The Trump Media and Technology Group (TMTG) registered over $300 million in losses in the first quarter of 2024, according to the company's latest financial statement.
Net losses from January to March stood at $327.6 million, a significant increase from the $210,000 loss it incurred during the corresponding period last year, according to the firm's quarterly statement. Over the brief three-month span, Truth Social—the primary asset within TMTG’s portfolio—generated a mere $770,500 in revenue.
Since TMTG’s listing on the New York Stock Exchange on 26 March, the media conglomerate attached to former Republican president Donald Trump has had to disclose its quarterly results. Its route to Wall Street involved a merger with Digital World Acquisition Corp (DWAC), a listed shell company or Special Purpose Acquisition Company (SPAC), designed to help provide an easier path to the stock market.
However, this move cost Donald Trump’s group over $6 million, causing its operational loss to jump to $12.1 million, four times the figure posted in Q1 2023.
As of 29 April 2024, company shares were held by over 621,000 shareholders, the vast majority of whom are private investors, TMTG clarified in its statement.
After its initial public offering, TMTG’s share price plummeted by more than 70%, before starting to rally in mid-April. The tumble shaved several billion dollars off Donald Trump’s fortune, as he controls 57.3% of TMTG shares.
The CEO of TMTG, former Republican congressman Devin Nunes, accused hedge funds of market manipulation, alleging their use of an illegal mechanism to depress the company’s stock price. Despite these setbacks, he insisted in a Monday statement that TMTG remains “well-capitalised.”
“ Our positive working capital allows us to explore and pursue a wide array of initiatives and innovations to build out the Truth Social platform including potential mergers and acquisitions activities,” Nunes said.
"We are particularly excited to move forward with live TV streaming by developing our own content delivery network, which we believe will be a major enhancement of the platform,” he added.
