Rythm Inc. filed its Form 10-Q for the quarterly period ended September 30, 2026 with the Securities and Exchange Commission on November 4, 2026, reporting nine-month net income of $20,573 thousand driven by a $26,798 thousand income tax benefit, alongside a third-quarter net loss of $533 thousand.

Key Highlights

  • Nine-month revenue: The company reported revenue of $60,163 thousand for the nine months ended September 30, 2026, compared to $6,623 thousand in the same period of 2025, according to the filing.
  • Third-quarter revenue: Revenue for the three months ended September 30, 2026 was $23,857 thousand, up from $4,043 thousand in the prior-year quarter, the filing disclosed.
  • Income tax benefit: A $26,798 thousand income tax benefit was recorded for the nine-month period, which the filing shows as the driver of income from continuing operations of $20,573 thousand.
  • Related-party revenue: The filing states that revenue included $17.8 million and $45.5 million from related parties for the three and nine months ended September 30, 2026, respectively.
  • Total assets: Total assets were $134,656 thousand as of September 30, 2026, compared to $106,677 thousand at December 31, 2025, per the balance sheet.
  • Shares outstanding: As of November 4, 2026, the registrant had 2,180,128 shares of Common Stock, $0.001 par value per share, outstanding.
  • Related-party prepaid license rights: The balance sheet reflects $38,956 thousand in related-party prepaid license rights as of September 30, 2026, down from $49,400 thousand at December 31, 2025.

Rythm Inc. Nine-Month Results: Revenue Growth and Tax-Driven Income

Rythm Inc. (NASDAQ:RYM), a Nevada-incorporated company headquartered in Rolling Meadows, Illinois, reported nine-month revenue of $60,163 thousand for the period ended September 30, 2026, a substantial increase from $6,623 thousand in the comparable prior-year period, according to its unaudited condensed consolidated financial statements. The company disclosed that $45.5 million of that nine-month revenue was derived from related parties, while $17.8 million of third-quarter revenue came from related parties. Selling, general and administrative expenses for the nine-month period totaled $48,400 thousand, of which $15.4 million was attributable to related parties, the filing noted.

The nine-month income from continuing operations, net of income taxes, was $20,573 thousand. The filing shows this figure was largely shaped by a $26,798 thousand income tax benefit, which the balance sheet reflects as a deferred tax asset of the same amount recorded as of September 30, 2026, compared to zero at December 31, 2025. Without that benefit, the company would have recorded a loss from continuing operations before income taxes of $6,225 thousand for the nine months ended September 30, 2026. For the third quarter alone, the loss from continuing operations was $533 thousand, with no income tax benefit recorded in that quarter.

On the balance sheet, the company reported total current liabilities of $91,910 thousand at September 30, 2026, compared to $42,960 thousand at December 31, 2025. Related-party debt, current, stood at $72,000 thousand, up from $27,000 thousand at year-end 2025. The accumulated deficit narrowed to $320,227 thousand from $340,800 thousand, while total stockholders' equity increased to $42,071 thousand from $13,020 thousand over the same period, as the filing disclosed.

What Was Disclosed

Rythm Inc. filed an unaudited quarterly report covering the period ended September 30, 2026, disclosing nine-month net income of $20,573 thousand, a $26,798 thousand deferred tax asset, revenue of $60,163 thousand, and significant related-party transactions across revenue, debt, and operating expenses.