- SemiCab Initiatives Focused on Near-Term Break-Even Operations and Strategic Partnerships
- Newly Acquired Azure Energy Has More Than $10 Million in Active Contracted Revenue Through 2027
- Management Focused on Expanding Revenue and EBITDA Through Azure Existing Customers and Strategic Partnerships
- Company Targets Lower Cost of Capital and Reduced Reliance on Dilutive Financing
FORT LAUDERDALE, FL., Sept. 22, 2026 (GLOBE NEWSWIRE) -- Algorhythm Holdings, Inc. (the “Company”) (NASDAQ: RIME), a diversified holding company and owner of SemiCab, an AI-enabled logistics technology business, and Azure Energy, a renewable power infrastructure developer, today outlined its near-term operational, strategic and capital allocation priorities for the remainder of 2026 and 2027.
The update coincides with the Company's filing of a new corporate presentation with the Securities and Exchange Commission pursuant to Regulation FD.
Driving Profitable Growth Across the Portfolio
Management's immediate priority is to build a stronger base of recurring and profitable revenue across Algorhythm's operating business segments.
At SemiCab, management's immediate priority is to substantially reduce operating losses through a reduction in G&A spending, particularly at the Company’s SemiCab India division, and prioritizing SemiCab’s SaaS model which provides an opportunity to pursue a more capital-efficient business model.
The Company has taken steps to reduce SemiCab's operating cost structure and intends to focus its investment on activities with the clearest path to near-term, high-margin returns. For longer-term opportunities, management intends to explore strategic partnerships and other capital-efficient structures designed to monetize SemiCab's technology while limiting additional investment requirements.
At Azure Energy, the Company currently has three customers providing significant revenue visibility under existing contracts, representing more than $10 million of contracted high-margin fee revenue through the end of 2027. The Company is also negotiating additional opportunities that, if successfully contracted, are expected to contribute incremental revenue during 2027. Two of these opportunities involve existing customers of Azure and its affiliates, providing the potential to expand established commercial relationships.
Expanding Through Capital-Efficient Strategic Partnerships
Strategic partnerships represent an important component of the Company's growth strategy across both SemiCab and Azure.
At Azure, the Company intends to pursue project-specific relationships with established construction and infrastructure firms to expand its participation in large-scale power generation projects. Under this model, Azure would contribute its engineering, project development and technical expertise while its partners provide complementary construction capabilities and commercial bonding capacity.
Management currently believes these relationships could enable Azure to expand into the procurement phase of Engineering, Procurement and Construction (“EPC”) engagements without independently assuming the full capital and bonding requirements associated with those projects. One such opportunity could expand Azure's existing relationship with a Fortune 500 food and beverage company.
Strengthening Algorhythm's Balance Sheet and Capital Structure
Management's third priority is to strengthen Algorhythm's balance sheet, reduce its cost of capital and decrease reliance on potentially dilutive financing.
As the Company seeks to expand its base of contracted revenue and operating cash flow, management intends to evaluate opportunities to selectively use cash on hand and future cash flows to repay, restructure or refinance higher-cost financing instruments currently outstanding.
Management also intends to pursue lower-cost financing alternatives that may become available as the Company's revenue base and operating cash flow grow. The objective is to reduce reliance on equity-linked financing while preserving sufficient liquidity to support attractive growth opportunities across the Company's businesses.
Focused on Execution
“Our priorities for Algorhythm are clear,” said Andrew Thompson, Chief Executive Officer of Algorhythm Holdings. “First, we are focused on driving sustained, profitable revenue growth. Azure brings to the Company more than $10 million of existing contracted revenue, established customer relationships and a growing pipeline of opportunities in power generation infrastructure. Our immediate objective is to execute against that foundation and expand it.”
“Second, we are taking a disciplined approach to how we deploy capital across the Company. With SemiCab, our priority is to substantially reduce operating losses while pursuing partnership structures that can preserve the value of its technology and customer relationships. With Azure, believe strategic partnerships can allow us to participate in larger power generation projects without independently assuming all of the customary capital and bonding requirements.”
“Finally, we are focused on strengthening Algorhythm's capital structure,” Thompson concluded. “As we grow revenue and operating cash flow, we intend to pursue opportunities to reduce higher-cost financing and our reliance on dilutive sources of capital. Our objective is straightforward: grow profitable revenue, allocate capital where we see the strongest returns, and build a stronger financial foundation for Algorhythm and its shareholders.”
About Algorhythm Holdings
Algorhythm Holdings, Inc. is a holding Company, with two primary assets, SemiCab and Azure Energy.
SemiCab is an AI-enabled logistics software provider. 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.
Azure Energy is a leading developer of renewable biomass power generation infrastructure. Their team consists of some of the most experienced biomass power plant experts in the US today. Collectively this team has designed and built 72 facilities generating 17.5GW of renewable power to date. As Azure, this team launched in 2025 and has already secured equity participation valued at over $220 million in net present value through multiple power plants under construction in the US today. The Company has significant fee-income consulting revenues under multi-year contracts, and is generating scaling, positive EBITDA. For additional information, please go to: http://www.azure-energy.co.
Investor Relations Contact
Brendan Hopkins
407-645-5295
investors@algoholdings.com
www.algoholdings.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," "plans," "potential," "seeks,” “should,” “strategy,” “targets,” “will” and similar references to future periods. Examples of forward-looking statements in this press release include, among others, statements regarding the Company’s expectations for revenue growth and contracted revenue at Azure Energy, anticipated reductions in SemiCab’s operating losses and general and administrative spending, plans to pursue strategic partnerships in power generation infrastructure, expectations regarding Azure Energy’s ability to expand into EPC engagements, management’s plans to strengthen the Company’s balance sheet and reduce its cost of capital, the Company’s strategy to reduce reliance on dilutive financing, and the anticipated benefits of the Company’s capital allocation priorities. 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, 2025. 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.
