$FRHC

BMB MUNAI INC

CIK:0000924805|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND STATEMENTS OF OTHER COMPREHENSIVE INCOME (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Revenue:
Fee and commission income	$ 156,734	$ 107,642
Net gain on trading securities	79,778	45,602
Interest income	295,106	198,571
Net insurance revenue	124,175	143,815
Net gain/(loss) on foreign exchange operations	13,726	(12,893)
Net gain/(loss) on derivative	9,853	15,459
Sales of goods and services	41,510	17,224
Other income	11,645	8,561
TOTAL REVENUE, NET	732,527	523,981
Expense:
Fee and commission expense	31,289	84,354
Interest expense	177,563	113,410
Insurance claims and policyholder benefits, net of reinsurance	131,582	64,996
Payroll and bonuses	153,127	92,505
Professional services	10,004	13,024
Stock compensation expense	23,235	23,054
Advertising and sponsorship expense (including for the three month ended $11,831 and $5,513 from related parties)	35,785	24,463
General and administrative expense	76,205	41,975
Allowance for expected credit losses	17,659	4,822
Cost of sales	35,244	13,903
TOTAL EXPENSE	691,693	476,506
INCOME BEFORE INCOME TAX	40,834	47,475
Income tax expense	(9,174)	(10,119)
NET INCOME	31,660	37,356
Less: Net loss attributable to non-controlling interest in subsidiary	0	0
NET INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS	31,660	37,356
OTHER COMPREHENSIVE INCOME
Change in unrealized (gain)/loss on investments available-for-sale, net of tax effect	(1,141)	2,998
Reclassification adjustment for net realized (gain)/loss on available-for-sale investments disposed of in the period, net of tax effect	(238)	174
Change in discount rate on liability for future policy benefits	(3,350)	(848)
Foreign currency translation adjustments	(4,400)	(41,804)
OTHER COMPREHENSIVE LOSS	(9,129)	(39,480)
COMPREHENSIVE (LOSS)/INCOME BEFORE NON-CONTROLLING INTERESTS	22,531	(2,124)
Less: Comprehensive loss attributable to non-controlling interest in subsidiary	0	0
COMPREHENSIVE (LOSS)/INCOME ATTRIBUTABLE TO COMMON SHAREHOLDERS	$ 22,531	$ (2,124)
EARNINGS PER COMMON SHARE (In U.S. dollars):
Earnings per common share-basic (in USD per share)	$ 0.52	$ 0.62
Earnings per common share- diluted (in USD per share)	$ 0.52	$ 0.61
Weighted average number of shares, basic (in shares)	60,416,219	59,853,479
Weighted average number of shares, diluted (in shares)	61,269,787	61,057,627

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Jun. 30, 2026	Jun. 30, 2025
Cash Flows From Operating Activities
Net income	$ 31,660	$ 37,356
Adjustments to reconcile net income from operating activities:
Depreciation and amortization	9,879	6,114
Amortization of deferred acquisition costs	2,264	70,018
Non-cash lease expense	6,240	4,046
Change in deferred taxes	(21,149)	(5,463)
Stock compensation expense	23,235	23,054
Unrealized gain on trading securities	(54,499)	(37,736)
Unrealized (gain)/loss on derivatives	(1,524)	1,954
Net realized (gain)/loss on available-for-sale securities	(238)	174
Net change in accrued interest	(54,143)	19,796
Gain from sale of Comrun LLP	0	(1,613)
Change in insurance reserves	112,536	53,777
Revaluation of investment in associates	123	79
Change in unused vacation reserves	2,225	1,266
Allowance for expected credit losses	17,659	4,822
Other non-cash expense/(income)	710	(85)
Changes in operating assets and liabilities:
Trading securities	(548,723)	227,270
Margin lending, brokerage and other receivables (including $12,293 and $15,797 changes from related parties)	745,444	449,567
Insurance contract assets	(15,172)	6,653
Other assets	(36,533)	(101,183)
Brokerage customer liabilities (including $18,698 and $40,843 changes from related parties)	(508,231)	49,788
Current income tax liability	18,935	10,283
Margin lending and trade payables (including $184 and $252 changes from related parties)	(150,637)	(352,399)
Lease liabilities	(6,135)	(3,850)
Liabilities from insurance activity	(3,313)	(5,191)
Other liabilities	87,763	22,334
Net cash flows (used in)/from operating activities	(341,624)	480,831
Cash Flows Used In Investing Activities
Purchase of fixed assets	(79,140)	(26,356)
Purchase of intangible assets	(15,801)	(4,431)
Net change in loans issued to customers	19,589	(205,794)
Purchase of available-for-sale securities, at fair value	(132,730)	(40,740)
Proceeds from sale of available-for-sale securities, at fair value	20,837	13,525
Purchase of held-to-maturity securities	(85,644)	(239,241)
Capital contribution to investment in associate	(40)	(20)
Cash, cash equivalents disposed from sale of subsidiaries	0	(55)
Consideration paid for acquisitions	(4,875)	(10,082)
Cash, cash equivalents and restricted cash received from acquisitions	2,439	7,678
Net cash flows used in investing activities	(275,365)	(505,516)
Cash Flows From Financing Activities
Proceeds from private placement	300,000	0
Net proceeds/(repayment) of securities repurchase agreement obligations	233,380	(308,030)
Proceeds from issuance of debt securities	210,009	199,204
Net change in bank customer deposits	475,222	196,178
Settlement and repurchase of mortgage loans under the State Program	(16,420)	(12,952)
Funds received under state program for financing of mortgage loans	20,225	16,223
Net (repayment)/proceeds from loans received	(5,718)	32,758
Net cash flows from financing activities	1,216,698	123,381
Effect of changes in foreign exchange rates on cash and cash equivalents	12,196	(74,207)
Effect of expected credit losses on cash and cash equivalents and restricted cash	(86)	(393)
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH	611,819	24,096
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD	2,212,427	1,644,770
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD	$ 2,824,246	$ 1,668,866

CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) - USD ($) $ in Thousands	Jun. 30, 2026	Mar. 31, 2026
ASSETS
Cash and cash equivalents	$ 1,351,050	$ 966,115
Restricted cash	1,473,196	1,246,312
Investment securities	4,182,982	3,342,561
Margin lending, brokerage and other receivables, net	3,996,783	4,690,782
Loans issued (including $25,157 and $21,321 to related parties)	2,036,515	2,077,606
Fixed assets, net	371,980	358,396
Intangible assets, net	85,996	73,319
Goodwill	52,995	51,099
Right-of-use asset	61,438	47,579
Insurance contract assets	57,011	36,849
Other assets, net (including $40,641 and $40,119 with related parties)	376,937	264,621
Total assets	14,046,883	13,155,239
LIABILITIES AND SHAREHOLDERS’ EQUITY
Securities repurchase agreement obligations	1,254,206	1,024,923
Customer liabilities	7,048,800	7,103,984
Margin lending and trade payables	594,005	689,641
Insurance contract liabilities	768,095	653,907
Current income tax liability	62,601	43,701
Debt securities issued	1,470,693	1,261,120
Lease liability	62,986	48,843
Liability arising from continuing involvement	561,891	554,594
Unsettled liability arising from a private placement	300,000	0
Other liabilities	388,330	285,247
TOTAL LIABILITIES	12,511,607	11,665,960
Commitments and Contingent Liabilities (Note 24)	0	0
SHAREHOLDERS’ EQUITY
Preferred stock - $0.001 par value; 20,000,000 shares authorized, no shares issued or outstanding	0	0
Common stock - $0.001 par value; 500,000,000 shares authorized; 61,428,760 shares issued and outstanding as of June 30, 2026, and 61,292,581 shares issued and outstanding as of March 31, 2026, respectively	61	61
Additional paid in capital	338,123	314,657
Retained earnings	1,263,160	1,231,500
Accumulated other comprehensive loss	(66,068)	(56,939)
TOTAL FRHC SHAREHOLDERS’ EQUITY	1,535,276	1,489,279
Non-controlling interest	0	0
TOTAL SHAREHOLDERS’ EQUITY	1,535,276	1,489,279
TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY	$ 14,046,883	$ 13,155,239