Trump Group's 'Hope' Golf Resort, From Money Pit to 'Cash Cow' Transformation

'Trump Group' Accounts for 80% of Operating Profit

Former U.S. President and Republican presidential candidate Donald Trump's golf resort has transformed from a money pit into a cash cow supporting the 'Trump Organization,' major foreign media reported on the 21st (local time).

According to the reports, the Trump Organization, a real estate conglomerate owned by former President Trump, is estimated to have an operating profit of about $80 million this year, with four-fifths of that coming from golf courses and resorts located in Palm Beach, Florida. The Trump Organization's annual revenue is expected to exceed $600 million.

[Image source=Reuters Yonhap News]

The foreign media explained, "This estimate was conducted based on financial statements and tax records submitted by Trump to various regulatory agencies during his trials," adding, "Before Trump ran for president as a Republican in 2016, his golf courses and resorts were a drain on the company's cash flow, but now they have become the biggest driver of the company's cash flow."

The smooth operation of the golf resort business is seen as a ray of hope for former President Trump. This comes amid expectations of a hit to the Trump Organization's revenue due to the recent commercial real estate downturn in New York, as well as the substantial legal costs related to four criminal trials Trump must bear. Currently, the fines and damages Trump is required to pay by court rulings are estimated to exceed $530 million.

Eric Trump, son of former President Trump, stated, "The Trump Organization is stronger than ever," adding, "We own some of the most outstanding and iconic assets worldwide, and we are proud not only of what the company has achieved but also of my father's accomplishments in politics."

Christopher Henry, CEO of Majestic Hospitality Group, noted, "Trump has made people who want to get in with him come to his businesses and spend money." Doug McCoy, a finance professor at Indiana University, suggested, "The foreign media's estimate does not include capital expenditures Trump’s golf resorts spent on upgrading the properties," implying that the actual cash flow could be larger.

Meanwhile, according to documents submitted to the U.S. Federal Election Commission (FEC) on the 20th, the campaign of Democratic presidential candidate Vice President Kamala Harris raised $204 million in political funds last month. This amount is more than four times the $48 million raised by the Trump campaign during the same period.

This content was produced with the assistance of AI translation services.