- Trump Media & Technology Group lost $20 million in the second quarter. The parent company of Trump’s Truth Social saw share prices rise, however, in large part because of its broad Bitcoin holdings. Trump’s holding in the company is currently worth $2 billion.
Typically, if a publicly traded company announced sales of less than $1 million and a quarterly loss of $20 million, that might spook investors. At Trump Media & Technology Group, it’s giving the stock a slight boost.
The parent company of Trump’s Truth Social, in its quarterly earnings, reported $883,300 in net sales for the second quarter. That’s 5.5% higher than a year ago. The $19.7 million net loss compared to a $16.4 million loss in the second quarter of 2024.
Despite that, the stock was up 1.5% in mid-morning trading on Monday.
What gives? Despite the lackluster sales and notable loss, Trump Media is still a cash-rich company thanks to its significant Bitcoin holdings. The 10-Q filing with the Securities and Exchange Commission lists financial assets of roughly $3.1 billion, an 800% year-over-year increase. Of that amount, $2.4 billion is in Bitcoin, which it bought in July.
“Among other benefits, the Bitcoin treasury strategy allows Trump Media to give its investors indirect exposure to cryptocurrencies, creates investment income, helps position the Company for expansion, and solidifies the Company’s financial freedom, including enhancing security against debanking and other acts of political discrimination,” TMTG said.
Trump owns 114.75 million of the company’s outstanding shares through a revocable trust. That works out to 52% of the company’s total outstanding shares, according to the company’s 2025 proxy statement.
As of Monday morning, that holding was worth $2 billion. That’s considerably less than the $4 billion it was worth on Jan. 1. Shares of Trump Media & Technology Group are down 50% year to date.
Great Job Chris Morris & the Team @ Fortune | FORTUNE Source link for sharing this story.
