Algorhythm Holdings Stock Earnings Reports

Algorhythm Holdings (SemiCab) reported a strong Q1 2026 driven by the acquisition and integration of SemiCab India (SMCB). Key operational highlights include 5,716 loads across 14 customers in Q1, a 30% growth in the dedicated truck fleet since December, and new/expanded customer relationships in India including Coca-Cola India, MTR Foods, Apollo Tyres (expanded MSA), Procter & Gamble, Unilever, Kellanova and Asian Paints. Revenue for Q1 rose to $2.4M (up 1,850% YoY) and increased 71% sequentially; management reported an annualized revenue run rate above $12M and expects that run rate to grow to $15M–$20M by year-end 2026 driven primarily by the India managed services business and early Apex SaaS revenues from U.S./Europe. Gross loss is currently negative as the company ramps managed-service truck capacity (investment phase) but management expects improving gross margins as utilization rises. Operating expenses increased due to stock-based comp and SemiCab operating costs; other (non-operating) expenses declined materially due to a prior-period warrant fair-value charge. The balance sheet strengthened: cash of $10.9M at March 31 (≈$9.4M as of May 2) and positive stockholders’ equity of $3.2M, exceeding NASDAQ’s $2.5M threshold. Capital actions included a $9.5M secured prepaid purchase financing (Feb) and repayment of prior prepaid facilities. Management disclosed a deferred $1.5M promissory note payment to the seller of SemiCab India, characterized as a deliberate capital-allocation decision (not a liquidity shortfall) and said they have a 45-day forbearance while negotiating a restructuring of the payment schedule. Management reiterated progress on Apex, its AI-driven SaaS orchestration platform targeting U.S. full-truckload market, emphasizing an extended enterprise sales cycle but a growing U.S. pipeline and constructive customer engagement.