Quarterly report pursuant to Section 13 or 15(d)

ASSETS AND LIABILITIES HELD FOR SALE (Tables)

v3.22.4
ASSETS AND LIABILITIES HELD FOR SALE (Tables)
 9 Months Ended
Dec. 31, 2022
Discontinued Operations and Disposal Groups [Abstract]  
Disposal groups, including discontinued operations As of December 31, 2022 and March 31, 2022, the major classes of assets and liabilities from discontinued operations included the following:
December 31, 2022
March 31, 2022
Cash and cash equivalents $ 582,314  $ 428,480 
Restricted cash 18,052  28,406 
Trading securities 112,801  122,497 
Margin lending, brokerage and other receivables, net 240,414  210,087 
Loans issued 17,201  2,395 
Other assets 34,757  33,554 
Less: valuation allowance (43,973) — 
Total assets held for sale $ 961,566  $ 825,419 
Customer liabilities $ 820,394  $ 701,584 
Securities repurchase agreement obligations 30,971  32,469 
Debt securities issued 63,207  64,637 
Other liabilities 16,912  13,788 
Total liabilities held for sale 931,484  812,478 


The results of operations for discontinued operations for the three and nine months ended December 31, 2022, and 2021, consist of the following:
For The Three Months Ended For The Nine Months Ended
December 31, 2022
December 31, 2021
December 31, 2022
December 31, 2021
Fee and commission income $ 14,230  $ 23,147  $ 62,290  $ 59,596 
Net gain/(loss) on trading securities 799  (6,611) 13,898  (9,716)
Net loss on derivative (43) —  (43) — 
Interest income 17,599  5,786  47,460  15,574 
Net gain/(loss) on foreign exchange operations 19,965  (655) 40,379  (2,889)
TOTAL REVENUE, NET 52,550  21,667  163,984  62,565 
Operating expense 29,839  22,253  83,379  53,841 
Interest expense 3,124  2,365  13,143  6,824 
Fee and commission expense 2,750  2,075  7,000  6,300 
Provision for impairment losses 1,594  13  2,176  89 
Provision for impairment of discontinued operations 2,509  —  43,973  — 
Other (income)/expense, net (933) 28  (154) 120 
TOTAL EXPENSE 38,883  26,734  149,517  67,174 
INCOME/(LOSS) BEFORE INCOME TAX $ 13,667  $ (5,067) $ 14,467  $ (4,609)

The net cash flows used in operating and investing activities for discontinued operations for the nine months ended December 31, 2022, and 2021, consist of the following:
For the Nine Months Ended December 31,
2022 2021*
(Recasted)
Cash Flows From Operating Activities
Net income/(loss) from discontinued operations $ 9,929  $ (3,656)
Adjustments to reconcile net income used in operating activities:
Depreciation and amortization 1,794  1,637 
Noncash lease expense 4,947  3,785 
Change in deferred taxes 4,121  (1,892)
Stock compensation expense 4,226  5,647 
Unrealized loss/(gain) on trading securities (47,926) 9,082 
Net change in accrued interest 810  1,436 
Provision for impairment of discontinued operations 43,973  — 
Allowances for receivables 2,053  89 
Changes in operating assets and liabilities:
Trading securities 61,479  (262,438)
Margin lending, brokerage and other receivables (4,755) (93,717)
Other assets 1,557  (1,948)
Securities sold, not yet purchased – at fair value 257  (24)
Customer liabilities (47,602) 121,173 
Current income tax liability 1  (623)
Margin lending and trade payables (16) 319 
Lease liabilities (5,509) (3,947)
Other liabilities 2,826  2,176 
Net cash flows from/(used in) operating activities from discontinued operations 32,165  (222,901)
Cash Flows Used In Investing Activities
Purchase of fixed assets (3,998) (2,918)
Proceeds from sale of fixed assets —  699 
Net change in loans issued to customers (17,649) (571)
Net cash flows used in investing activities from discontinued operations (21,647) (2,790)

The following table presents reconciliation of anticipated provision for impairment from sale of net assets held for sale as of disposal date:
December 31, 2022
Pre-elimination balance Eliminations Post-elimination balance
Cash and cash equivalents 582,314  —  582,314 
Restricted cash 18,052  —  18,052 
Trading securities 112,801  —  112,801 
Margin lending, brokerage and other receivables, net 331,682  (91,269) 240,413 
Loans issued 17,201  —  17,201 
Other assets 34,758  —  34,758 
Total assets held for sale $ 1,096,808  $ (91,269) $ 1,005,539 
Customer liabilities 820,394  —  820,394 
Securities repurchase agreement obligations 30,971  —  30,971 
Debt securities issued 63,207  —  63,207 
Other liabilities 16,913  —  16,913 
Total liabilities held for sale $ 931,485  $ —  $ 931,485 
Net assets held for sale $ 165,323  $ 74,054 
Unrealized loss from translation adjustment 18,650 
Adjusted net assets held for sale $ 183,973 
Expected selling price 140,000 
Provision for impairment of discontinued operations $ (43,973)