Posted on 08/10/2024 7:27:51 PM PDT by Miami Rebel
Trump Media , the social media company whose majority shareholder is former President Donald Trump, on Friday reported a net loss of more than $16 million for the most recent financial quarter, as its already meager revenue fell 30% to just $836,900.
Trump Media owns the Truth Social app, which is often used by the former president.
The stock price of Trump Media, which trades under the DJT ticker, has fallen sharply from a high of more than $71 per share shortly after began publicly trading in late March following a merger with a so-called special purpose acquisition corporation.
Trump Media stock closed at $26.21 per share Friday afternoon, a decrease of .49%.
The company has a market capitalization of nearly $5 billion, an extraordinarily high valuation given its very modest sales.
In a 10-Q filing Friday afternoon, Trump Media reported a loss of $16.37 million for the second quarter ending June 30, compared to a $22.8 million loss for the second quarter in 2023.
About half of the loss for the past quarter was due to legal expenses related to Trump Media’s merger with Digital World Acquisition Corp., the company said.
“Additionally, the Company incurred $3.1 million of IT consulting and software licensing expenses, primarily related to its software licensing agreement to power its new TV streaming service,” Trump Media said in a press release.
Revenue for the most recent quarter of $839,000 compared to $1.2 million for the same quarter last year.
“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,” Trump Media said in its 10-Q filing.
“Additionally, revenue has varied as we selectively test a nascent advertising initiative on the Company’s Truth Social platform,” the company said.
Trump Media said it ended the quarter with $344 million in cash and cash equivalents, with no debt.
“The Company believes its strong balance sheet will enable the expansion and refinement of its new TV streaming platform, Truth+, which was launched in August 2024 on the Company’s custom-built content delivery network (‘CDN’),” Trump Media said in a press release.
“With its strong balance sheet and zero debt load, the Company believes it has sufficient working capital to fund operations for the foreseeable future,” the company said.
Donald Trump, who is the Republican presidential nominee, and his running mate Sen. JD Vance of Ohio are set to face the Democratic nominee, Vice President Kamala Harris, and Minnesota Gov. Tim Walz in November’s election.
[Musk’s approach to X has been, despite his demonstrated business acumen elsewhere, that of a hyperactive hobbyist. But the end result is as you say: it’s a cash burner.]
Just an extremely rash buyout. Not that I’m complaining, since he took me out of an underwater Twitter position at a small profit.
The problem with Truth Social is that Trump is the only well-known person who is on it. Do any conservative media people even post on it?
I took a bath on this stock, too, getting in too late. I’ve just been hemorrhaging money on it and will be selling this week, too. I thought it maybe would go up with Trump earlier leading in the polls, but I think a lot of investors figure the company would be dead if Trump was elected President.
Elon Musk buying Twitter was the death knell for Truth Social...never had a chance.
In other news “Rumble” is fortunately doing OK as an alternative to YouTube.
[He’s a billionaire. ]
But as an entrepreneur, he’s mediocre, at best. The trail of busted businesses he’s helmed is a long one.
TWTR was a huge win for me. I bought at $35-36 AFTER he tried reneging. One of the most successful short-sellers, Hindenburg, took an unusual LONG position in July and made the argument that Musk’s case was weak.
My most profitable trade of 2022.
>> Trump’s late father is said to have transferred hundreds of millions to him via companies that lent him money without requiring repayment.
You sound like a NYT whisper campaign journalist, with your “some say” anonymous bullshit sources. (Is that you, Maggie Haberman?) Do you have any real evidence, or just that anonymous bullshit?
>> But as an entrepreneur, he’s mediocre, at best.
So say you. What are your personal chops, that qualify you to make such an offhand statement while providing zero evidence?
Bingo!
Value of Truth Social would go down to zero if he did.
He has none!
He is a NeverTrumper!
He’s SMARTER than President Trump (and you and me), dontcha know. ;-)
[So say you. What are your personal chops, that qualify you to make such an offhand statement while providing zero evidence?]
We know Jeff Bezos, Michael Bloomberg, Steve Jobs and so on were exceptional because they came from nothing. Their parents were comfortable but certainly not wealthy enough to grubstake the ventures that eventually became household names. Trump grew up with the proverbial silver spoon, and was showered with investment capital by his father.
https://en.m.wikipedia.org/wiki/Fred_Trump
Paramount and Disney both lost WAY more that.
>> But the trail of failed businesses speaks for itself.
Tell me about that “trail”, which by the way implies one leading to another leading to another, and so on. Use facts where necessary. Unless you do, I don’t buy “speaks for itself”. Be complete, show your work.
>> To say he was outstanding, you need to provide evidence.
Please show me where I used the word “outstanding” in any of my previous posts on this thread. NOTE: I’m not real tolerant of arrogant self-appointed polymath shitheads putting words in my mouth. That’s a cheap logical fallacy used by poor (and poorly informed) “debaters”. I’d like to think you’re above that, but...
This is ridiculous. Donald Trump joined his father's business in 1968, and started running it in 1971. Much of the wealth his father accrued before his death in 1999 was a result of Donald growing the company exponentially from 1971 until his father's death.
[This is ridiculous. Donald Trump joined his father’s business in 1968, and started running it in 1971. Much of the wealth his father accrued before his death in 1999 was a result of Donald growing the company exponentially from 1971 until his father’s death.]
Trump’s first major deal in Manhattan[14] was the development of the Grand Hyatt Hotel in 1978 next to Grand Central Terminal. The aging brick facade of the Commodore Hotel was sheathed in glass, and the existing lobby of the hotel was replaced by an atrium.[15] The Commodore was thus presented as a remodeled Hyatt hotel at its opening in September 1980, helping to bring Trump to public prominence.[15][16] Part of this deal was a $1 million loan Fred Trump’s Village Construction Corp. made to help repay draws on a Chase Manhattan credit line Fred had arranged for Donald as he built the hotel, as well as a $70 million construction loan jointly guaranteed by Fred and the Hyatt hotel chain. Fred was a silent partner in the initiative, due to his reputation having been damaged in New York real estate circles, after investigations into windfall profits and other abuses in his real estate projects, making Donald the frontman in the deal. According to journalist Wayne Barrett, Fred’s two-decade friendship with a top Equitable officer, Ben Holloway, helped convince them to agree to the project.[14] Donald negotiated a 40-year tax abatement for the hotel with the city, in exchange for a share of the venture’s profits. The deal helped reduce the risk of the project and provided an incentive for investors to participate.[17]]
He should get his tech staff to figure out a way just set it up to where whenever he posts on truth social, his twitter account just automatically posts a link to his truth social account. “@RealDonaldTrump has posted to Truth Social (link URL” vs. full return to X if he doesn’t want directly use the platform...
Pound sand. You have no idea what you’re even doing or saying
Exactly. Appreciate you’re input on this manipulative fraud Miami rebel
I think there are so many shares if DJT sold short now that it could see a MOASS (Mother of all Short Squezes). There’s no way I will sell my DJT shares right now.
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