Music and Lyrics

I was wondering:

How do Music Players display song lyrics while playing Audio?
This must be non trivial. There is definitely more that just simple lyrics search and writing the contents on an overlay. Besides, players also synchronize audio playback with the words of the songs, marking/highlighting them as it plays them.

Does the song file contain more than just audio information?

Also, there must be some sort of file format for synchronization.

If we have lyrics in a text file, is it possible to mark the words or the lines currently playing? I did a quick search and landed on LRC file format. But what if the MediaPlayer program does not support LRC file format? How would you go about creating an application that plays a song and displays its lyrics from a text file?

Shall we discuss?

Thanks.
[And oh I have zero experience in this area(song recording,track info etc.)]

There are at least two file formats designed specifically for Karaoke apps. They include Lyrics in them:
1. MP3+G which uses graphics to overlay lyrics over video.
2. MIDI karaoke file format for playing synchronized lyrics with the tune