Since its launch in early 2022, Truth Social, the social media platform owned by Trump Media & Technology Group (TMTG), has faced significant financial hurdles, according to a recent financial disclosure from TMTG's SPAC merger partner Digital World Acquisition Corp. The disclosure reveals that despite former President Donald Trump's endorsement and use of Truth Social as his primary social media platform, the company has struggled to generate meaningful revenue, resulting in substantial losses.

The numbers disclosed in the filing indicate that during 2022, Truth Social recorded a loss of $50 million on just $1.4 million of net sales. In the first six months of 2023, the platform brought in $2.3 million in net sales but suffered a loss of $23 million. Collectively, since its inception, Truth Social has accumulated $73 million in losses against $3.7 million in net sales.

These financial figures, made public for the first time, raise doubts about the sustainability of TMTG, with its independent registered public accounting firm expressing uncertainty about the company's ability to continue as a going concern. The filing states, "TMTG's financial condition raises substantial doubt as to its ability to meet its liabilities as they fall due," and highlights the potential challenges in securing additional funds through traditional financing sources without progress on the merger with Digital World.

The disclosed information underscores the crucial role that the merger with DWAC plays in the future of TMTG. If the merger is not completed and the anticipated funds are not received, the survival of the company could be in jeopardy.

When the merger was initially announced, TMTG was valued at $875 million. However, Trump's latest financial disclosure form indicates that his controlling stake in TMTG is valued between $5 million and $25 million. The filing also reveals that TMTG's long-planned streaming video service, which had included conservative comedy specials and "Trump-specific programming," appears to be on hold for now, as no mention of the service was made except in relation to layoffs.

In addition to the financial challenges, the filing highlights several risks associated with TMTG's business operations. Notably, there is a section titled "Risks Related to our Chairman President Donald J. Trump," which references his ongoing legal challenges, previous bankruptcies of his owned companies like the Atlantic City casino, and the failure of businesses licensed under his name, such as Trump Vodka and Trump Shuttle.

The disclosure concludes with a cautionary note, stating that there are no guarantees that TMTG will succeed, considering the various risks and challenges it faces. The future of Truth Social and TMTG hangs in the balance, dependent on the outcome of the merger and the ability to turn the platform's popularity into significant revenue.