Finasteride blocks 5-alpha-reductase, the enzyme that converts testosterone into DHT. So the direct hormonal effect is a large drop in DHT - which is the entire point, since DHT drives pattern hair loss (see DHT and hair loss).
Crucially, the thing it lowers is DHT, not testosterone. This distinction is the whole answer to the question, and it gets lost because people hear "hormone treatment for hair" and assume it must be suppressing the main male hormone.
It is not.



