Trump Media and Technology Group’s bitcoin holdings weren’t enough to prop up its balance sheet, as the company reported a $54.8 million third-quarter revenue loss due to rising prices.
The Trump-linked company, which runs the social media platform Prachai Social, shared on Friday that its Q3 net loss widened from losses of .319.3 million compared to the same time last year.
The company reported revenue of $972,900, down from $1 million a year ago. Shares of Trump Media ( DJT ) ended trading down 1.73% to $13.10 on Friday, with a small bump to $13.20 after hours.
Trump Media reported that he held 11,542 Bitcoin (BTC) as of September 30. It previously announced that it would begin buying bitcoin in late July, and plans to buy more as well as “acquisitions of other, similar cryptocurrencies” for its earnings.
Bitcoin Holdings generated revenue
Trump Media earned $15.3 million in revenue from its bitcoin options investment and $33 million in unrealized gains from acquiring 746 million chronos, the parent token of the Kronos blockchain. At the end of September, Kronos was trading hands around 8 0.18.
The company said in July that it had acquired bitcoin as part of an investment strategy it launched in May, after raising $1.5 billion from a stock sale and $1 billion from convertible senior secured bonds.
Devon Nunes, CEO and President of Trump Media, said In a statement that “the third quarter was critical for Trump Media’s expansion plans,” and that the company “has secured our financial future largely from Bitcoin Treasury, and expanded our existing platform.”
Trump Media to Buy Up to $1 Billion in Kronos
Trump Media in August inked a deal with crypto exchange Crypto.com and Yorkville Acquisition Corp. to form Trump Media Group CRO Strategy, a digital asset treasury company focused on acquiring Kronos.
In total, the Trump media group’s CRO strategy is expected to buy up to $1 billion in Kronos, representing more than 6.3 trillion tokens, according to Q3 results.
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“With these financial assets now generating revenue, along with our second quarter of positive operating cash flow, we are well positioned to execute our mergers and acquisitions strategy through the acquisition of one or more crown jewel assets, which we are now eyeing, that will bring the greatest long-term value to our shareholders,” Nance said.
The stock price is struggling to make gains
Nunes added that the company’s financial assets have also grown from $274 million in March 2024, when it went public, to $3.1 billion as of Sept. 30.
However, its stock has been Trending On the downside, losing 61% year-to-date.
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