Try this code:
int red = 0, green = 0, blue = 0;
private void timer1_Tick(object sender, EventArgs e)
{
Random rnd = new Random();
red = rnd.Next(0,256);
green = rnd.Next(0,256);
blue = rnd.Next(0,256);
this.BackColor = Color.FromArgb(red, green, blue);
}