Trump Media and Technology Group announced net income of $409.7 million for the third quarter ended September 30, reversing a loss of $54.8 million in the comparable period a year earlier. The profit was primarily the result of non‑cash gains on digital assets and equity securities.
Revenue and Subscription Growth
Revenue increased 205% year‑over‑year to $3 million, up from $1 million in the same quarter of the prior year. The rise was attributed to subscription growth in the media segment, including the Truth API launch on August 1 and the Truth+ offering, which together contributed $1.8 million. Management fees on the Truth.fi ETF added $200,000.
Non‑Cash Gains and Expenses
The company reported net realized and unrealized gains on digital assets, pledged digital assets and equity securities of $496.1 million, offset by a $54 million loss on derivatives, $11.9 million of accrued interest expense, $9.4 million of stock‑based compensation and $4 million of investment expenses. The income statement highlighted a $378.1 million digital‑asset gain and $60 million of investment income.
Adjusted EBITDA and Cost Changes
Non‑GAAP adjusted EBITDA loss narrowed to $12.3 million from $29.1 million a year earlier, helped by a decline in legal costs to $2.4 million from $20.3 million and reduced general and administrative expenses. Sales and marketing expenses rose to $1.9 million from $700,000.
Balance Sheet Highlights
Total assets stood at $2.48 billion, with digital assets and related holdings representing about 68.3% ($1.36 billion). Convertible notes payable were $976.8 million, and cash and cash equivalents totaled $182.3 million.
Merger Vote Pending
Shareholders are scheduled to vote on a proposed merger with TAE Technologies on December 14, with the transaction targeted for completion in the fourth quarter, subject to regulatory approvals.
