Algorhythm Holdings’ SemiCab Platform Significantly Reduces Fuel Costs for Carriers

Algorhythm Holdings (NASDAQ: RIME) says its SemiCab AI-driven freight orchestration platform can reduce empty miles by more than 70%, lowering fuel cost per load and improving carrier margins.

Rhea-AI Summary

Algorhythm Holdings (NASDAQ: RIME) says its SemiCab AI-driven freight orchestration platform can reduce empty miles by more than 70%, lowering fuel cost per load and improving carrier margins. The company highlights a >$1 trillion global opportunity from avoidable freight inefficiencies and says its SaaS and India services are insulated from fuel-price margin pressure.

SemiCab integrates with existing TMS, optimizes routing and load pairing in real time, and supports carriers, 3PLs and shippers seeking cost predictability amid rising oil prices (March 12, 2026).

Positive

• Empty miles reduced by more than 70%
• Addresses a >$1 trillion annual avoidable-cost market
• SemiCab integrates with existing TMS as deployable SaaS
• Indian services and Apex SaaS are insulated from fuel-price margin impact

Negative

• None.

Argus Mar 12 session

+17.16% close to close Open Argus

Details

News Market Reaction – RIME

On Mar 12, the day this news came out, RIME closed 17.16% above the previous close.

Data tracked by StockTitan Argus for the Mar 12 session.

Key Figures

Empty miles reduction: 70% Avoidable freight costs: over $1 trillion Throughput increase: 300–400% +5 more

Empty miles reduction

70%

SemiCab claims to reduce empty miles by more than 70%

Avoidable freight costs

over $1 trillion

Annual avoidable costs from inefficient freight globally

Throughput increase

300–400%

Throughput increase possible on SemiCab platform without more staff

Loads per operator

2,000 loads annually

SemiCab customers’ potential loads managed per operator

Industry benchmark loads

500 loads annually

Industry benchmark loads per operator cited by company

New financing proceeds

$9.5 million

Proceeds raised under existing $20M facility (Feb 23, 2026)

Total raised under facility

$19.5 million

Total capital raised under $20M financing facility

CEO base salary

$360,000

Annual base salary under amended employment agreement

Historical Context

5 past events · Latest: Mar 05

5 events

1. Mar 05

   Customer win

   24h Move

   -6.3%

   MTR Foods joined SemiCab platform as fourth new customer this year.

2. Feb 24

   Pilot agreement

   24h Move

   +18.5%

   SemiCab awarded pilot with Coca-Cola India to test AI freight platform.

3. Feb 23

   Financing update

   24h Move

   -12.8%

   Raised $9.5M under $20M facility, citing full capitalization for 2026 plan.

4. Feb 17

   AI vision launch

   24h Move

   -25.9%

   Unveiled SemiCab Vision outlining AI-driven, connected freight network benefits.

5. Feb 12

   AI performance data

   24h Move

   +29.9%

   Showcased SemiCab handling 300–400% more freight with no added staff.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

saas, transportation management systems (tms), 3pl, non-qualified stock option, +4 more

8 terms

saas technical

"The SemiCab platform is a deployable SaaS platform that 3PLs, shippers and carriers..."

SaaS, or Software as a Service, is a way of delivering computer programs over the internet, allowing users to access and use them through a web browser without needing to install or maintain the software themselves. For investors, it highlights a business model where companies generate recurring revenue by providing ongoing access to their software, often leading to predictable income and growth potential.

transportation management systems (tms) technical

"It augments and complements their existing transportation management systems (TMS)..."

A transportation management system (TMS) is software that plans, books, tracks and optimizes the movement of goods across trucks, ships, trains or planes, acting like a combined GPS and air-traffic controller for a company’s shipments. Investors care because a good TMS cuts shipping costs, shortens delivery times and reduces inventory tie-up—improvements that boost margins, cash flow and competitive standing while providing data to spot operational risks or growth opportunities.

3pl technical

"reducing fuel costs for 3PLs, shippers and carriers by: Reducing total miles..."

A 3PL, or third-party logistics provider, is an outside company hired to handle warehousing, transportation, order fulfillment and related supply-chain tasks that a business chooses not to run itself. Investors care because outsourcing these functions can reduce costs, speed delivery, and allow a company to scale or enter new markets quickly, but it also creates dependency and operational risk that can affect profit margins and reliability.

non-qualified stock option financial

"received a grant of a non-qualified stock option covering 740,597 shares..."

A non-qualified stock option (NSO) is a contract that lets an employee or service provider buy company shares at a fixed price for a set period, like a voucher to purchase stock later at today’s price. It matters to investors because exercising NSOs creates ordinary income for the holder and can increase share count, affecting a company’s earnings and ownership mix; think of it as a future sale that can dilute existing shareholders and has immediate tax consequences for the recipient.

schedule 13g regulatory

"filed an amended Schedule 13G reporting its beneficial ownership..."

A Schedule 13G is a formal document that investors file with the government when they acquire a large ownership stake in a company, usually for investment purposes rather than control. It helps keep the public informed about who owns significant parts of a company's shares, which can influence how the company is managed and how investors make decisions. Filing this schedule is important for transparency and understanding the ownership landscape of publicly traded companies.

reverse stock split financial

"approved authorizing the board to implement a reverse stock split at a ratio..."

A reverse stock split reduces a company's number of outstanding shares while raising the price per share proportionally, so the total value of each investor's holding is unchanged; a 1-for-10 split turns 100 shares worth $1 each into 10 shares worth $10 each. Companies often do this to regain compliance with an exchange's minimum price rule or to attract investors who avoid very low-priced stocks.

beneficial ownership regulatory

"This position represents 4.99% of Algorhythm’s common stock, based on 2,721,778 shares..."

Beneficial ownership means the person or entity that actually enjoys the benefits of owning shares or other assets — such as receiving dividends, voting rights, or price gains — even if the legal title is held in another name. For investors it matters because knowing who truly controls and profits from a company reveals who can influence decisions, exposes potential conflicts of interest or hidden concentration of power, and affects transparency and risk in the stock.

View in glossary

pre-paid equity financing financial

"entered into a new secured pre-paid equity financing with Streeterville Capital..."

An arrangement where an investor pays cash now in exchange for the right to receive company stock at a later date or upon meeting agreed conditions, much like buying a gift card or putting an item on layaway to be picked up later. It matters to investors because it gives the company immediate funding but can increase the number of shares outstanding when converted, diluting existing owners and affecting per-share value and future stock price.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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AI-Powered Freight Optimization Can Reduce Empty Miles by Up to 70%, Helping Carriers and Shippers Cut Fuel Costs Significantly

Fort Lauderdale, FL, March 12, 2026 (GLOBE NEWSWIRE) -- Algorhythm Holdings, Inc. (“Algorhythm”) (NASDAQ: RIME) – a leading AI technology company, today highlighted how its SemiCab platform is uniquely positioned to help freight operators offset the financial strain of rising oil prices through intelligent freight orchestration.

With global oil prices surging once again due to ongoing supply constraints and geopolitical tensions, transportation costs are climbing — placing pressure on carrier margins and shipper budgets. In this environment, eliminating inefficiencies, such as empty miles, takes on even more importance for those affected.

SemiCab’s Collaborative Transportation Platform uses AI and predictive optimization to reduce empty miles by more than 70%, helping carriers significantly reduce their average fuel cost per load.

“With one in every three miles still driven empty in the freight industry, carriers are incurring enormous fuel costs for which they are getting nothing in return,” said Gary Atkinson, CEO of Algorhythm Holdings. “SemiCab attacks this waste at the network level, making carriers far more efficient.”

The global freight industry spends over $1 trillion annually on avoidable costs linked to inefficient routing and underutilized capacity. SemiCab directly addresses this problem, reducing fuel costs for 3PLs, shippers and carriers by:

• Reducing total miles driven by minimizing empty backhauls;
• Optimizing route planning and load pairing using real-time AI;
• Enabling carriers to protect profit margins without raising rates; and
• Helping shippers improve cost predictability and supply chain resilience.
  
  

The SemiCab platform is a deployable SaaS platform that 3PLs, shippers and carriers can incorporate over their existing freight network. It augments and complements their existing transportation management systems (TMS), seamlessly integrating across their entire freight network.

“Carriers utilizing legacy freight markets are in a precarious position,” added Atkinson. “They need to change if they want to compete and succeed. Those who adopt an orchestrated network model like ours that reduces costs while increasing throughput will be the long-term winners.”

With operations scaling in India and fuel costs rising globally, Atkinson clarified the impact on its SemiCab Managed Services business, “Our services business in India and our Apex SaaS product is not directly exposed to fuel price volatility. Fuel costs are treated as variable line items, any increases are passed directly through to customers via fuel surcharges. As a result, rising oil prices have no material impact on our margins or earnings profile in the Indian market or on our SaaS technology products.”

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

Media Contact

FischTank PR
Algorhythm@fischtankpr.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.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

How much can Algorhythm (RIME) SemiCab reduce empty miles for carriers?

SemiCab can reduce empty miles by more than 70%, improving utilization and lowering fuel cost per load. According to Algorhythm, this AI optimization lowers avoidable mileage and pairs loads across networks to cut empty backhauls and total miles driven.

What is the market opportunity Algorhythm (RIME) cites for freight inefficiencies?

Algorhythm cites a market of over $1 trillion in annual avoidable freight costs tied to inefficient routing and underused capacity. According to Algorhythm, SemiCab targets these costs by optimizing routes, load pairing, and network orchestration for carriers and shippers.

Will rising oil prices materially affect Algorhythm (RIME) margins in India or SaaS products?

Algorhythm says rising oil prices have no material impact on margins for its India services or Apex SaaS products because fuel surcharges are passed through. According to Algorhythm, fuel is treated as a variable line item billed to customers.

How does SemiCab integrate with carriers' existing transportation systems at Algorhythm (RIME)?

SemiCab is a deployable SaaS platform that augments existing TMS, integrating across freight networks to optimize routing and load pairing in real time. According to Algorhythm, it complements current systems without replacing core TMS functionality.

What concrete benefits do shippers and 3PLs get from Algorhythm (RIME) SemiCab?

Shippers and 3PLs can expect lower fuel costs and better cost predictability through reduced empty miles and optimized routing. According to Algorhythm, SemiCab improves supply chain resilience while helping carriers protect profit margins without raising rates.