**Trump Media and Technology Group Reports $54.8 Million Q3 Loss Despite Bitcoin Holdings**
Trump Media and Technology Group’s Bitcoin holdings were not enough to bolster its balance sheet, as the company reported a $54.8 million loss in its third-quarter earnings amid rising costs.
The Trump-tied company, which operates the Truth Social social media platform, announced on Friday that its Q3 net loss widened significantly from $19.3 million in the same period last year. Revenues also declined, with the company reporting $972,900 for the quarter, down from over $1 million a year ago.
Shares in Trump Media (DJT) closed trading on Friday down 1.73% at $13.10, but saw a modest after-hours increase to $13.20.
### Bitcoin and Cryptocurrency Investments
As of September 30, Trump Media reported holding 11,542 Bitcoin (BTC). The company first revealed its intention to start buying Bitcoin in late July and flagged plans to increase its cryptocurrency portfolio in its earnings report. It also mentioned considering acquisitions of other similar cryptocurrencies.
Trump Media generated $15.3 million of realized income from its Bitcoin options investments. Additionally, it posted $33 million in unrealized gains from holding over 746 million Cronos tokens, the native asset of the Cronos blockchain. At the end of September, Cronos was trading at approximately $0.18 per token.
The company explained that it began its Bitcoin investment strategy in May after raising $1.5 billion from stock sales and $1 billion from convertible senior secured bonds.
### Expansion Plans and Future Outlook
Devin Nunes, Trump Media’s CEO and President, stated, “The third quarter was crucial to Trump Media’s expansion plans. We have secured our financial future with a massive Bitcoin treasury and expanded our existing platforms.”
In addition, Trump Media entered into a strategic agreement in August with crypto exchange Crypto.com and Yorkville Acquisition Corp to establish Trump Media Group CRO Strategy, a digital asset treasury company focused on acquiring Cronos tokens. The group is expected to purchase up to $1 billion worth of Cronos, which represents over 6.3 trillion tokens, according to the Q3 results.
“With these financial assets now earning income, alongside our second consecutive quarter of positive operating cash flow, we’re well-poised to act on our mergers and acquisitions strategy,” Nunes added. “We aim to acquire one or more crown jewel assets currently under evaluation that will provide long-term value for our shareholders.”
### Stock Performance and Financial Growth
Trump Media’s financial assets have expanded significantly, growing from $274 million in March 2024, when the company went public, to $3.1 billion as of September 30.
Despite the growth in assets, the company’s stock price has struggled, declining 61% year-to-date.
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https://cointelegraph.com/news/trump-media-q3-loss-bitcoin-holdings-crypto-expansion