RIME

#4947
Algorhythm Holdings, Inc. - Common Stock
0.2 2 USD
-0.08%
Market Price
Settore: Tecnologia
Base: USD
Valuta di Profitto: USD
Intervallo Giornaliero
0.22
0.23
Intervallo Annuale
0.22
4.58
Variazione giornaliera
-8.33%
Variazione Mensile
-46.34%
Variazione di 6 mesi
-88.36%
Variazione Annuale
-88.54%
Chiusura Precedente
0.2 4
Open
0.2 3
Minimo
0.2 2
Massimo
0.2 3
Volume
40
Apri il grafico completo

Financials

Panoramica Estratto Conto Statistiche Documents

2026

Current report, Q3 FY2026
Algorhythm Holdings, Inc. current report, Q3 FY2026
8-K
Quarterly report, Q2 FY2026
Algorhythm Holdings, Inc. quarterly report, Q2 FY2026
10-Q
Current report, Q2 FY2026
Algorhythm Holdings, Inc. current report, Q2 FY2026
8-K
Current report, Q2 FY2026
Algorhythm Holdings, Inc. current report, Q2 FY2026
8-K
Current report, Q2 FY2026
Algorhythm Holdings, Inc. current report, Q2 FY2026
8-K
Current report, Q2 FY2026
Algorhythm Holdings, Inc. current report, Q2 FY2026
8-K
Current report, Q2 FY2026
Algorhythm Holdings, Inc. current report, Q2 FY2026
8-K
Current report, Q2 FY2026
Algorhythm Holdings, Inc. current report, Q2 FY2026
8-K
Current report, Q2 FY2026
Algorhythm Holdings, Inc. current report, Q2 FY2026
8-K
Quarterly report, Q1 FY2026
Algorhythm Holdings, Inc. quarterly report, Q1 FY2026
10-Q

Algorhythm Holdings, Inc. quarterly report, Q2 FY2009

Full document

Business Context and Reporting Period

Company: The Singing Machine Company, Inc. (Note: Input metadata listed "Algorhythm Holdings, Inc.", but the filing text identifies the registrant as The Singing Machine Company, Inc.)
Filing Type: Form 10-Q (Quarterly Report)
Period Ended: June 30, 2009
Business Overview: The Company designs, markets, and sells consumer karaoke audio equipment, accessories, musical recordings, and licensed electronic products (including BRATZ™ franchise items). Products are sold to distributors and retail customers primarily in North America.

Key Financial Metrics

Metric Q2 2009 (Unaudited) Q2 2008 (Unaudited)
Net Sales $814,008 $1,770,346
Gross Profit (Loss) $(285,622) $202,649
Gross Margin (35.1)% 11.4%
Operating Expenses $1,264,147 $1,244,894
Net Loss $(1,553,037) $(1,049,561)
Loss Per Share (Basic/Diluted) $(0.04) $(0.03)
Cash and Cash Equivalents $616,865 $461,150
Working Capital $47,744 N/A
Total Debt (Short-term + Long-term) $1,780,028 N/A

Note: Total Debt includes $1,742,140 in short-term bank loans and $37,888 in long-term financing obligations.

Material Changes vs. Prior Period

  • Revenue Decline: Net sales decreased by 54% ($956,338) compared to the prior year. This was driven by a $474,738 decline in BRATZ™ licensed products as the product lifecycle wound down, increased product returns, and one-time pricing discounts totaling $235,440 granted to major retailers (Costco Mexico and Sam's Club).
  • Gross Margin Collapse: The Company reported a gross loss of $(285,622), a swing of $488,271 from the prior year's profit. This was caused by the revenue decline and a one-time inventory charge of $181,142 to write down BRATZ™ products and musical instruments to lower of cost or market.
  • Operating Expenses: Total operating expenses increased slightly by $19,253. Selling expenses rose due to inbound freight costs associated with increased returns and marketing for new products/internet store launch.
  • Cash Flow: Net cash used in operating activities was $(1,478,149), a significant deterioration from the $53,613 provided by operations in the prior year. This was due to decreased accounts payable and increased customer credits on account from returns.

Guidance, Outlook, Risks, and Unusual Items

  • Liquidity and Capital Resources: Management anticipates requiring approximately $1 million for working capital over the next three months. The Company plans to finance operations through raising additional capital, collecting receivables, selling inventory, vendor financing, and short-term loans from the majority shareholder.
  • Debt Maturity: A short-term bank loan of $1,742,140 from DBS Bank is due in full by September 15, 2009. Management expects proceeds from a major European customer to cover this obligation. Subsequent events noted that a $1,000,000 portion due July 6, 2009, was partially paid and extended.
  • Delisting: On June 22, 2009, the Company was notified by NYSE Amex Equities that its stock would be delisted. Trading was suspended on July 6, 2009, and the stock began trading on the OTC Bulletin Board (OTCBB) under the symbol "SMDM" on July 7, 2009.
  • Financing Rescinded: In July 2009, Heng Seng Bank Limited rescinded $5.1 million in financing facilities effective immediately.
  • Legal Contingency: The IRS filed a tax lien against a former subsidiary (ISMC (HK)) for approximately $170,000. Management's legal counsel concluded the Company is not liable as the subsidiary was sold in 2006 and the statute of limitations may have expired.
  • Going Concern: The filing states that if the Company fails to obtain additional financing, it may have a material adverse effect on its ability to continue as a going concern.

Investor Verification Checklist

  • Debt Repayment: Verify the Company's ability to repay the $1.74 million DBS Bank loan due in September 2009, specifically the reliance on a single major European customer's payment.
  • Inventory Valuation: Assess the adequacy of inventory reserves given the significant write-downs taken in Q2 2009 and the ongoing decline in BRATZ™ product sales.
  • Capital Raising: Monitor progress on raising the anticipated $1 million in working capital, given the recent delisting and rescinded credit facilities.
  • Related Party Transactions: Review the $619,569 owed to related parties and the reliance on related party logistics and financing to sustain operations.
  • IRS Liability: Confirm the status of the IRS lien against the former subsidiary to ensure no unexpected liability transfers to the parent company.