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LOANS ISSUED
 6 Months Ended
Sep. 30, 2025
Loans and Leases Receivable Disclosure [Abstract]  
LOANS ISSUED LOANS ISSUED
Loans issued as of September 30, 2025, consisted of the following:
Amount OutstandingDue DatesAverage Interest Rate Fair Value of
Collateral		Loan Currency
 
Mortgage loans$961,474  October 2025 - May 2051 12.0%$961,381 KZT
Corporate loans243,036 October 2025 - September 2035 17.1%185,550 KZT
Right of claim for purchased retail loans234,754 October 2025 - May 2031 15.0%234,754 KZT
Loans to SME226,714  October 2025 - June 2032 29.5%30,484 KZT
Car loans147,884  October 2025 - September 2032 24.2%145,926 KZT
Retail loans9,652 October 2025 - July 2045 29.4%1,154 
KZT
Other9,066  October 2025 - May 2030
3.0%/ 18.0%
15 
USD/KZT//EUR
Allowance for loans issued(82,005)
Total loans issued$1,750,575 
The Group provides mortgage loans to borrowers on behalf of the JSC Kazakhstan Sustainability Fund ("Program Operator") related to the state mortgage program "7-20-25" and transfers the rights of claim on the mortgage loans to the Program Operator. The proceeds received from these transfers are presented within funds received under state program for financing of mortgage loans in the Condensed Consolidated Statements of Cash Flows. Under this program, borrowers can receive a mortgage at an interest rate of 7% subject to not less than 20% down payment, for 25 years, and the interest payments received by the Group are recognized as interest income in the Group's Condensed Consolidated Statements of Operations and Statements of Other Comprehensive Income. In accordance with the program and trust management agreement for the program, Group services the transferred loans and remits all repayments of principal it receives plus 4.5% of the 7% interest received to the Program Operator. The interest paid to the Program Operator is recognized as interest expense in the Condensed Consolidated Statements of Operations and Statements of Other Comprehensive Income. The remaining 2.5% of the 7% interest is retained by Group. Under the program and trust management agreement, Group is required to repurchase the rights to make claims on the transferred loans when either loan principal repayments or interest payments are overdue 90 days or more. The repurchase of overdue loans is performed at the loans' nominal value and is presented within repurchase of mortgage loans under the State Program in the Condensed Consolidated Statements of Cash Flows.

Since the Group transfers the rights to make claims on the loans with recourse for loans that are more than 90 days past due, retains part of the interest received on the loans and agrees to service the loans after the sale of the loans to the Program Operator, the Group has determined that it retains control over the loans transferred and continues recognizing the loans, which are accounted for as secured borrowings of the Group in accordance with ASC 860, Transfers and Servicing. As the Group continues to recognize the loans as assets, it also recognizes the associated liability equal to the proceeds received from the Program Operator, which is presented separately as liability arising from continuing involvement in the Consolidated Balance Sheets. This liability accrues 5% interest annually as described above. As of September 30, 2025 and March 31, 2025, the corresponding liability amounted to $476,030 and $503,705, respectively.
As of September 30, 2025 and March 31, 2025, mortgage loans include loans under the state mortgage program "7-20-25" with an aggregate principal amount of $484,600 and $511,851, respectively, were presented within loans issued in the Condensed Consolidated Balance Sheets.

The Group has an agreement with Microfinance Organization Freedom Finance Credit LLP ("FFIN Credit"), a company established and controlled by FRHC's controlling shareholder, chairman and chief executive officer, Timur Turlov, to purchase uncollateralized retail loans. FFIN Credit is a non-bank credit institution that issues loans in Kazakhstan under simplified lending procedures. FFIN Credit was created as a pilot project to test and improve the scoring models used for qualifying and issuing loans. The principal operation of FFIN Credit is to provide loans to customers online using biometric identification and its proprietary scoring process. Following the successful pilot, the Company intends to either acquire FFIN Credit from Mr. Turlov or implement an in-house solution to replicate its functions, ensuring continuity and scalability of the lending operations. The bank has legal ownership over purchase from FFIN Credit uncollateralized retail loans, however, in accordance with U.S. GAAP requirements, the Group does not recognize those loans, since effective control over the transferred loans are maintained by FFIN Credit. Instead, the Group recognizes
the loans receivable from FFIN Credit presented on the Condensed Consolidated Balance Sheets within the loans issued. As of September 30, 2025 and March 31, 2025, right of claims for purchased retail loans amounted to $234,754 and $183,635, respectively.

The total accrued interest for loans issued amounted to $16,562 as of September 30, 2025 and $13,385 as of March 31, 2025.
Loans issued as of March 31, 2025, consisted of the following:
Amount OutstandingDue DatesAverage Interest Rate Fair Value of
Collateral		Loan Currency
 
Mortgage loans$924,530 April 2025 - March 205011.4%$924,386 KZT
Loans to SME244,217 
April 2025 - February 2032
28.6%35,141 KZT
Right of claim for purchased retail loans183,635 April 2025 - March 203015.0%183,635 KZT
Car loans156,340 April 2025 - April 203224.2%155,320 KZT
Corporate loans149,143 
April 2025 - December 2031
19.1%92,739 KZT
Retail loans4,847 September 2025 - March 204521.2%663 KZT
Other7,838 April 2025 - September 2029
18.0%/12.70%/3.00%
29 
KZT/EUR/USD
Allowance for loans issued(75,115)
Total loans issued$1,595,435 
Credit quality indicators

Freedom Bank KZ uses a loan portfolio quality classification system that indicates signs of a significant increase in credit risk and contractual impairment, depending on the analysis of reasonable and supportable information available at the reporting date. The loan portfolio is classified into "not credit impaired," "with significant increase in credit risk" and "credit impaired" agreements.

Loans "not credit impaired" under the agreement are serviced as usual, there are no primary signs of an increase in credit risk. Agreements classified as "with significant increase in credit risk" represent loans for which there is an increase in the credit risk expected over the life of the agreement compared to the initial risk at the date of recognition of the loan. In practice, the presence of overdue debt on principal and interest for a period of more than 30 days or the absolute probability of default threshold PD exceeds 20%. Agreements classified as "credit impaired" represent loans for which at the reporting date there are signs of impairment, the borrower has been in default for 90 or more days for individuals and 60 or more days for legal entities, the borrower for the last 6 months for individuals and 12 months for legal entities restructured the contract due to the deterioration of the financial condition, the borrower is recognized as credit impaired, the presence of a sign of default, a sign of bankruptcy, the deterioration of the financial performance of the borrower, the presence of other information indicating the presence of a high credit risk.
The table below presents the Group's loan portfolio by credit quality classification and origination year as of September 30, 2025. Current vintage disclosure is the requirement due to first adoption of ASC 326.
Term Loans by Origination Fiscal Year
20262025202420232022PriorRevolving loansTotal
Mortgage loans$161,750 $288,978 $160,218 $324,647 $25,881 $— $— $961,474 
that are not credit impaired161,413 286,687 157,380 322,008 25,579 — — 953,067 
with significant increase in credit risk301 1,165 1,547 1,174 232 — — 4,419 
that are credit impaired36 1,126 1,291 1,465 70 — — 3,988 
Loans to SME44,384 71,826 96,093 14,411 — — — 226,714 
that are not credit impaired43,347 65,538 74,036 10,558 — — — 193,479 
with significant increase in credit risk670 1,502 3,026 441 — — — 5,639 
that are credit impaired367 4,786 19,031 3,412 — — — 27,596 
Right of claim for purchased retail loans133,129 86,820 14,174 628 3 — — 234,754 
that are not credit impaired133,129 86,820 14,174 628 3 — — 234,754 
Corporate loans178,193 64,748 95 — — — — 243,036 
that are not credit impaired177,836 — 64,345 — 95 — — — — — 242,276 
with significant increase in credit risk292 113 — — — — — 405 
that are credit impaired65 290 — — — — — 355 
Car loans34,763 4,369 84,849 23,903 — — — 147,884 
that are not credit impaired34,680 4,339 79,140 17,068 — — — 135,227 
with significant increase in credit risk83 30 1,094 532 — — — 1,739 
that are credit impaired— — 4,615 6,303 — — — 10,918 
Retail loans5,650 3,055 883 64 — — — 9,652 
that are not credit impaired5,477 2,801 715 62 — — — 9,055 
with significant increase in credit risk159 96 16 — — — — 271 
that are credit impaired14 158 152 2 — — — 326 
Other162 310 2,169 6,388 37 — — 9,066 
that are not credit impaired162 310 2,162 6,388 37 — — 9,059 
with significant increase in credit risk— — — — — — — — 
that are credit impaired— — 7 — — — — 7 
Total$558,031 $520,106 $358,481 $370,041 $25,921 $— $— $1,832,580 
The table below presents the Group's loan portfolio by credit quality classification as of March 31, 2025.
Term Loans by Origination Fiscal Year
20252024202320222021PriorRevolving loansTotal
Mortgage loans$336,535 $186,816 $370,588 $30,591 $— $— $— $924,530 
that are not credit impaired336,051 184,610 367,918 29,876 — — — 918,455 
with significant increase in credit risk410 1,361 1,402 340 — — — 3,513 
that are credit impaired74 845 1,268 375 — — — 2,562 
Loans to SME98,556 126,835 18,826 — — — — 244,217 
that are not credit impaired96,338 109,461 15,647 — — — — 221,446 
with significant increase in credit risk1,185 3,612 663 — — — — 5,460 
that are credit impaired1,033 13,762 2,516 — — — — 17,311 
Right of claim for purchased retail loans151,237 30,702 1,688 8 — — — 183,635 
that are not credit impaired151,237 30,702 1,688 8 — — — 183,635 
with significant increase in credit risk— — — — — — — — 
that are credit impaired— — — — — — — — 
Car loans5,974 116,459 33,907 — — — — 156,340 
that are not credit impaired5,974 110,871 26,014 — — — — 142,859 
with significant increase in credit risk— 1,603 837 — — — — 2,440 
that are credit impaired— 3,985 7,056 — — — — 11,041 
Corporate loans148,599 470 74 — — — — 149,143 
that are not credit impaired146,785 470 74 — — — — 147,329 
with significant increase in credit risk1,813 — — — — — — 1,813 
that are credit impaired1 — — — — — — 1 
Retail loans3,774 1,066 7 — — — — 4,847 
that are not credit impaired3,682 887 5 — — — — 4,574 
with significant increase in credit risk34 18 — — — — — 52 
that are credit impaired58 161 2 — — — — 221 
Other232 1,237 6,323 46 — — — 7,838 
that are not credit impaired232 1,229 6,323 46 — — — 7,830 
with significant increase in credit risk— — — — — — — — 
that are credit impaired— 8 — — — — — 8 
Total$744,907 $463,585 $431,413 $30,645 $— $— $— $1,670,550 
Aging analysis of past due loans as of September 30, 2025 and March 31, 2025, is as follows:
September 30, 2025
Loans 30-59 Days past due Loans 60-89 days past due Loans 90 days or more past due and still accruingCurrent loansTotal
Mortgage loans$2,787 $1,632 $3,988 $953,067 $961,474 
Loans to SME2,911 2,728 27,596 193,479 226,714 
Right of claim for purchased retail loans— — — 234,754 234,754 
Corporate loans312 93 355 242,276 243,036 
Car loans1,007 732 10,918 135,227 147,884 
Retail loans207 64 326 9,055 9,652 
Other— — 8 9,058 9,066 
Total$7,224 $5,249 $43,191 $1,776,916 $1,832,580 
March 31, 2025
Loans 30-59 Days past due Loans 60-89 days past due Loans 90 days or more past due and still accruingCurrent loansTotal
Mortgage loans$2,835 $678 $2,562 $918,455 $924,530 
Loans to SME3,325 2,135 17,311 221,446 244,217 
Right of claim for purchased retail loans— — — 183,635 183,635 
Car loans1,548 892 11,041 142,859 156,340 
Corporate loans730 1,083 1 147,329 149,143 
Retail loans36 16 221 4,574 4,847 
Other— — 8 7,830 7,838 
Total$8,474 $4,804 $31,144 $1,626,128 $1,670,550 
The activity in the allowance for credit losses for the six months ended September 30, 2025 and 2024 is summarized in the following tables.
Allowance for credit losses
Mortgage loanLoans to SMECorporate loansRetail loansCar loansRight of claim for purchased retail loansOtherTotal
March 31, 2025
(10,698)(35,194)(2,640)(760)(8,466)(17,332)(25)$(75,115)
Charges(2,457)(17,376)(2,077)(1,049)(2,643)(19,555)(5)(45,162)
Recoveries
10,033 5,427 2,705 225 1,976 11,214 — 31,580 
Write off3 — — — — — — 3 
Forex542 3,377 187 97 717 1,769 — 6,689 
September 30, 2025
$(2,577)$(43,766)$(1,825)$(1,487)$(8,416)$(23,904)$(30)$(82,005)
Allowance for credit losses
Mortgage loanLoans to SMECorporate loansRetail loansCar loansRight of claim for purchased retail loansOtherTotal
March 31, 2024(3,034)(19,558)(10)(150)(14,260)(6,575)(31)$(43,618)
Charges(1,942)(14,386)(225)(244)(2,687)(4,432)(27)(23,943)
Recoveries780 4,525 17 47 5,193 4,534 — 15,096 
Write off— 43 — 4 260 — 30 337 
Forex261 1,768 9 18 916 466 — 3,438 
September 30, 2024$(3,935)$(27,608)$(209)$(325)$(10,578)$(6,007)$(28)$(48,690)