	(146,141)	$	2,119	134,938		$	(9,084)	$	29,931	$	20,847
Net cash flows used in investing activities	(7,084)		(37,220)		—		(44,304)		(21,948)		(66,252)
Net cash flows from/(used in) financing activities	99,070		28,909		32,871		160,850		(7,983)		152,867
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	$	(36,533)	$	(96)	$	167,617	$	130,988	$	—	$	130,988

The following table summarizes the impact of the correction of errors broken down by continuing and discontinued operations:


	Six months ended September 30, 2021
	As recasted		Correction of errors related to the classification of loans issued and bank customer accounts		As restated
Net cash flows from/(used in) operating activities from continuing operations	$	(4,046)	$	19,288	$	15,242
Net cash flows from/(used in) operating activities from discontinued operations	(5,038)		10,643		5,605
Net cash flows (used in) investing activities from continuing operations	(43,238)		(22,543)		(65,781)
Net cash flows (used in)/from investing activities from discontinued operations	(1,066)		595		(471)
Net cash flows from financing activities from continuing operations	178,496		3,255		181,751
Net cash flows used in financing activities from discontinued operations	(17,646)		(11,238)		(28,884)
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	$	130,988	$	—	$	130,988

In the Company's previously issued condensed consolidated financial statements for the quarters ended September 30, 2022 and 2021, interest income from margin lending to clients had been erroneously classified within fee and commission income from brokerage services. Such income has been reclassified to interest income as a separate sub-line item within interest income entitled interest income from margin lending to clients. The following tables summarize the impact of corrections of the errors on the Condensed Consolidated Statement of Operations for the periods presented:


	For the three months ended September 30, 2022
	As recasted		Correction of errors		As restated
Fee and commission income	$	93,123	$	(9,966)	$	83,157
Insurance underwriting income	26,200		—		26,200
Net realized gain/(loss) on investments available for sale	716		—		716
Net gain on trading securities	9,005		—		9,005
Interest income	49,033		9,966		58,999
Net loss on foreign exchange operations	4,555		—		4,555
Net gain/(loss) on derivative	(2,320)		—		(2,320)

TOTAL REVENUE, NET	$	180,312	$	—	$	180,312


	For the six months ended September 30, 2022
	As recasted		Correction of errors		As restated
Fee and commission income	$	187,483	$	(14,880)	$	172,603
Insurance underwriting income	50,440		—		50,440
Net realized gain/(loss) on investments available for sale	123		—		123
Net gain on trading securities	13,439		—		13,439
Interest income	92,682		14,880		107,562
Net loss on foreign exchange operations	9,148		—		9,148
Net gain/(loss) on derivative	(1,054)		—		(1,054)

TOTAL REVENUE, NET	$	352,261	$	—	$	352,261


	For the three months ended September 30, 2021
	As recasted		Correction of errors		As restated
Fee and commission income	95,215		(2,190)		93,025
Net gain on trading securities	181,603		—		181,603
Net realized gain/(loss) on investments available for sale	(622)		—		(622)
Interest income	24,429		2,190		26,619
Insurance underwriting income	16,022		—		16,022
Net gain on foreign exchange operations	1,508		—		1,508
Net loss on derivative	(656)		—		(656)

TOTAL REVENUE, NET	$	317,499	$	—	$	317,499


	For the six months ended September 30, 2021
	As recasted		Correction of errors		As restated
Fee and commission income	$	174,431	$	(3,291)	$	171,140
Insurance underwriting income	30,098		—		30,098
Net realized gain/(loss) on investments available for sale	(653)		—		(653)
Net gain on trading securities	190,285		—		190,285
Interest income	45,566		3,291		48,857
Net loss on foreign exchange operations	2,716		—		2,716
Net gain/(loss) on derivative	(715)		—		(715)

TOTAL REVENUE, NET	$	441,728	$	—	$	441,728