Trump Media & Technology Group Corp.(DJT) - 2025 Q1 - Quarterly Report

Financial Performance - Revenue for the three months ended March 31, 2025, increased by $50.7 thousand, or 7%, to $821.2 thousand compared to $770.5 thousand for the same period in 2024 [136]. - Cost of revenue surged by $243.3 thousand, or 260%, to $336.7 thousand for the three months ended March 31, 2025, primarily due to content license and data center lease costs for the Truth+ platform [137]. - Research and development expenses decreased by $20,593.7 thousand, or 62%, to $12,564.9 thousand for the three months ended March 31, 2025, driven by lower stock-based compensation [138]. - General and administration expenses fell by $39,617.1 thousand, or 61%, to $25,178.0 thousand for the three months ended March 31, 2025, mainly due to reduced stock-based compensation awards [140]. - Interest income increased significantly by $7,966.4 thousand, or 27,661%, to $7,995.2 thousand for the three months ended March 31, 2025, attributed to higher cash balances and interest earned [142]. - The total operating costs and expenses decreased by $58,766.9 thousand, or 59%, to $40,356.2 thousand for the three months ended March 31, 2025 [134]. - Interest expense decreased by $2,630.8 million, or 93%, to $186.8 million for the three months ended March 31, 2025, compared to $2,817.6 million for the same period in 2024 [143]. - The loss from the change in the fair value of derivative liabilities decreased by $225,916.0 million, or 100%, to $0.0 for the three months ended March 31, 2025, compared to $225,916.0 million for the same period in 2024 [144]. Cash Flow and Investments - As of March 31, 2025, the company reported cash, cash equivalents, and short-term investments totaling $758,981.6 thousand, with debt of $9,803.5 thousand [120]. - Net cash used in operating activities for the three months ended March 31, 2025, was $9,737.8 million, an increase of $421.8 million compared to $9,316.0 million for the same period in 2024 [153]. - Net cash used in investing activities for the three months ended March 31, 2025, was $6,310.1 million, compared to $0.0 million for the same period in 2024 [154]. - Net cash used in financing activities for the three months ended March 31, 2025, was $8,060.8 million, a decrease of $288,533.3 million compared to $280,472.5 million provided in the same period in 2024 [155]. - The company anticipates that current cash and cash equivalents will be sufficient to fund operations for at least the next 12 months [148]. - The Standby Equity Purchase Agreement allows the company to sell up to $2,500,000.0 of common stock, subject to certain conditions [149]. - As of March 31, 2025, the company has sold a cumulative total of 20,330,365 shares of common stock for prices between $14.31 and $36.98 per share, generating proceeds of $449,874.6 million [151]. Strategic Initiatives - The company plans to invest up to $250 million in financial technology, including customized separately managed accounts and exchange-traded funds [132]. - The Truth+ streaming service has been rolled out in phases, with the latest release on Roku announced on March 19, 2025 [129]. - The company is actively pursuing mergers and acquisitions to diversify its offerings and expand into new sectors [133]. - The company aims to grow its initial product, Truth Social, and expand additional product offerings, including the development of its streaming technology platform, Truth+ [147].