Trump Media Reports $400M Loss in 2024 as Truth Social Struggles/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Trump Media & Technology Group, the parent company of Truth Social, reported a $400.9 million loss in 2024, with annual revenue dropping 12% to $3.6 million. The company blamed revenue-sharing agreements for some of the losses. After winning the 2024 election, Trump transferred his shares—worth an estimated $4 billion—to his revocable trust, now controlled by Donald Trump Jr.. Despite going public in March 2024, Trump Media has yet to disclose key user engagement metrics.
Trump Media Reports $400M Loss as Truth Social Struggles – Quick Look
- Massive Losses: Trump Media lost $400.9 million in 2024.
- Declining Revenue: Annual revenue fell 12% to $3.6 million.
- Trump Transfers Shares: After winning the election, Trump gifted his stake to a trust controlled by Donald Trump Jr.
- Lack of Transparency: The company does not disclose user engagement or ad reach.
- SPAC Merger: Trump Media went public via a SPAC deal with Digital World Acquisition Corp.
- Ongoing Challenges: Truth Social continues to struggle with monetization and user growth.
Deep Look: Trump Media Reports $400M Loss in 2024 Amid Revenue Decline
Truth Social Parent Company Faces Financial Struggles
Trump Media & Technology Group (TMTG), the company behind Truth Social, reported a massive $400.9 million loss in 2024, as revenue dropped 12% to just $3.6 million.
The company blamed a revenue-sharing deal with an undisclosed advertising partner as a key factor in its poor financial performance.
“TMTG remains in an early development stage,” the company stated, explaining its decision not to disclose key social media performance metrics like:
Total user signups
Daily and monthly active users
Advertising reach and engagement
This lack of transparency has raised concerns among analysts about Truth Social’s true user base and financial sustainability.
Trump Transfers $4 Billion Stake to Revocable Trust
In December 2024, shortly after winning the presidential election, Trump transferred his entire stake in Trump Media—estimated to be worth $4 billion on paper—to the Donald J. Trump Revocable Trust.
Donald Trump Jr. is the sole trustee, giving him complete control over voting and investment decisions for the company’s stock.
While this move shields Trump from direct business involvement during his presidency, it also raises questions about potential financial conflicts of interest.
Truth Social’s Rocky Journey to the Public Market
Trump launched Truth Social after being banned from Twitter and Facebook following the January 6, 2021 Capitol riot.
In March 2024, Trump Media went public via a SPAC merger with Digital World Acquisition Corp. (DWAC), a special purpose acquisition company (SPAC) designed to take companies public faster and with fewer regulations.
- Since its public debut:
- The company has struggled to generate meaningful ad revenue
- Stock volatility has remained high due to political uncertainty
- User growth remains unclear due to a lack of reported engagement data
What’s Next for Trump Media?
- With the 2025 presidential race underway, Trump Media faces major challenges, including:
- Boosting revenue while maintaining a niche, conservative audience
- Competing with X (formerly Twitter) and mainstream social platforms
- Addressing investor concerns about its long-term sustainability
Despite financial struggles, Truth Social remains politically relevant, serving as Trump’s primary communication platform—especially as he campaigns for a second term in office.
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