---
schema_version: "secwatch.filing_event.v1"
accession: "0000924805-23-000004"
form_type: "8-K"
ticker: "FRHC"
cik: "0000924805"
company_name: "Freedom Holding Corp."
filed_at: "2023-02-10T23:59:59+00:00"
generated_at: "2026-06-19T18:54:27.849300+00:00"
event_type: "other_material"
sentiment: "negative"
materiality_score: 0.75
calibrated_materiality_score: 0.75
confidence: "high"
source: SEC EDGAR
---

# Freedom Holding Corp. non-reliance on FY2022 and Q1-Q3 FY2023 financials due to revenue misclassification

## Summary
- Audit committee concluded prior financials (FY2022, Q1-Q3 FY2023) are unreliable due to misclassification of margin lending interest income.
- Error: interest income from margin lending was presented as fee and commission income instead of interest income; no net income impact.
- Material weakness in internal controls identified for income statement classification; also outstanding cash flow classification issue from Nov 2022.
- Company intends to restate the affected financial statements as soon as practicable.
- Previous non-reliance (Nov 2022) for cash flow classification has not yet been restated.

## SEC filing metadata
- accession: 0000924805-23-000004
- form_type: 8-K
- ticker: FRHC
- cik: 0000924805
- company_name: Freedom Holding Corp.
- filed_at: 2023-02-10T23:59:59+00:00
- event_type: other_material
- sentiment: negative
- materiality_score: 0.75
- calibrated_materiality_score: 0.75
- confidence: high
- sec_items: 4.02, 9.01
- EDGAR index: https://www.sec.gov/Archives/edgar/data/924805/000092480523000004/0000924805-23-000004-index.htm
- EDGAR primary document: https://www.sec.gov/Archives/edgar/data/924805/000092480523000004/frhc-20230210.htm

## Machine-readable alternates
- HTML: https://secwatch.observer/filing/0000924805-23-000004
- JSON: https://secwatch.observer/filing/0000924805-23-000004.json
- Plain text: https://secwatch.observer/filing/0000924805-23-000004.txt

## Key facts
- Auditor Changes
  Freedom Holding Corp. reported that prior financial statements should not be relied upon.
  - Action: non reliance
  source text: e 30, 2022 and September 30, 2022 (collectively the “Prior Financial Statements”), and any reports, related earnings releases, investor presentations or similar communications of the Company’s Prior Financial Statements should no longer be relied upon. The determination resulted from an error in the Prior Financial Statements identified by the Company related to the classification of certain interest income derived from margin lending made by subsidiaries of the Company within the Company’s income statement. Specifically, the Company determined that, in the Consolidated Statements of Operations and Other Comprehensive Income in the Prior Financial Statements, certain interest income from margin lending was presented as “Fee and commission income” whereas it should have been presented as “Interest income,” and that this misclassification of revenue should be restated through amendments to
  evidence_url: https://www.sec.gov/Archives/edgar/data/924805/000092480523000004/0000924805-23-000004-index.htm

This AI-assisted summary is a reading aid. Review the linked SEC EDGAR filing before relying on any specific claim.