Algorhythm Holdings (RIME) Q4 2025 earnings summary

Executive summary

• Achieved significant momentum with the SemiCab AI-powered logistics platform, reducing empty miles by over 70% and handling 4x freight volume without additional headcount.

• Revenue surged 1,370% year-over-year to $4.4 million for 2025, driven by the SemiCab India acquisition and rapid contract wins.

• Secured four new Fortune 500 clients in India and converted five pilot programs into multi-million dollar contract expansions, pushing annualized revenue run rate to nearly $10 million by year-end 2025.

• Completed acquisition of SMCB Solutions Private Limited (SemiCab India) and divested legacy consumer electronics business, focusing exclusively on logistics technology.

• Net loss narrowed by 32% to $16.6 million, with significant reductions in operating expenses and non-cash warrant-related charges.

Financial highlights

• Sales for 2025 increased 1,370% to $4.4 million from $300,000 in 2024, driven by the SemiCab India acquisition.

• Gross loss for 2025 was $1.3 million, compared to $194,000 last year, due to initial ramp-up costs in new territories.

• Operating expenses decreased nearly 20% to $6.6 million, primarily due to lower goodwill impairment.

• Net loss from continuing operations decreased to $15.2 million from $18.9 million, with $6.5 million of 2025 net loss from non-cash warrant charges.

• Cash on hand increased to $6.1 million at year-end and $10.9 million as of March 25, 2026.

Outlook and guidance

• Annualized revenue run rate expected to reach $15–20 million by end of 2026, driven by SemiCab India managed services and new SaaS business.

• Management expects strong revenue growth to continue in 2026, supported by new contract wins and the launch of the Apex SaaS platform.

• Gross loss as a percentage of revenue expected to decrease as customer base and truck utilization grow.

• Net loss from continuing operations projected to decrease further, with no anticipated future warrant-related losses.

• The company anticipates further strengthening of its balance sheet throughout 2026.