Current:Home > reviewsTruth Social reports $16M in Q2 losses, less than $1M in revenue; DJT stock falls 7% -CapitalWay
Truth Social reports $16M in Q2 losses, less than $1M in revenue; DJT stock falls 7%
View
Date:2025-04-17 13:46:03
The parent company of Donald Trump's social media platform Truth Social reported more than $16 million in losses and less than $1 million in revenue in the second financial quarter.
In announcing its quarterly SEC filing Friday, Trump Media & Technology Group said its net losses largely consisted of $8.3 million in legal expenses for its March merger and $3.1 million from technology expenses related to the company's new streaming service.
The filing also shows the company only brought in $837,000 in revenue and $2.3 million in interest income in the second quarter of 2024.
"With the introduction of TV streaming in August 2024, the Company believes that it has laid the foundation for a core driver of long-term revenue and value," a Trump Media press release on the filing states. "With its strong balance sheet and zero debt load, the Company believes it has sufficient working capital to fund operations for the foreseeable future."
Trump Media, trading under the ticker DJT, has seen falling stock prices with since mid-July. Prices were down more than 7% Monday afternoon.
More:Trump falsely claims Harris used AI to generate visuals depicting large crowds
Trump Media (DJT) stock prices
Trump Media compared to a meme stock for volatility, overvaluation
Trump Media has long been compared to a meme stock, as experts say prices rise and fall largely due to retail investors' coordination and attention.
The company was founded in 2021 after Trump was booted from other social media companies following the Jan. 6 riot on the U.S. Capitol. The company went public in March through a merger with shell company Digital World Acquisition Corp., a special purpose acquisition company, or SPAC. Despite a splashy debut, the stock prices have whiplashed wildly, often in coordination with the rollercoaster of a news cycle for Trump this year.
Experts have also said the stock is overvalued by conventional Wall Street standards compared with other social media companies.
In May, Trump Media reported a net loss of $327.6 million in the first quarter of 2024 and brought in $770,500 in revenue, according to a filing. Regulatory filings show the company was operating at a loss in 2023, making about $4 million in revenue while losing more than $58 million.
"From the beginning, it was our intention to make Truth Social an impenetrable beachhead of free speech, and by taking extraordinary steps to minimize our reliance on Big Tech, that is exactly what we are doing," Trump Media CEO Devin Nunes in the Friday press release.
veryGood! (1)
Related
- B.A. Parker is learning the banjo
- 49ers' 2023 K9er's Corgi Cup was the biggest vibe of NFL games
- Thousands of Black children with sickle cell disease struggle to access disability payments
- Disney says in lawsuit that DeSantis-appointed government is failing to release public records
- Who's hosting 'Saturday Night Live' tonight? Musical guest, how to watch Dec. 14 episode
- Next year will be the best year to buy a new car since 2019, economist says
- Teenager Najiah Knight wants to be the first woman at bull riding’s top level. It’s an uphill dream
- The death toll in a Romania guesthouse blaze rises to 7. The search for missing persons is ongoing
- Paula Abdul settles lawsuit with former 'So You Think You Can Dance' co
- Next year will be the best year to buy a new car since 2019, economist says
Ranking
- Juan Soto to be introduced by Mets at Citi Field after striking record $765 million, 15
- Is this the perfect diet to add to your New Year's resolution? It saves cash, not calories
- Authorities identify remains found by hikers 47 years ago near the Arizona-Nevada border
- Purdue still No. 1, while Florida Atlantic rises in USA TODAY Sports men's basketball poll
- Macy's says employee who allegedly hid $150 million in expenses had no major 'impact'
- NBA Christmas Day winners and losers: Luka Doncic dazzles. Steve Kerr goes on epic rant.
- Colombia’s ELN rebels say they will only stop kidnappings for ransom if government funds cease-fire
- Widower of metro Phoenix’s ex-top prosecutor suspected of killing 2 women before taking his own life
Recommendation
'Malcolm in the Middle’ to return with new episodes featuring Frankie Muniz
Nick Cannon's Christmas Gift From Bre Tiesi Is a Nod to All 12 of His Kids
The Eiffel Tower is closed while workers strike on the 100th anniversary of its founder’s death
Taylor Swift called Travis Kelce's 'wife' by Tony Romo; singer comforts Brittany Mahomes
What do we know about the mysterious drones reported flying over New Jersey?
Former Pakistani premier Nawaz Sharif will seek a fourth term in office, his party says
Former Turkish club president released on bail after punching referee at top league game
'I just wasn't ready to let her go': Michigan woman graduates carrying 10-day-old baby