Algorhythm Holdings Reports Record 1,273% Year-Over-Year Revenue Growth in its Third Quarter 2025 Financial Results
Rhea-AI Summary
Algorhythm Holdings (NASDAQ: RIME) reported third quarter 2025 results on November 19, 2025, highlighting a transformative quarter as the company shifts to an AI distribution and logistics focus.
Key figures: revenue rose to $1.7M from $0.1M year‑over‑year (headline: 1,273% YoY), operating expenses fell to $1.2M from $1.8M, net loss from continuing operations narrowed to $1.9M from $2.1M, and cash on hand was $2.8M as of September 30, 2025.
Notable corporate actions: sale of Singing Machine for $4.5M; acquisition and growth of SemiCab (fleet expanded to 450 trucks with >$23M annual revenue capacity); launch of SemiCab’s Apex SaaS platform; a master service agreement with Bajaj Electricals (company with >$560M annual sales); and a supply‑chain finance facility with Bank of America.
Positive
- Revenue increased to $1.7M (from $0.1M)
- Operating expenses down to $1.2M (from $1.8M)
- Sale of Singing Machine for $4.5M
- SemiCab fleet at 450 trucks (>$23M annual revenue capacity)
- Launched Apex SaaS platform; MSA with Bajaj Electricals
Negative
- Net loss of $1.9M for Q3 2025
- Cash on hand of $2.8M as of September 30, 2025
News Market Reaction
On the day this news was published, RIME declined 23.23%, reflecting a significant negative market reaction. Argus tracked a peak move of +10.9% during that session. Argus tracked a trough of -43.2% from its starting point during tracking. Our momentum scanner triggered 36 alerts that day, indicating elevated trading interest and price volatility. This price movement removed approximately $2M from the company's valuation, bringing the market cap to $5M at that time. Trading volume was exceptionally heavy at 129.9x the daily average, suggesting significant selling pressure.
Data tracked by StockTitan Argus on the day of publication.
SemiCab Delivers 13X Growth YoY for the Quarter and over 23X Growth YTD
Fort Lauderdale, FL, Nov. 19, 2025 (GLOBE NEWSWIRE) -- Algorhythm Holdings, Inc. (“Algorhythm”) (NASDAQ: RIME) – a leading AI technology company, announced today its results of operations for its third quarter ended September 30, 2025.
Third Quarter Financial Highlights*
- Revenue increased to
$1.7M for the third quarter of 2025 compared to$0.1M for the third quarter of 2024. - Operating expenses decreased to
$1.2M for the third quarter of 2025 compared to$1.8M for the same period last year. - Net loss from continuing operations decreased to
$1.9M for the third quarter of 2025 compared to$2.1M for the third quarter of 2024. - Cash on hand was
$2.8 million as of September 30, 2025.
* Comparative financial information related to results from continuing operations has been recast to reflect the presentation of our former Singing Machine business as discontinued operations.
Third Quarter Business Highlights
Algorhythm’s business evolved substantially during the quarter, marked by several major transactions and additions to management since the beginning of the quarter. Of note were the following:
- Algorhythm completed the sale of its legacy Singing Machine karaoke business to Stingray Group for
$4.5 million , trimming millions of dollars of expenses and transforming Algorhythm into a technology focused AI distribution and logistics company. - Algorhythm’s subsidiary, SemiCab, launched “Apex”, its new software-as-a-service (SaaS) platform that brings SemiCab’s proven AI-driven collaborative logistics technology to 3PLs and multi-enterprise shippers in the United States.
- SemiCab signed a new master service agreement (MSA) with Bajaj Electricals, one of the largest electronics manufacturers in India, with over
$560 million in annual sales. - SemiCab appointed Michael Silvagni as its new VP of U.S. Sales to drive SemiCab’s SaaS strategy in the United States and Vasudha Khurana as VP of Brand and Communications to lead its brand development, marketing strategies, and global go-to-market initiatives.
- SemiCab secured a supply chain finance receivables facility with Bank of America to provide its India business with access to millions of dollars of low-cost, non-dilutive working capital.
- SemiCab won “Best Value” Award from its largest customer at LogiMeet 2025.
“Our third quarter was a transformational period for the company,” stated Gary Atkinson, Chief Executive Officer of Algorhythm. “With the sale of Singing Machine, we transformed Algorhythm Holdings into a high-growth, AI technology company while significantly reducing our cash burn and strengthening our balance sheet. We also unveiled our new “Apex” SaaS platform, marking our move into the
Mr. Atkinson continued, “Our SemiCab business has grown more than 1,
Third Quarter Financial Summary
“Revenue increased over 1,
For further information, please refer to the Company’s Quarterly Report on Form 10-Q which will be filed with the SEC on November 19, 2025 and available online at www.sec.gov.
Earnings Call
Management will host a conference call Wednesday, November 19, 2025, at 10:00 a.m. Eastern Time to discuss the company’s third quarter financial results and provide a business update.
Conference Call Details:
Date: Wednesday, November 19, 2025
Time: 10:00 a.m. EST
Dial-in number: 888-999-3182
Conference ID: RIME
An audio rebroadcast of the call will be available later in the day at:
About Algorhythm Holdings
Algorhythm Holdings, Inc. is a leading AI technology company focused on the growth and development of SemiCab, an emerging leader in the global logistics and distribution industry. Since 2020, SemiCab has enabled major retailers, brands and transportation providers to address common supply-chain problems globally. Its AI-enabled, cloud-based Collaborative Transportation Platform achieves the scalability required to predict and optimize millions of loads and hundreds of thousands of trucks. SemiCab uses real-time data from API-based load tendering and pre-built integrations with TMS and ELD partners to orchestrate collaboration across manufacturers, retailers, distributors, and their carriers. SemiCab uses AI/ML predictions and advanced predictive optimization models to enable fully loaded round trips. With SemiCab’s AI platform, shippers pay less and carriers make more without having to change a thing. For additional information, please go to: http://www.semicab.com
Investor Relations Contact
Brendan Hopkins
407-645-5295
investors@algoholdings.com
www.algoholdings.com
Forward Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any statement that is not historical in nature is a forward-looking statement and may be identified by the use of words and phrases such as "expects," "anticipates," "believes," "will," "will likely result," "will continue," "plans to," "potential," "promising," and similar expressions. These statements are based on management's current expectations and beliefs and are subject to a number of risks, uncertainties and assumptions that could cause actual results to differ materially from those described in the forward-looking statements, including the risk factors described from time to time in Algorhythm’s reports to the SEC, including, without limitation Algorhythm’s Annual Report on Form 10-K for the year ended December 31, 2024. You should not place undue reliance on any forward-looking statement, each of which applies only as of the date of this press release. Except as required by law, we undertake no obligation to update or revise publicly any of the forward-looking statements after the date of this press release to conform our statements to actual results or changed expectations, or as a result of new information, future events or otherwise.
Algorhythm Holdings, Inc. and Subsidiaries
CONDENSED CONSOLIDATED BALANCE SHEETS
| September 30, 2025 | December 31, 2024 | |||||||
| (unaudited) | ||||||||
| Assets | ||||||||
| Current Assets | ||||||||
| Cash | $ | 2,839,000 | $ | 7,233,000 | ||||
| Accounts receivable, net of allowances of | 1,816,000 | 121,000 | ||||||
| Accounts receivable, related party | - | 701,000 | ||||||
| Prepaid expenses and other current assets | 859,000 | 59,000 | ||||||
| Current assets of discontinued operations | - | 8,649,000 | ||||||
| Total Current Assets | 5,514,000 | 16,763,000 | ||||||
| Property and equipment, net | 20,000 | 2,000 | ||||||
| Other non-current assets | 52,000 | - | ||||||
| Intangible assets, net | 841,000 | 345,000 | ||||||
| Goodwill | 4,418,000 | 786,000 | ||||||
| Non-current assets of discontinued operations | - | 406,000 | ||||||
| Total Assets | $ | 10,845,000 | $ | 18,302,000 | ||||
| Liabilities and Shareholders’ Equity | ||||||||
| Current Liabilities | ||||||||
| Accounts payable | $ | 1,229,000 | $ | 387,000 | ||||
| Accrued expenses | 2,390,000 | 1,746,000 | ||||||
| Refund due to customer | 265,000 | - | ||||||
| Warrant liability | - | 16,603,000 | ||||||
| Promissory notes payable, net | 3,985,000 | - | ||||||
| Current portion of notes payable to related parties | 2,150,000 | 265,000 | ||||||
| Other current liabilities | 50,000 | 50,000 | ||||||
| Current liabilities of discontinued operations | 426,000 | 9,387,000 | ||||||
| Total Current Liabilities | 10,495,000 | 28,438,000 | ||||||
| Notes payable to related parties, net of current portion | 250,000 | 385,000 | ||||||
| Total Liabilities | 10,745,000 | 28,823,000 | ||||||
| Commitments and Contingencies | ||||||||
| Shareholders’ Equity (Deficit) | ||||||||
| Preferred stock, | - | - | ||||||
| Common stock, | ||||||||
| 2,641,778 and 470,825 shares issued and outstanding at September 30, 2025 and December 31, 2024 | 26,000 | 5,000 | ||||||
| Additional paid-in capital | 64,125,000 | 39,682,000 | ||||||
| Accumulated deficit | (61,910,000 | ) | (49,172,000 | ) | ||||
| Non-controlling interest | (1,383,000 | ) | (1,036,000 | ) | ||||
| Treasury stock, 10,990 and 0 shares reserved at September 30, 2025 and December 31, 2024 | (758,000 | ) | - | |||||
| Total Shareholders’ Equity (Deficit) | 100,000 | (10,521,000 | ) | |||||
| Total Liabilities and Shareholders’ Equity (Deficit) | $ | 10,845,000 | $ | 18,302,000 | ||||
Algorhythm Holdings, Inc. and Subsidiaries
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
| For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
| September 30, 2025 | September 30, 2024 | September 30, 2025 | September 30, 2024 | |||||||||||||
| Net Sales | $ | 1,744,000 | $ | 127,000 | $ | 3,018,000 | $ | 127,000 | ||||||||
| Cost of Sales | 2,095,000 | 159,000 | 3,716,000 | 159,000 | ||||||||||||
| Gross Loss | (351,000 | ) | (32,000 | ) | (698,000 | ) | (32,000 | ) | ||||||||
| Operating Expenses | ||||||||||||||||
| Selling expenses | 3,000 | - | 3,000 | - | ||||||||||||
| General and administrative expenses | 1,211,000 | 1,791,000 | 3,184,000 | 2,830,000 | ||||||||||||
| Total Operating Expenses | 1,214,000 | 1,791,000 | 3,187,000 | 2,830,000 | ||||||||||||
| Loss From Operations | (1,565,000 | ) | (1,823,000 | ) | (3,885,000 | ) | (2,862,000 | ) | ||||||||
| Other Expenses | ||||||||||||||||
| Change in fair value of warrant liability | - | - | (6,468,000 | ) | - | |||||||||||
| Interest expense | (293,000 | ) | (283,000 | ) | (336,000 | ) | (328,000 | ) | ||||||||
| Total Other Expenses | (293,000 | ) | (283,000 | ) | (6,804,000 | ) | (328,000 | ) | ||||||||
| Loss From Continuing Operations Before Income Tax | (1,858,000 | ) | (2,106,000 | ) | (10,689,000 | ) | (3,190,000 | ) | ||||||||
| Income tax loss attributable to continuing operations | (24,000 | ) | - | (24,000 | ) | - | ||||||||||
| Net Loss From Continuing Operations | (1,882,000 | ) | (2,106,000 | ) | (10,713,000 | ) | (3,190,000 | ) | ||||||||
| Net gain (loss) from discontinued operations | (1,100,000 | ) | 3,080,000 | (2,372,000 | ) | (4,323,000 | ) | |||||||||
| Net Income (Loss) | (2,982,000 | ) | 974,000 | (13,085,000 | ) | (7,513,000 | ) | |||||||||
| Net loss attributable to non-controlling interest | 20,000 | 221,000 | 347,000 | 221,000 | ||||||||||||
| Net Income (Loss) Available to Common Shareholders | $ | (2,962,000 | ) | $ | 1,195,000 | $ | (12,738,000 | ) | $ | (7,292,000 | ) | |||||
| Income (Loss) Per Common Share | ||||||||||||||||
| Basic and diluted from continuing operations | $ | (0.72 | ) | $ | (0.21 | ) | $ | (4.44 | ) | $ | (0.40 | ) | ||||
| Basic and diluted from discontinued operations | (0.43 | ) | 0.34 | (1.01 | ) | (0.59 | ) | |||||||||
| Basic and diluted | (1.15 | ) | 0.13 | (5.45 | ) | (0.99 | ) | |||||||||
| Weighted Average Common and Common Equivalent Shares: | ||||||||||||||||
| Basic and diluted | 2,568,508 | 9,095,504 | 2,337,272 | 7,341,204 | ||||||||||||
FAQ
What were Algorhythm (RIME) Q3 2025 revenue and net loss figures?
Why did Algorhythm (RIME) report large year‑over‑year revenue growth in Q3 2025?
What corporate transactions did Algorhythm (RIME) complete in Q3 2025?
What is SemiCab’s capacity and revenue potential for Algorhythm (RIME)?
When will Algorhythm (RIME) roll out the Apex SaaS platform in the U.S.?
How much cash did Algorhythm (RIME) have at the end of Q3 2025?
Does Algorhythm (RIME) have financing to support SemiCab operations?
