Trump Media and Technology Group, the parent company of Truth Social, reported a sharp third-quarter turnaround, posting net income of $409.7 million compared with a net loss of $54.8 million a year earlier. The company said the profit was driven largely by non-cash realized and unrealized gains on crypto assets, pledged digital assets, and equity securities.
CFO Phillip Juhan said the firm held roughly 15,649 BTC at the end of September, of which about 11,385 BTC were pledged to its "Bitcoin Yield Management Program" to earn yield on the holdings. Revenue reached $3 million in Q3, up 205% year-on-year, helped by $1.8 million in subscription growth for Truth API, a paid real-time data feed for institutional clients. Bloomberg, Susquehanna International Group, and Jump Trading have signed on as customers.
The results followed a difficult stretch for the stock. DJT hit a record low of $3.99 after the midterm elections, down roughly 70% year-to-date and 76% from its January high. Truth Social traffic fell 22.9% month-over-month to 11.8 million visits in October, according to SimilarWeb, even as Trump used the platform for announcements. Technical analysis showed the stock below all moving averages and the Relative Strength Index extremely oversold.
Trump Media also said its all-stock merger with fusion power company TAE Technologies, valued at more than $6 billion, remains on track to close by year-end. The SEC declared the related Form S-4 effective on Nov. 5, and a shareholder vote is scheduled for Dec. 14. DJT shares closed up 1.75% at $4.06 on Monday and gained another 1.5% in after-hours trading.
