Trump Media Technology Group (TMTG), the parent company of President Donald Trump’s social media platform Truth Social, has reported significant losses in 2024. The company lost over $400 million and saw its annual revenue decline by 12% to $3.6 million.
The decline was attributed to a change in a revenue share agreement with an advertising partner, which TMTG claimed would improve its short-term financial position. Additionally, the company selectively tested a new advertising initiative on Truth Social, resulting in reduced revenue.
TMTG also incurred merger-related legal fees due to obstruction from the Biden administration’s Securities and Exchange Commission. The company’s stock value had almost doubled following Trump’s victory in November but dropped 11% year-to-date as of Friday’s close.
Despite the losses, TMTG reported a strong balance sheet with $776.8 million in cash and short-term investments. The company aims to enhance and expand its platforms, Truth Social, Truth+, and Truth.Fi, which was launched just over three years ago amidst severe restrictions on free speech across social media platforms.
Source: https://www.independent.co.uk/news/world/americas/us-politics/trump-media-truth-social-value-b2698960.html