(Updated with comparative figures, digital-asset holdings, balance sheet detail and post-quarter purchases.)
Trump Media & Technology Group lost $238mn last quarter on revenue of $1.7mn. Almost none of that gap came from running Truth Social. It came from marking a $1.9bn pile of financial assets, most of it bitcoin, which is also the company's most likely source of cash for nearly $1bn of convertible notes.
Trump Media & Technology Group (TMTG), the Sarasota, Florida company that trades on Nasdaq and NYSE Texas as DJT, reported a second-quarter net loss of $238mn on 10 Aug, or 86 cents a share, against $20mn and eight cents a year earlier. Revenue rose 89% to $1.7mn.
TMTG operates Truth Social, the social media platform it opened in 2022 and on which President Donald Trump posts; Truth+, a streaming service; and Truth.Fi, a financial services brand whose products include exchange-traded funds (ETFs).
The ratio between those first two numbers is the point. The loss was roughly 140 times revenue, and about 80% of it, $190mn, was non-cash markdowns on digital assets and the securities that track them. TMTG's quarterly results are now largely a report on the value of what it owns rather than on what it does.
The company ended June with $1.9bn of what it terms financial assets: $215mn of cash, $31mn of restricted cash, $209mn of short-term investments and $1.2bn of bitcoin and bitcoin-related holdings. Annualized, its revenue equates to about 0.4% of that.
So the mechanism repeats every quarter. Bitcoin (BTC) fell about 13% to roughly $58,800 on 30 Jun from about $67,800 on 31 Mar, producing a $117mn digital-asset loss. The iShares Bitcoin Trust (IBIT), BlackRock's spot bitcoin fund, fell 13% to $33.29 from $38.42, producing a further $72mn investment loss. Strip the $117mn out of $165mn of operating expenses and the underlying operating loss is roughly $47mn, against about $44mn a year earlier. The business barely moved. The pile did.
Even TMTG's adjusted measure carries it. The company defines adjusted EBITDA as net loss plus interest, taxes, depreciation, amortization and stock-based compensation, and does not add back the digital-asset markdowns. Its $224mn adjusted loss therefore still contains the writedowns it identifies as the cause.
Against those assets sit nearly $1bn of convertible notes. Asked on the call what portion of the $1.9bn is liquid, CFO and treasurer Phillip Juhan said more than $400mn of cash and short-term investments was unencumbered, and that the $1.2bn of bitcoin and related assets "could be a source of funds for future liquidity needs". Asked directly how the notes would be repaid, he said TMTG was "continuing to explore multiple options" and that the balance sheet put it in a position to satisfy them as they fall due.
That reframes the treasury. The bitcoin is not only a long-term position, it is the largest realizable asset standing behind the debt, which is why its price is the variable that matters most to a DJT holder.
Interim CEO Kevin McGurn, in post since a leadership change earlier this year, has spent his first months reducing the number of things TMTG is trying to be.
On 7 Aug, TMTG, the Singapore-based cryptocurrency exchange Crypto.com and Yorkville Acquisition Corp, a special purpose acquisition company (SPAC), agreed to terminate a planned vehicle that would have built a treasury of Cronos (CRO), the token of Crypto.com's blockchain. TMTG and the exchange also replaced a planned prediction-market integration on Truth Social with a marketing agreement. McGurn's stated reasoning was competitive rather than regulatory: the market for digital-asset treasury companies had become saturated, and prediction markets are "already a pretty crowded space with established companies".
The treasury itself is being concentrated rather than reduced. After what McGurn called a period of reduced trading activity during the leadership transition, TMTG has resumed what he described as an active framework built on diversification, hedging and yield, and is moving the holdings to third-party institutional management. In July, it sold part of its 14.4mn-share IBIT position and used the proceeds to buy 2,534 bitcoin outright, lifting its holding by more than a fifth after the quarter closed. At 30 Jun it held about 9,477 bitcoin plus about 2,077 pledged to a bitcoin yield management programme.
Swapping an exchange-traded fund for the underlying asset is what a company does when it wants the coins to work rather than sit. A fund holding cannot be pledged or lent within a yield programme in the same way.
Truth API, introduced on 1 Aug and therefore absent from these figures, is the only current product capable of moving revenue by an order of magnitude. McGurn said more than 10 customer agreements have been signed, primarily with high-frequency trading firms, at rates generally between $60k and $100k a month. At those rates, the product runs at $7mn to $12mn a year, against annualized group revenue of under $7mn.
That is also why the political attention it has drawn is a commercial risk rather than a talking point. Senator Elizabeth Warren (Democrat-Massachusetts) and Senator Adam Schiff (Democrat-California) asked the US Securities and Exchange Commission on 29 Jul to investigate potential insider-trading and market-manipulation risks in a product that sells faster access to posts from top Truth Social accounts, including Trump's.
Monday's call was TMTG's first since it listed in March 2024, and it took no live questions, working instead from questions submitted in advance. One, which McGurn attributed to the New York Times, asked about that criticism. He called it "misinformed", saying customers receive published, publicly available posts "fractionally faster".
The selling happened before the numbers. DJT fell through the opening hour on 10 Aug, from $10.14 to a low of $9.48, and closed the regular session at $9.37, down 8.3% from $10.22 on 7 Aug.
Then nothing. The results were issued at 20:15 UTC and the call began at 21:00 UTC. Across the whole after-hours session, DJT traded in a nine-cent range and closed it at $9.34. By 10:00 UTC on 11 Aug, it was $9.32, half a percent below Monday's close. A loss 140 times revenue and a 22% increase in the bitcoin holding moved the stock by almost nothing (prices from hourly data on TradingView).
That is consistent with the rest of the picture. If the results are a mark on a bitcoin position, and the bitcoin price is public, the results contain little a holder did not already know. DJT is down about 29% for the year against a roughly 13% gain in the S&P 500 index.
McGurn described the post-merger company as a conglomerate with fusion energy as its largest weighting, alongside bitcoin and media. TMTG's earnings release said it expects to complete the proposed $6bn all-stock merger with TAE Technologies, a private US fusion energy developer McGurn said has been in operation for more than 28 years, in the fourth quarter of 2026. On the call he declined to match that, saying he was "not in a position to commit to a specific date today", and that the Form S-4 registration statement, still unfiled, would use second-quarter figures.
