Trump Media suffers $19.2 million loss on Election Day, shares rise

A screen displays trading information on shares of Truth Social and Trump Media & Technology Group outside the Nasdaq Market website in New York City, U.S., March 26, 2024. (Reuters)

The operator of truth socialDonald Trump's social media platform, reported a loss of $19.2 million in its most recent quarter, coinciding with the announcement of his presidential victory.
According to a report on Wednesday evening Trump media Technology Group's losses were primarily attributed to over $12 million a year Legal costs and lower revenues, as detailed in the Unexpected Election Day Financial Disclosure.
The company's shares saw an uptick on Wednesday, likely driven by Trump's victory over Vice President Kamala Harris rather than its financial performance, the AP reported.
After his withdrawal from Twitter and Facebook following the Capitol incident on January 6, 2021, Trump founded the company. Operating out of Sarasota, Florida, the organization faced ongoing financial challenges and difficulty generating revenue.
The company's revenue reached just over $1 million in the quarter ended Sept. 30, down nearly 6 percent from a year ago. Trump Media's total loss for the year exceeds $363 million.
The company attributed some of its spending to the launch of its new television streaming service, Truth+.
In an official statement, CEO and former Republican U.S. Rep. Devin Nunes said the company “continues to explore additional growth opportunities,” including potential mergers with organizations that would “benefit from Trump Media's technology and branding.”
The company's regulatory filing acknowledged that its success depends in part on the “reputation and popularity of President Donald J. Trump.”