Algorhythm Holdings Reports Increased Losses Amidst Revenue Decline

Singing Machine Company ( (RIME) ) has released its Q1 earnings. Here is a breakdown of the information Singing Machine Company presented to its investors.

Algorhythm Holdings, Inc., formerly known as The Singing Machine Company, Inc., operates as an artificial intelligence technology and consumer electronics holding company with two primary business units: SemiCab, an AI-enabled software logistics business, and Singing Machine, a home karaoke consumer products business. In its latest earnings report for the quarter ended March 31, 2025, Algorhythm Holdings reported a net loss of $9.29 million, a significant increase from the $2.37 million loss in the same period last year. The company’s net sales declined to $1.99 million from $2.43 million, and its gross profit remained relatively flat at $500,000. Operating expenses increased to $3.31 million, driven by higher selling and general administrative costs. The company also recorded a substantial loss due to a change in the fair value of warrant liabilities. Despite these challenges, Algorhythm Holdings is exploring additional financing options to support its operations and address liquidity concerns. The management remains focused on securing external capital to sustain its business activities in the coming year.