Trump Media & Technology Group (DJT), the company behind the social network Truth Social, posted a profit of USD 409.7 million for the third quarter of 2026, a sharp turnaround from a loss of USD 54.8 million a year earlier. Almost all of the profit came from non-cash valuation gains on bitcoin and shares.

The publicly traded company earns money from advertising, subscriptions and, since August 2026, a data feed for business clients. Since 2025, it has also held a large bitcoin treasury, built on a capital raise of around USD 2.5 billion completed in May 2025 — roughly USD 1.5 billion from shares and USD 1 billion from convertible bonds. As a result, quarterly results have moved with the bitcoin price ever since. The operating business itself remains small: despite a 205% increase, revenue came to just USD 3.0 million.

The market reaction was muted. On November 9, 2026, the stock closed at USD 4.06, up 1.75% on the day, and edged higher in after-hours trading. Even so, according to Reuters, the shares have lost almost 70% of their value since the start of the year. The decline steepened after the United States midterm elections, in which the Democrats won majorities in both chambers of Congress: since those votes alone, the stock has fallen by around 32%.

Profit Rests on Valuation Gains

According to the company's quarterly filing with the SEC, Trump Media booked realized and unrealized gains of USD 496.1 million. The gains, all non-cash, stem from digital assets, pledged digital assets and shares. Unrealized gains arise when the market value of a holding rises without the company selling. Digital assets alone, including pledged holdings, accounted for USD 378.1 million, with equity positions contributing the rest. Set against quarterly revenue, the valuation gains were more than 160 times as large.

The quarterly profit is nevertheless not enough to offset the losses of the first half. By the end of September, the nine-month loss totaled around USD 234.2 million on revenue of USD 5.5 million. Without valuation effects, the third quarter would also have been in the red: subtracting the USD 496.1 million in gains leaves a calculated loss of around USD 86 million. Adjusted EBITDA, which excludes such effects, showed a loss of USD 12.3 million. Operating cash flow declined as well, which CFO Phillip Juhan attributed partly to the decision to pause the yield strategy for the digital assets.

Truth API Expected to Drive Revenue Growth

The 205% revenue increase starts from a very small base. A year earlier, Trump Media generated just USD 973,000, compared with USD 2.97 million in the third quarter of 2026. The largest contribution came from the subscription business in the Media segment, which grew by USD 1.8 million. The company attributes this increase to Truth API and Truth+ combined and does not break it down further; Juhan likewise named both products as drivers on the earnings call.

Truth API launched in August 2026. The service gives business clients a low-latency data feed, providing licensed real-time access to posts from selected Truth Social accounts. According to Reuters, citing unnamed insiders, subscribers include the financial data provider Bloomberg and the trading firms Susquehanna International Group and Jump Trading. None of the three firms commented, and Trump Media itself named no customers on the call.

The subscriptions reportedly cost between USD 60,000 and USD 100,000 per month, though the company has not disclosed any contract prices. Annualized, that would amount to USD 720,000 to USD 1.2 million per client. Measured against the valuation gains, the data business therefore remains a minor item — but it fits the trajectory of a company gradually moving beyond pure social media.

15,649 Bitcoin Held, Almost Three-Quarters Pledged

At the end of September, Trump Media held around 15,649 BTC, according to CFO Juhan. Of these, around 11,385 BTC — just under 73% — had been pledged in a yield program. In July 2025, the company had put its holdings of bitcoin and bitcoin securities at around USD 2 billion, at the time roughly two-thirds of its USD 3 billion in liquid assets.

The pledged bitcoin serves as collateral for options trading. Trump Media sells covered puts and calls, buys calls and puts itself, and uses synthetic long and collar strategies. When it sells an option, the company collects a premium and in return assumes other market participants' price risk. These premiums arrive in bitcoin and appear on the balance sheet as pledged digital assets. Trump Media has not, however, designated the positions as hedging relationships for accounting purposes.

At the end of September, the balance sheet showed digital assets of USD 406.7 million, with pledged digital assets adding USD 951.4 million. Together, that is around USD 1.36 billion at book value — more than half of total assets of USD 2.5 billion. Bitcoin price moves therefore flow directly through the income statement. In the third quarter, this mechanism worked in favor of the result; a falling bitcoin price would hit the same line items as a loss.

Convertible Bonds and TAE Merger Set the Next Deadlines

On the liabilities side are convertible bonds of USD 976.8 million — debt securities that holders can exchange for shares instead of repayment. Trump Media's bonds stem from the May 2025 capital raise, carry no interest and are convertible at a 35% premium. Holders can demand repayment until the end of November, and the balance sheet lists them as a current liability. Interim CEO Kevin McGurn plans to fund the repayment from a mix of cash and loans; the final amount remains open because holders can still decide. So far, the company has used around USD 40 million of its USD 400 million share buyback program and made no repurchases in the third quarter.

Meanwhile, Trump Media is pushing ahead with its merger with nuclear fusion developer TAE Technologies, a transaction that still requires shareholder approval. The partners announced the deal in December 2025 as an all-stock transaction valued at more than USD 6 billion, under which each side's shareholders would own around 50% on a fully diluted basis. The partners originally targeted closing in mid-2026, but the company now cites the fourth quarter. Trump Media has also committed up to USD 300 million in cash, comprising USD 200 million at signing and USD 100 million at the first SEC filing. In October 2026, TAE drew down the remaining USD 100 million under the convertible loan.

In early November, the SEC declared the S-4 registration statement for the merger effective. Shareholders can therefore vote on the deal at a special meeting on December 14, 2026, with anyone who held shares on November 2 entitled to vote. After closing, the plan calls for Devin Nunes and TAE chief Michl Binderbauer to lead the combined company as co-CEOs. Until then, McGurn runs Trump Media as interim CEO.

“We fully remain on track to close by the end of the year.” — Kevin McGurn, Interim CEO, Trump Media