- Trump Media reported a quarterly loss of nearly £301 million ($406 million).
- Falling bitcoin investments reportedly caused most of the damage.
- Weak revenue and costly expansion plans are adding to pressure on the company.
Trump Media & Technology Group, the company behind Truth Social, reported a quarterly loss of nearly £301 million ($406 million) despite generating only around £646,000 ($871,200) in revenue during the first three months of 2026.
The figures, released in a recent SEC filing, have raised fresh questions around how the company continues carrying a multi-billion-pound valuation while struggling to build a profitable business.
Here are six major reasons reportedly driving the losses.
Bitcoin losses hit hard
A large chunk of the losses came from Trump Media’s cryptocurrency investments. The company reportedly spent around £2.6 billion ($3.5 billion) buying bitcoin during the crypto rally in 2025. Since then, bitcoin prices have dropped sharply, leaving the company exposed to major unrealised losses.
Trump Media said its losses included damage tied to digital assets and related securities.
Revenue remains extremely weak
Despite its political visibility, the company’s actual sales remain tiny.
Quarterly revenue came in at just £646,000 ($871,200), a figure many analysts say looks unusually low for a publicly traded media platform carrying such a large valuation.
Stock compensation added to costs
The filing also showed losses linked to stock-based compensation. These are shares handed to executives or employees as part of payment packages, which can heavily impact company accounts even without direct cash spending.
Expensive expansion plans continue
Trump Media is still spending heavily on expansion despite weak earnings.
The company reportedly plans to continue investing in Truth Social upgrades, international growth and platform infrastructure while also pursuing a merger with TAE Technologies.
The proposed deal, reportedly valued at around £4.4 billion ($6 billion), is aimed at developing nuclear fusion energy systems for artificial intelligence data centres.
Political attention has not translated into growth
Truth Social remains closely tied to Donald Trump and continues functioning as one of his main communication platforms.
But analysts suggest political relevance alone has not helped the platform expand into a mainstream social media business capable of attracting larger advertising revenue or wider user growth.
Investors are still betting on future potential
Despite the losses, company executives continue projecting confidence.
Interim chief executive Kevin McGurn reportedly said Trump Media still has a “strong balance sheet” and positive operating cash flow. The company also claimed new features, international expansion and future business opportunities could improve long-term growth.
For now though, the latest filing suggests investor optimism may still be running far ahead of the company’s actual financial performance.
