Core Insights - La Rosa Holdings Corp. has entered into a contract to purchase land in Osceola County, Florida, to develop a Tier III AI data center, marking a significant step in its expansion strategy [1][4][6] Group 1: Acquisition and Development - The acquisition is expected to close on June 15, 2026, pending customary closing conditions [6] - The planned data center will cover up to 10,000 square feet and support an estimated IT load of approximately 1,500 kW, catering to enterprise, cloud, and AI workloads [2] - The facility is designed to Tier III standards, ensuring high availability, redundancy, and operational reliability, and will serve various industries including healthcare, financial services, and technology [3] Group 2: Strategic Location and Market Position - The selected site is in a high-growth corridor of Central Florida, providing access to major transportation routes, robust utility infrastructure, and a skilled workforce [4] - The project positions La Rosa Holdings at the forefront of regional data center growth, capitalizing on the area's accelerating economic development and technology adoption [4] Group 3: Sustainability and Future Plans - Sustainability is a key focus, with the data center designed to incorporate energy-efficient systems and environmentally responsible practices [5] - The CEO indicated that the company is exploring expansion into other high-demand regions, including Texas, to develop additional data centers as demand for AI and high-density computing infrastructure grows [6]

Core Insights - Premarket trading is showing notable activity with significant price movements indicating potential trading opportunities before the market opens [1] Premarket Gainers - TechCreate Group Ltd. (TCGL) is up 99% at $205.71 - VivoSim Labs, Inc. (VIVS) is up 74% at $2.96 - La Rosa Holdings Corp. (LRHC) is up 55% at $4.66 - Sandisk Corporation (SNDK) is up 23% at $668.13 - Springview Holdings Ltd (SPHL) is up 19% at $4.76 - BUUU Group Limited (BUUU) is up 16% at $10.86 - Deckers Outdoor Corporation (DECK) is up 11% at $111.64 - Lumentum Holdings Inc. (LITE) is up 10% at $419.58 - Chanson International Holding (CHSN) is up 10% at $2.15 - Century Therapeutics, Inc. (IPSC) is up 9% at $2.20 [3] Premarket Losers - Kaixin Holdings (KXIN) is down 43% at $5.70 - Brand Engagement Network, Inc. (BNAI) is down 32% at $35.56 - PennyMac Financial Services, Inc. (PFSI) is down 21% at $117.50 - Schneider National, Inc. (SNDR) is down 19% at $24.05 - Moolec Science SA (MLEC) is down 19% at $5.23 - Nuwellis, Inc. (NUWE) is down 18% at $3.43 - Digital Currency X Technology Inc. (DCX) is down 16% at $3.44 - Serina Therapeutics, Inc. (SER) is down 15% at $3.03 - Namib Minerals (NAMM) is down 11% at $5.00 - ZeroStack Corp. (ZSTK) is down 6% at $11.00 [4]

Strategic Cost Discipline and Organic Growth Focus Drive Improved Capital Efficiency and Support Path Toward Cash Flow PositivityCelebration, FL , Jan. 26, 2026 (GLOBE NEWSWIRE) -- La Rosa Holdings Corp. (NASDAQ: LRHC) (“La Rosa” or the “Company”), a real estate and PropTech enterprise, today reported that it has reduced its cash burn over the past 30 days by approximately 25% compared to its average quarterly cash burn during fiscal year 2025. This improvement reflects the impact of higher-margin revenue i ...

Financial Performance - La Rosa Holdings Corp. reported preliminary unaudited revenue for the fiscal year 2025 of approximately $79 million, reflecting a 14% year-over-year increase compared to fiscal year 2024[5] - The preliminary revenue figures are subject to customary adjustments and are unaudited[5] Future Reporting - The company plans to file its full financial results for the 2025 fiscal year along with its Annual Report on Form 10-K with the SEC in due course[5]

Core Insights - La Rosa Holdings Corp. reported preliminary unaudited revenue for fiscal year 2025 at approximately $79 million, reflecting a 14% year-over-year increase compared to fiscal year 2024 [1][2] - The company shifted its growth strategy from acquisition-led to organic growth in 2025, achieving revenue increases through higher transaction activity and agent count despite a declining housing market [2] - The U.S. housing market saw a 0.2% decline in annual sales of existing homes in 2025, marking the fourth consecutive year of declines, with total sales at approximately 4.06 million homes, the lowest since 1995 [2] Financial Performance - The company’s revenue for fiscal year 2025 is estimated at $79 million, a 14% increase from the previous year [1] - Operating expenses have been significantly reduced, while fees are expected to increase by nearly 30% in 2026, enhancing operating leverage [2] Strategic Initiatives - La Rosa is focusing on organic growth and evaluating high-potential partnerships and joint ventures with technology firms to develop advanced AI computing facilities [2] - The company aims to strengthen its revenue base and accelerate its path toward cash flow positivity through these initiatives [2] Business Model and Services - La Rosa Holdings Corp. provides flexible compensation options for agents, including a revenue-sharing model and a fee-based structure with 100% commission [3] - The company offers a range of services including residential and commercial real estate brokerage, franchising, education, coaching, and property management [4] Expansion Plans - La Rosa operates 25 corporate-owned brokerage offices across several states and has begun its expansion into Europe, starting with Spain [5]

Core Viewpoint - La Rosa Holdings Corp. will implement a 1-for-10 reverse stock split effective January 26, 2026, to reduce the number of outstanding shares and maintain compliance with Nasdaq listing requirements [1][2][3]. Group 1: Reverse Stock Split Details - The reverse stock split will convert every 10 shares of common stock into 1 share, reducing the total outstanding shares from approximately 5.35 million to about 535 thousand shares [2]. - The new CUSIP number for the common stock post-split will be 50172T301, and trading will continue under the symbol "LRHC" on a split-adjusted basis [2]. Group 2: Company Background and Business Model - La Rosa Holdings Corp. aims to transform the real estate industry by offering flexible compensation options for agents, including a revenue-sharing model and a fee-based structure with 100% commission [4]. - The company provides both residential and commercial real estate brokerage services, along with technology-driven products and support for agents and franchise partners [5]. - La Rosa operates 25 corporate-owned brokerage offices across several states and has begun expansion into Europe, starting with Spain [6].

Core Viewpoint - La Rosa Holdings Corp. has successfully closed an initial tranche of $11 million under its $250 million private placement convertible note facility, enhancing its financial capacity to $1.25 billion, which will be utilized to develop AI infrastructure and a premium real estate portfolio [1][2]. Financing and Capital Structure - The initial closing of the $11 million note is part of a larger $250 million Note Facility, which, when combined with an existing $1 billion equity purchase facility, provides a total financing capacity of $1.25 billion [1][2]. - The notes and shares of common stock from the Note Facility are being offered under an exemption from registration under the Securities Act of 1933 [2]. Strategic Initiatives - The company is evaluating high-potential partnerships and joint ventures with established technology and infrastructure firms to develop advanced AI computing facilities [2]. - The CEO emphasized that closing the initial tranche marks a transition from evaluation to execution, positioning the company to act decisively on its AI infrastructure pipeline [2]. Business Model and Operations - La Rosa Holdings Corp. aims to transform the real estate industry by offering flexible compensation options for agents, including a revenue-sharing model and a 100% commission structure [4]. - The company provides both residential and commercial real estate brokerage services, along with technology-driven products and support for agents and franchise partners [5]. - La Rosa operates 25 corporate-owned brokerage offices across multiple states and has begun its expansion into Europe, starting with Spain [6].

Core Viewpoint - La Rosa Holdings Corp. has appointed Mr. Nicholas Adler as a new Board member and Chairman, following the resignation of Mr. Siamack Alavi, with a focus on enhancing the company's strategic direction in real estate-backed technology infrastructure [1][2][4]. Group 1: Board Changes - Mr. Nicholas Adler has been appointed as a member of the Board and Chairman, effective December 29, 2025 [1]. - Mr. Siamack Alavi has resigned from the Board and his roles in various committees, effective immediately, with no disagreements reported regarding the company's operations [2]. Group 2: Mr. Nicholas Adler's Background - Mr. Adler is a licensed attorney with expertise in defense litigation, bankruptcy, foreclosure, and real estate, and has been a partner at Brock & Scott PLLC since 2012 [3]. - He has experience in securities regulation and has focused on representing credit grantors in Tennessee since 2005 [3]. - Mr. Adler is also involved in real estate development and asset management through Q&A Developments, LLC, and holds leadership positions in other companies [3]. Group 3: Company Strategy and Vision - The CEO of La Rosa, Joe La Rosa, emphasized that Mr. Adler's legal and real estate development expertise will strengthen the Board as the company explores opportunities in technology infrastructure related to real estate [4]. - Mr. Adler expressed confidence in the company's potential to advance data center development and other technology initiatives that align with long-term shareholder value [4]. Group 4: Company Overview - La Rosa Holdings Corp. aims to transform the real estate industry by offering flexible compensation options for agents, including a revenue-sharing model and a 100% commission structure [5]. - The company provides both residential and commercial real estate brokerage services, along with technology-driven products and support for agents and franchise partners [6]. - La Rosa operates 25 corporate-owned brokerage offices across several states and has begun its expansion into Europe, starting with Spain [7].

Core Insights - La Rosa Holdings Corp. has achieved a 31% annualized reduction in select technology operating costs, decreasing from approximately $0.52 million in 2022 to $0.17 million in 2025, resulting in annual savings of $0.35 million [1][2] Group 1: Technology Strategy - Over the past three years, La Rosa has invested in developing its own integrated technology stack, consolidating multiple external vendors into internally developed platforms, leading to significant cost savings and improved system performance [2][3] - The proprietary technology platform enhances innovation speed and aligns technology investments with core business objectives, including AI-driven automation and blockchain initiatives [2][3] Group 2: Company Efficiency Measures - The company is focusing on broader efficiency measures to strengthen its bottom line, reallocating resources towards initiatives expected to generate measurable returns, particularly in artificial intelligence and data-center infrastructure [3] - La Rosa's strategy emphasizes creating technology that fits its business needs, providing greater flexibility and tighter integration across the organization [3] Group 3: Business Model and Operations - La Rosa Holdings aims to transform the real estate industry by offering agents flexible compensation options, including a revenue-sharing model or a fee-based structure with 100% commission, supported by its proprietary technology platform [4] - The company provides both residential and commercial real estate brokerage services, along with technology-driven products and support for agents and franchise partners [5] - La Rosa operates 25 corporate-owned brokerage offices across several states and has begun its expansion into Europe, starting with Spain [6]

Core View - La Rosa Holdings Corp (LRHC) shares have decreased 9.8% since the third-quarter earnings report, contrasting with a 0.4% decline in the S&P 500 Index during the same period [1] Earnings & Revenue Performance - LRHC reported third-quarter 2025 revenues of $20.2 million, a 3.2% increase from $19.6 million year-over-year, with growth across all main service lines [2] - Residential real estate services revenues rose 1.7% to $16.8 million, property management increased 8.9% to approximately $3.1 million, and commercial brokerage grew roughly 61.5% to $0.10 million [2] Profitability Metrics - Despite revenue growth, profitability worsened with a loss from operations widening to $5 million from $1.7 million, and net loss increasing to $5.5 million, or $5.44 per share, compared to a $3.4 million loss, or $16.49 per share, in the prior-year quarter [3] - Total operating expenses nearly doubled to $6.7 million from $3.4 million [3] Other Key Business Metrics - Gross profit improved slightly to $1.7 million from $1.6 million, with a gross margin holding steady at about 8.4% [4] - Residential brokerage gross profit rose approximately 4% year-over-year, while property management gross profit increased about 2% [4] Expense Trends - Selling, general and administrative (SG&A) costs, excluding stock-based compensation, were about $4.4 million, up from roughly $3.0 million, reflecting a 46% year-over-year increase [5] - Higher payroll, benefits, professional fees, technology expenses, and public-company compliance costs contributed to the rise in SG&A [5] Liquidity Position - Cash and restricted cash totaled about $6.4 million as of September 30, 2025, roughly double the $3.2 million level as of December 31, 2024 [6] - Management indicated that existing working capital is not expected to cover operating needs for the next 12 months, raising concerns about the company's ability to continue as a going concern without additional capital [6] Management Commentary - CEO Joe La Rosa noted steady year-over-year growth across all major revenue streams and highlighted balance sheet improvements, including the elimination of most outstanding warrants [7] - The company aims to diversify into AI-adjacent infrastructure, leveraging its real estate footprint and agent network for data-center development [7] Factors Influencing Financial Results - Revenue growth was primarily volume- and mix-driven within residential brokerage and property management, while higher overhead costs tied to acquisitions and public-company expenses weighed on earnings [8] - Non-cash items introduced volatility in reported net income, influenced by capital-market activity [8] Strategic Developments - LRHC secured $1.25 billion in financing facilities to support an AI data center strategy and potential acquisitions [11] - The company dissolved a non-operational subsidiary to simplify its structure and entered a securities purchase agreement for up to $250 million in senior secured convertible notes [11]