Trump Media and Technology Group (TMTG), the social-media company owned by Donald Trump whose main social-media platform is Truth Social, reported on Friday that its second-quarter revenue plunged 30 percent to $836,900 from 2023.
Truth Social launched in February 2022, about a year after the former president was banned from X (formerly Twitter) and Facebook for posts about the January 6 riots at the U.S. Capitol in 2021. While Trump has since been reinstated to the platforms, he opts to use Truth Social. The app has lower numbers of active users in comparison to Reddit and X, which have been around for longer.
TMTG’s Friday regulatory filing showed that revenue for the most recent quarter plunged to $839,000 compared to $1.2 million for the same quarter last year. The company reported losing $16.4 million during the quarter, compared to $22.8 million loss in 2023.
In the regulatory filing, the company said all second-quarter revenue stemmed from advertising on the Truth Social platform.
“A significant portion of the decrease was attributable to a change in the revenue share with one of our advertising partners, in connection with an agreement intended to improve the Company’s short-term, pre-Business Combination financial position. Additionally, revenue has varied as we selectively test a nascent advertising initiative on the Company’s Truth Social platform,” Trump Media said.
Newsweek has reached out to TMTG via email for comment.
In addition, since shareholders of Digital World Acquisition Corp., an existing shell company, agreed to merge with Truth Social’s parent company TMTG earlier this year—clearing the way for the former president’s company to go public—its stock value has fluctuated.
The stock price of Trump Media, which trades under the DJT ticker, has continued to fall over the last few months as Trump Media stock closed at $26.21 per share Friday afternoon, a decrease of .49 percent, according to CNBC.
Meanwhile, Trump Media still commands a valuation of about $5 billion, according to financial data firm FactSet.
In response to Friday’s regulatory filing, TMTG CEO Devin Nunes said in a statement the company’s plans are to build out a Truth+ streaming service and “explore numerous other possibilities for growth, including mergers and acquisitions.”
The price of shares in Truth Social plunged to their lowest level in months in June.
Google Finance data said that, as of June 11, the price of a share, traded under the ticket “DJT”, has plunged to $39.31 per share. This is the first time the stock has dipped under $40 a share since April 25 when it was $38.49. However, the price of a share is still higher than on April 17 when it dipped to $22.84, the lowest the share price had been since January 16, when it was at $22.35.
The news came amid wider financial issues for the company. TMTG reported a net loss of $327.6 million for the first quarter of 2024. This was primarily attributed to noncash expenses related to the company’s recent merger with Digital World Acquisition Corp. TMTG posted a net loss of $210,300 the year before.
Meanwhile, regulatory filing to the Securities and Exchange Commission in April revealed that Truth Social made just over $4.1 million in revenue in its last operating year, but racked up $58.2 million in costs. It showed an operating loss of almost $16 million.
In the 2024 election, Trump, the Republican presidential nominee, and his running mate, Senator JD Vance of Ohio, are set to face the presumptive Democratic nominee, Vice President Kamala Harris, and her running mate, Minnesota Governor Tim Walz, in November’s election.
