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Trump Media reports net loss of more than $300 million in first public quarter
SARASOTA, Fla. (AP) — Trump Media and Technology Group, owned by former President Donald Trump social networking site Truth Sociallost more than $300 million last quarter, according to its first earnings report as publicly traded company.
In the three-month period ending March 31, the company reported a loss of $327.6 million, which it said included $311 million in non-cash expenses related to its merger with a company called Digital World Acquisition Corp. , which was essentially a pile of money looking for a target to merge with. It’s an example of what’s called a special purpose acquisition company, or SPAC, which can offer young companies faster, easier paths to getting their shares publicly traded.
A year earlier, Trump Media reported a loss of $210,300.
Trump Media said it brought in $770,500 in revenue in the first quarter, largely from its “nascent advertising initiative.”
“At this early stage in the company’s development, TMTG remains focused on long-term product development rather than quarterly revenue,” Trump Media said in its statement. earnings press release.
Earlier this month, the company fired an auditor who federal regulators recently accused of “massive fraud”. The former president’s media company fired BF Borgers as its independent public accounting firm on May 3, delaying the filing of its quarterly earnings report, according to securities filings.
Trump Media has previously had at least two other auditors — one who resigned in July 2023 and another who was fired from the board in March, just as it was rehiring BF Borgers.
Trump Media shares were little changed at $48.45 each in extended trading. The stock, which trades under the ticker symbol “DJT,” began trading on the Nasdaq in March and peaked at nearly $80 in late March.