Algorhythm Holdings (RIME) Q2 2026 earnings summary

Executive summary

• Net sales for Q2 2026 rose to $3.0M from $1.2M in Q2 2025, driven by the SemiCab business, SMCB acquisition, and expanded key customer relationships in India.

• Revenue grew 25% sequentially and 161% year-over-year to $3.0 million in Q2 2026.

• The company reported a net loss from continuing operations of $4.1M in Q2 2026, up from $1.2M in Q2 2025, mainly due to higher administrative expenses and interest costs.

• The sale of the Singing Machine business in August 2025 resulted in a strategic shift, with all results now reflecting only the SemiCab segment.

• Continued commercial expansion in North America and increased business development investments.

Financial highlights

• Q2 2026 revenue: $3.0 million, up from $2.4 million in Q1 2026 and $1.2 million in Q2 2025.

• Net sales for the six months ended June 30, 2026 were $5.4M, up from $1.3M year-over-year.

• Gross loss for Q2 2026 was $0.6M, compared to $0.3M in Q2 2025.

• Net loss attributable to common shareholders for Q2 2026 was $3.8M, compared to $0.6M in Q2 2025.

• Cash and restricted cash at June 30, 2026 totaled $8.0M.

Outlook and guidance

• Management expresses substantial doubt about the company’s ability to continue as a going concern for at least one year without additional capital.

• Plans include seeking further external financing through equity or debt, but no arrangements are in place.

• Management emphasized a focus on financial discipline, cost control, and evaluating business and acquisition opportunities to enhance long-term shareholder value.