Financial troubles cloud Trump Media’s Rs 1 lakh crore plan in Telangana
Eric Swider’s Rs 1 lakh crore investment promise for Bharat Future City in Telangana has raised doubts as Trump Media continues to report widening losses, declining revenue and stock volatility. Analysts say the financially troubled firm’s commitment remains highly uncertain
Hyderabad: The Congress government might be preparing to project it as a major achievement, but the Rs 1 lakh crore investment promise made on Monday by Eric Swider, Director of Trump Media and Technology Group Corp, for Telangana’s proposed Bharat Future City raises serious questions given the company’s financial condition.
Swider said the firms he represents would invest over the next 10 years. He currently serves as CEO and board member of Renatus Tactical Acquisition Corp, and previously headed Digital World Acquisition Corp, which later merged with Trump Media and Technology Group.
However, both Swider and the State government, which recently named a street after US President Donald Trump, have maintained silence on Trump Media’s track record of sustained losses since inception. In early November, the company reported a third-quarter loss, shrinking revenue and rising operational expenses, signalling steep financial hurdles for the parent entity of Truth Social.
Trump Media’s net loss widened to $400.9 million from $58.2 million in 2023. For the quarter ended September this year, it reported revenue of $972,900, down 3.8 per cent year-on-year, with a net loss of $54.8 million, according to a Securities and Exchange Commission filing. This was significantly higher than the $19.2 million loss reported in the same period last year.
The company went public in March 2024 through a special-purpose acquisition company merger, and its stock has since experienced sharp volatility, driven largely by political developments and retail investor sentiment. Unlike other listed social media firms, Trump Media does not disclose key user metrics such as monthly or daily active users.
Against this backdrop, the credibility of Swider’s Rs 1 lakh crore investment pledge remains uncertain, with financial analysts stating that its realisation will depend on whether the financially troubled Trump Media can sustain such commitments.
