Trump media valued $7 billion booked less than $1 million in first-quarter sales

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By ndhnews.com

Trump media valued $7 billion booked less than $1 million in first-quarter sales

ndhnews.com

Trump media valued $7 billion booked less than $1 million in first-quarter sales

Trump Media & Technology Group, a business that is mostly owned by the former president Donald Trump and has been valued at about $7 billion since going public in March revealed that its first-quarter revenue was $770,500, down from $1.1 million in the same period the previous year.

Trump media valued $7 billion booked less than $1 million in first-quarter sales
Trump media valued $7 billion booked less than $1 million in first-quarter sales ( Photo By CBS News )

In the first three months of 2024, the company—which operates the popular social media network Truth Social—also disclosed a notable loss of $327.6 million, which was mostly attributable to a financial transaction charge. Compared to the $210,000 loss reported in the same period last year, this represents a significant increase.

The financial filing offers information on the financial performance of the recently public company, which seeks to give a Facebook-like alternative. Trump Media, which trades under the ticker DJT and went public a year ago, has fluctuated since then, falling at first and then rising to its present market value.
Trump Media and meme stocks, which are impacted more by social media trends than by conventional financial measures like profitability and sales growth, have been compared by some experts.

The first-quarter revenue decline could prompt concerns about Trump Media’s approach and Truth Social’s capacity to draw in a diverse user base and advertisers. While losses are common for tech firms, investors typically view strong sales growth as an indication of future profitability.

Trump Media stressed in a statement that company prioritizes long-term product development over immediate financial gain on Monday. The business unveiled plans to introduce additional services, such as a forthcoming streaming service, to increase income and provide long-term value.
Devin Nunes, CEO of Trump Media, said in the release, “We’re thrilled to announce our plans for live TV streaming and the development of our own content delivery network, which we see as a significant improvement for the platform.”

Trump Media attributed $311 million of the $327.6 million loss to costs related to the conversion of promissory notes. With this and other expenses excluded, the business posted a $12.1 million quarterly loss as opposed to a $3.6 million loss during the same period previous year.

 

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