Shares of Truth Social owner Trump Media & Technology Group plunged after the company disclosed that it lost more than $58 million and generated very little revenue in 2023.
As a result of this, Donald Trump, the company’s majority shareholder, saw his net worth tumble by over $1 billion.
Trump Media & Technology Group went public last week, but it turns out that it only pulled in $4.1 million in revenue last year, with around $750,00 in the fourth quarter.
Since Trump himself owns 57% of Trump Media with 78.5 million shares, Forbes magazine estimates that his stake lost about $2 billion in value, possibly due to the fact that investors don’t like companies that have only $4 million in revenue vs $58 million in losses.
It spent roughly $16 million on operating expenses, which is to say roughly four times its revenue, and wasted $39.4 million servicing interest expenses.
Trump Media’s stock has been steadily tanking since it debuted, hitting a high of $79.38 a share on the first day of trading — and is now at $47.18 and still dropping.
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