MySize CEO Letter to Shareholders - 2025 Strategic Outlook

Rhea-AI Summary

MySize (NASDAQ: MYSZ) has issued a strategic outlook for 2025, highlighting significant developments and future plans. The company has signed two Letters of Intent (LOIs) for potential acquisitions in the second-hand apparel and AI shoe technology sectors. Financial performance in 2024 showed an 18% year-over-year revenue growth, doubled cash reserves, and a 37% reduction in net loss.

The company's roll-up strategy has successfully integrated Orgad and Naiz Fit into the MySize Group, contributing to revenue generation and operational efficiency. MySize is expanding geographically, particularly with Orgad's entry into major European markets, while strengthening its leadership team with experienced executives.

The company is leveraging data from its group companies, especially Naiz Fit, to develop AI-powered solutions for retail optimization. MySize aims to combine AI, big data, and strategic acquisitions to lead the retail technology revolution while progressing toward profitability.

Positive

• 18% year-over-year revenue growth in 2024
• Doubled cash reserves in 2024
• 37% reduction in net loss
• Two new LOIs signed for strategic acquisitions
• Successful integration of Orgad and Naiz Fit acquisitions
• Geographic expansion into major European markets

Negative

• Company still not profitable, though progressing toward breakeven
• Acquisition strategy may require significant capital investment

Insights

Financial Analyst

MySize reports 18% revenue growth, reduced losses by 37%, and strategic acquisition plans in second-hand apparel and AI shoe technology sectors.

MySize's CEO letter outlines meaningful financial improvements for 2024, including 18% year-over-year revenue growth, doubled cash reserves, and a 37% reduction in net loss. While still operating at a loss, these metrics demonstrate significant progress toward the stated goal of reaching cash-flow breakeven and eventual profitability.

The company has signed two Letters of Intent for potential acquisitions in the second-hand apparel and AI shoe technology sectors. These targets align strategically with MySize's existing business while potentially adding complementary capabilities in high-growth areas. The focus on acquiring companies that are "lean, profitable, or near profitability" indicates disciplined M&A execution rather than growth at any cost - a prudent approach for a company with a $2.57M market cap.

Previous acquisitions of Orgad and Naiz Fit appear to be yielding positive results in both revenue generation and operational efficiency. Geographic expansion through Orgad's entry into major European markets provides another growth vector beyond acquisitions.

Particularly noteworthy is the company's strategy to leverage data from across its business units, especially from Naiz Fit, to develop proprietary AI-driven solutions. This data-centric approach could potentially create new revenue streams and competitive advantages in retail technology.

While the letter presents a coherent strategy and improved financial trajectory, investors should note that the LOIs represent preliminary agreements rather than completed acquisitions, and the timeline to full profitability remains unspecified despite the positive trend in reduced losses.

AIRPORT CITY, Israel, April 21, 2025 /PRNewswire/ -- MySize, Inc. (NASDAQ: MYSZ) ("MySize" or the "Company"), an omnichannel e-commerce platform and provider of AI-driven measurement solutions to drive revenue growth and reduce costs for its business clients, today issued a shareholder update from its Founder and CEO, Ronen Luzon.

Dear Shareholders,

As we move forward into 2025 with confidence and determination, I want to take a moment to share some exciting developments and reaffirm our strategic direction for MySize Inc.

I'm pleased to announce that we have recently signed two Letters of Intent (LOIs) as part of our active exploration of mergers and acquisitions to enhance growth opportunities and scale operations. The LOIs — which involve potential acquisitions in the second-hand apparel and AI shoe technology sectors — reflect our strategic intent to expand into high-potential verticals that complement and strengthen our existing capabilities. With each step forward, we are establishing our leadership position in the sector and laying the groundwork for a larger, more powerful organization.

Our roll-up strategy is progressing strongly. We integrated both Orgad and Naiz Fit into the MySize Group, and these efforts are already showing encouraging results in both revenue generation and operational efficiency. But we are not just getting bigger — we are getting closer to cash-flow breakeven and progressing toward profitability. We are selectively targeting companies that are lean, profitable, or near profitability, ensuring that we scale with financial discipline and maintain a strong, cash-efficient posture across the group.

To support this evolution, we have been reinforcing our leadership team with highly experienced executives who we believe will bring added depth and global market knowledge to our management. This strengthening at the top is critical to scaling our operations while maintaining strategic discipline.

Financially, we continue to demonstrate strong momentum. In 2024, we achieved 18% year-over-year revenue growth, more than doubled our cash reserves, and reduced our net loss by 37%. As we look ahead, we believe we are firmly on the path to profitability. Our strategy combines geographic expansion—especially with Orgad's entry into major European markets—with strategic M&A that is designed to accelerate our growth while improving cost structures and synergies across the group.

Perhaps most excitingly, we are leveraging the rich data ecosystem within our group companies, particularly from Naiz Fit, to deliver transformative solutions powered by our proprietary AI technologies. This data is not just helping us optimize current offerings — it's becoming the foundation for future possibilities. We see a horizon where our deep understanding of consumer behavior, fit, and retail performance will allow us to imagine entirely new ways of interacting with, analyzing, and optimizing retail at scale. The full potential of this data-driven vision is still unfolding, and we believe it positions us to lead the industry toward a smarter, more adaptive future.

We believe that the combination of AI, big data, and strategic acquisitions places MySize at the forefront of the retail technology revolution. Our commitment is not only to growth, but to building a sustainable, profitable, and innovation-led business that creates long-term value for you, our shareholders.

Thank you for your continued support and belief in MySize.

Sincerely,
Ronen Luzon 
Chief Executive Officer 
MySize Inc. (NASDAQ: MYSZ)

About MySize Inc.

MySize, Inc. (NASDAQ: MYSZ) is a global leader in omnichannel e-commerce platforms and AI-driven sizing solutions, including MySizeID and Naiz Fit. The Company's solutions are designed to drive revenue growth, reduce operational costs, and enhance customer experiences for business clients worldwide.

We routinely post information that may be important to investors in the Investor Relations section of our website. Follow us on Facebook, LinkedIn, Instagram, and X (formerly known as Twitter).

For more information, visit www.mysizeid.com.

Cautionary Statement Regarding Forward-Looking Statements

This press release contains certain forward-looking statements within the meaning of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including statements related to potential acquisitions and potential profitability. These statements are identified by the use of the words "could," "believe," "anticipate," "intend," "estimate," "expect," "may," "continue," "predict," "potential," "project" and similar expressions that are intended to identify forward-looking statements. All forward-looking statements speak only as of the date of this press release. You should not place undue reliance on these forward-looking statements. Although we believe that our plans, objectives, expectations and intentions reflected in or suggested by the forward-looking statements are reasonable, we can give no assurance that these plans, objectives, expectations or intentions will be achieved. Forward-looking statements involve significant risks and uncertainties (some of which are beyond our control) and assumptions that could cause actual results to differ materially from historical experience and present expectations or projections. Actual results may differ materially from those in the forward-looking statements and the trading price for our common stock may fluctuate significantly. Forward-looking statements also are affected by the risk factors described in the Company's filings with the U.S. Securities and Exchange Commission. Except as required by law, we undertake no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events.

Investor Contacts: 
Oren Elmaliah, CFO 
ir@mysizeid.com

Logo: https://mma.prnewswire.com/media/689689/3320229/MySize_Logo.jpg

 

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SOURCE My Size Inc.

FAQ

What acquisitions is MySize (MYSZ) targeting in 2025?

MySize has signed two Letters of Intent (LOIs) for potential acquisitions in the second-hand apparel and AI shoe technology sectors, aiming to expand into complementary verticals.

How did MySize (MYSZ) perform financially in 2024?

In 2024, MySize achieved 18% year-over-year revenue growth, doubled its cash reserves, and reduced its net loss by 37%.

What is MySize's (MYSZ) integration progress with Orgad and Naiz Fit?

MySize has successfully integrated both Orgad and Naiz Fit into the group, showing positive results in revenue generation and operational efficiency.

What is MySize's (MYSZ) strategy for European market expansion?

MySize is expanding geographically through Orgad's entry into major European markets, combined with strategic M&A to accelerate growth and improve cost structures.