Truth Social Lost More Than $100 Million in Two Years

Nikki McCann Ramirez
·3-min read

Donald Trump’s social media company Truth Social reported losses of $58 million in 2023 just days after making its debut on the stock market.

According to filings made to the U.S. Securities and Exchange Commission, Truth Social reported a net loss of $58,189,200 in 2023, alongside a more than $50 million loss in 2022. The company brought in only about $5.4 million in gross profit over the two-year period.

Truth Social’s stock soared after going public last week following the merger of Trump Media & Technology Group (TMTG) with its blank check funding partner Digital World Acquisition Corp. But on Monday, TMGT share prices nose dived after the company’s financials went public.

The filings indicate that the former president holds a controlling stake of 78,750,000 shares in the company, potentially earning him billions in equity. Trump will not be allowed to sell his shares in the company for at least six months, but the valuation of Truth Social could become a key financial lifeline in his struggle to pay off a mountain of legal expenses related to various civil and criminal court cases.

Despite the initial — on paper — success of the merger, Truth Social’s financial struggles have been public for some time now. The company has consistently reported more debts than revenue, and has run afoul of the Securities and Exchange Commission. In 2022, Josh Adams and Billy Boozer, the company’s chief of technology and chief of product development, quit after less than a year.

The merger between Truth Social and Digital World Acquisition Corp. was repeatedly delayed over the financial struggles of the former president’s company. Last year, Digital World Acquisition Corp. agreed to return one billion dollars to dissatisfied investors.

Regardless of being deeply in the hole, Truth Social has managed to go public, and if the stock price manages to hold for a few months, Trump may be looking at a massive windfall of much needed cash. As for the fate of Truth Social, the former president is no stranger to abandoned ventures and get-rich-quick schemes, and only time will tell how long the platform can survive.

Whether or not Truth Social survives long term, it is currently the primary platform through which Trump communicates with his followers. The website, which is dominated by right-wing accounts, serves as a public diary for the former president, who regularly posts long-winded rants and ravings about his political opponents and perceived enemies. Just last week, Trump drew widespread condemnation after posting a video of a truck with a large image of President Joe Biden hogtied on its bumper.

The former president’s campaign defended the post, accusing Democrats of not only promoting “despicable violence against President Trump and his family, they are actually weaponizing the justice system against him.”

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