Quarterly report pursuant to Section 13 or 15(d)

SEGMENT REPORTING

v3.23.1
SEGMENT REPORTING
 3 Months Ended
Jun. 30, 2022
Segment Reporting [Abstract]  
Segment Reporting SEGMENT REPORTINGDuring the fourth quarter of 2022 fiscal year, the Company's CODM restructured the way he views the Company's business from a single operating segment to five geographic regional segments including Central Asia, Europe, United States, Russia and Middle East/Caucasus. The Company has classified the Russia segment as discontinued operations for the periods presented because the assets and liabilities to be disposed of in connection with this transaction met the held for
sale criteria as of June 30, 2022. The Company's CODM do not review inter-segment revenues as part of Segment reporting.
The segment reporting was restated for the errors described in Note 4, and restated segment information was provided to CODM in their reports.
The following tables summarize the Company's Statement of Operations and Statements of Other Comprehensive Income by its geographic segments. Intercompany balances were eliminated for separate disclosure:
Quarter ended June 30, 2022 (Restated)
STATEMENTS OF OPERATIONS
 Central Asia Europe U.S. Middle East/Caucasus Total
Fee and commission income (1)
$ 8,250  $ 80,062  $ 1,134  $ —  $ 89,446 
Net gain/(loss) on trading securities 21,589  (15,425) (1,731) —  4,433 
Net realized loss on investments available for sale (593) —  —  —  (593)
Interest income 39,852  4,269  4,442  —  48,563 
Income from insurance activity 24,241  —  —  —  24,241 
Net gain/(loss) on foreign exchange operations 4,267  570  (234) (10) 4,593 
Net gain on derivative 1,266  —  —  —  1,266 
TOTAL REVENUE, NET 98,872  69,476  3,611  (10) 171,949 
Fee and commission expense 10,714  12,427  153  21  23,315 
Interest expense 31,968  2,696  5,407  —  40,071 
Expenses related to Insurance activity 16,692  —  —  —  16,692 
Operating expense 20,767  11,565  5,267  400  37,999 
Provision for impairment losses/(recoveries) 2,431  —  (3) —  2,428 
Other expense/(income), net (500) 2  (6) (57) (561)
TOTAL EXPENSE 82,072  26,690  10,818  364  119,944 
NET INCOME BEFORE INCOME TAX 16,800  42,786  (7,207) (374) 52,005 
Income tax expense (61) (7,223) (1,605) 10  (8,879)
NET PROFIT/(LOSS) $ 16,739  $ 35,563  $ (8,812) $ (364) $ 43,126 
Quarter ended June 30, 2021 (Restated)
STATEMENTS OF OPERATIONS
 Central Asia Europe U.S. Middle East/Caucasus Total
Fee and commission income $ 6,159  $ 70,987  $ 969  $ —  $ 78,115 
Net gain/(loss) on trading securities 8,942  42  (302) —  8,682 
Net realized loss on investments available for sale (31) —  —  —  (31)
Interest income 20,926  1,265  47  —  22,238 
Income from insurance activity 14,076  —  14,076 
Net gain/(loss) on foreign exchange operations 1,470  (226) (36) —  1,208 
Net loss on derivative (59) —  —  —  (59)
TOTAL REVENUE, NET 51,483  72,068  678  —  124,229 
Fee and commission expense 2,532  18,480  182  —  21,194 
Interest expense 12,268  1,698  280  —  14,246 
Expense from insurance activity 11,296  —  —  —  11,296 
Operating expense 11,128  4,792  3,466  35  19,421 
Provision for impairment losses 255  12  —  —  267 
Other expense, net 49  (39) —  —  10 
TOTAL EXPENSE 37,528  24,943  3,928  35  66,434 
NET INCOME BEFORE INCOME TAX 13,955  47,125  (3,250) (35) 57,795 
Income tax (expense)/benefit (114) (5,862) 849  —  (5,127)
NET PROFIT/(LOSS) $ 13,841  $ 41,263  $ (2,401) $ (35) $ 52,668 
(1) All trading of U.S. and European exchange traded and OTC securities by all of the Company's securities brokerage firms, excluding PrimeEx, are routed to and executed through Freedom EU and all fee and commission income for those transactions is recognized at Freedom EU.
The following tables summarize the Company's total asset and total liabilities by its geographic segments. Intercompany balances were eliminated for separate disclosure:
June 30, 2022 (Recast)
Central Asia Europe U.S. Middle East/Caucasus Held for Sale Total
Total assets $ 1,907,881  $ 676,329  $ 147,548  $ 1,853  $ 1,157,130  $ 3,890,741 
Total liabilities 1,648,023  445,274  152,458  387  1,037,683  3,283,825 
Net assets $ 259,858  $ 231,055  $ (4,910) $ 1,466  $ 119,447  $ 606,916 
March 31, 2022 (Recast)
Central Asia Europe U.S. Middle East/Caucasus Held for Sale Total
Total assets $ 1,423,529  $ 805,768  $ 172,679  $ 355  $ 825,419  $ 3,227,750 
Total liabilities 1,203,473  489,883  175,136  172  812,478  2,681,142 
Net assets $ 220,056  $ 315,885  $ (2,457) $ 183  $ 12,941  $ 546,608