• Thu. Jun 6th, 2024

Trump Media and Technology Group reports over $300 million in net loss during initial public quarter

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May 25, 2024

Trump Media and Technology Group, the parent company of former President Donald Trump’s social media platform Truth Social, reported a loss of over $300 million in their first earnings report as a publicly traded company. The company’s loss of $327.6 million for the three-month period ending March 31 included $311 million in non-cash expenses related to its merger with Digital World Acquisition Corp, a special purpose acquisition company (SPAC).

This marked a significant increase from their loss of $210,300 in the same period a year earlier. Trump Media generated $770,500 in revenue in the first quarter, primarily from their advertising efforts, a decrease from $1.1 million in the previous year. The company emphasized their focus on long-term product development over short-term revenue.

In recent events, Trump Media fired their auditor, BF Borgers, after the firm faced charges of fraud by federal regulators. This led to a delay in filing the quarterly earnings report. The company had previously changed auditors at least twice before this latest incident. Despite these challenges, shares of Trump Media rose in after-hours trading to $48.74, with the stock symbol “DJT” on Nasdaq, reaching nearly $80 in late March.

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