Trump Media & Technology Group (DJT) reported a first-quarter net loss of $405.9 million on $871,200 in revenue, widening from $31.7 million a year earlier as unrealized losses on its crypto holdings weighed on the results.
Truth Social’s parent company reported an unrealized loss of $244 million on its cryptocurrency holdings. It also recorded investment losses of $108.2 million mostly linked to equity securities.
Trump Media had 9,542.16 Bitcoins At the end of March, it had a cost basis of $1.13 billion and a fair value of $647.1 million, the firm wrote in a filing with the SEC. That position is now worth about $770 million.
The company also had 756.1 million With a cost basis of $113.9 million and a fair value of $53 million. Trump Media closed a $105 million purchase of CRO last year as part of a Crypto.com deal that linked the token to Truth Social and Truth+ rewards.
Trump Media reported $17.9 million in operating cash flow for the quarter, helped by the sale of mortgaged Bitcoin and previously purchased put options on Bitcoin-related securities.
A portion of the company’s bitcoins are locked up. Trump Media said 4,260.73 BTC, worth $289 million at the end of the quarter, served as collateral for the convertible notes.
DJT also placed covered call options on 4,000 BTC with a counterparty to hedge its exposure to cryptocurrency volatility. Those options require the counterparty to hold 2,000 BTC as collateral.
The company raised $2.5 billion for its Bitcoin treasury strategy last year, then disclosed a $2 billion Bitcoin stack in July.
Revenue increased 6% from $821,200 a year earlier. Media revenue was $810,100, while Truth.fi generated $61,100 in management fees associated with ETF offerings.