Donald Trump‘s media company lost more than four hundred times more money than it made from January to March this year. The quarterly report from Trump Media and Technology Group (TMTG) showed the company had $US870,000 ($A1.2 million) in revenue in the first three months of the year.
At the same time it reported a $US406 million ($A560 million) net loss. But despite the colossal losses, its interim CEO Kevin McGurn is bullish.
“Trump Media is using its strong balance sheet and positive operating cash flow to continue growing all our businesses and platform infrastructure,” he said.
“Truth Social remains a bastion of free speech with innovative enhancements coming soon.” Most of the company’s shares are still owned by President Trump himself. The bulk of the losses come from massive purchases of Bitcoin for a “treasury” to be held by the company.
TMTG bought $3.5 billion in Bitcoin midway through last year. Since that time, the value of Bitcoin has crashed.
The centrepiece of the company is Truth Social, the social media site created when Donald Trump was banned from Twitter and Facebook.
Truth Social was touted as a conservative alternative to other social media sites, but it has attracted few prominent users save for Trump himself. Today’s statement said the company is looking to expand into prediction contracts and more use of AI.
Video streaming platform Truth+ has also not connected with a wider audience. The platform bills itself as showing “non-woke movies, live TV, Christian content, and more”. Today’s report comes out weeks after CEO Devin Nunes suddenly left the business.
Trump Media and Technology Group (TMTG) was valued at $US10 billion ($14 billion) when it first went public in March 2024. Now it is valued at a fraction of that.
