- TMTG, Truth Social's parent company, reported a $406 million net loss in Q1 2024
- Revenue for the quarter was under $1 million despite a $2.47 billion market valuation
- Cryptocurrency investments caused most losses due to Bitcoin's price drop in Q1
The parent company of Truth Social, President Donald Trump's social media platform, reported a net loss on Friday of more than $400 million in the first quarter -- mostly from tumbling cryptocurrency valuations.
Trump Media & Technology Group (TMTG) reported revenue of less than $1 million for the three months ending March 31, according to a company filing.
The president, who routinely uses Truth Social to make official announcements, controls about 41 percent of TMTG's shares, which are held in the trust established to manage his financial interests during his presidency.
TMTG is also active in financial services, and the company announced $2.5 billion in funding a year ago to invest in cryptocurrencies, one of Trump's recent passions.
But the plunge in digital currencies hit this part of the business hard as the price of Bitcoin tumbled from over $126,000 in early October to below $70,000 in March.
It has since rebounded somewhat to over $80,000.
Because the company is required to reveal the value of its investments, even if it hasn't sold them, it recorded a loss of $406 million for the first quarter.
"The vast bulk" of the loss was due to digital assets, the company stated.
According to its filing, TMTG generated $900,000 in revenue during the first quarter, a paltry amount for a company valued at $2.47 billion on the stock market.
The company says it continues "to focus on expanding its infrastructure and audience to prepare for future monetized features."
TMTG said in December that it is merging with the American company TAE, which is developing nuclear fusion technology.
That deal was expected to close in mid-2026.
(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)
