La Rosa Holdings CEO Provides Letter to Shareholders Outlining Operational Improvements, Reduced Cash Burn and Strategic Initiatives in 2026

Celebration, FL, March 02, 2026 (GLOBE NEWSWIRE) -- La Rosa Holdings Corp. (NASDAQ: LRHC) (“La Rosa” or the “Company”), a real estate and PropTech enterprise, today released the following letter to shareholders from its CEO, Joseph La Rosa.

To our valued shareholders,

Since the beginning of the year, we have taken deliberate and disciplined steps to reposition La Rosa for the next phase of its evolution, one defined by digital infrastructure, artificial intelligence, and operational efficiency.

Most notably, as previously reported, we recently entered into an agreement to acquire land intended for the development of AI-oriented infrastructure. This initiative represents far more than a traditional real estate investment. It reflects a strategic expansion into sectors characterized by durable demand, scalable economics, and recurring revenue potential, areas where capital and innovation are increasingly concentrated.

Artificial intelligence is rapidly becoming a foundational layer across industries including real estate, financial services, logistics, and data management. Physical infrastructure capable of supporting compute-intensive workloads is emerging as a critical bottleneck in this ecosystem. By securing assets designed to support these applications, La Rosa is positioning itself at the intersection of real assets and next-generation technology.

Our objective is straightforward, to own and operate essential infrastructure that generates predictable cash flow, scales efficiently, and enhances long-term enterprise value.

In parallel with these growth initiatives, we are conducting a comprehensive review of our corporate structure to ensure every business activity contributes meaningfully to profitability and shareholder returns.

This includes:

• Streamlining operational processes
• Reducing overhead and non-essential expenses
• Restructuring or exiting underperforming subsidiaries
• Eliminating costs that lack measurable return
• Reallocating capital toward higher-impact initiatives

Our focus is not simply revenue expansion, but sustainable profitability and stronger margins.

To reinforce our alignment with shareholders and our conviction in La Rosa’s future, as previously reported, I have voluntarily reduced my salary, and our Chief Operating Officer has done the same. We believe leadership should participate directly in both risk and reward — shareholder value creation must come before fixed executive compensation.

At the same time, we have taken concrete steps to strengthen the balance sheet. Eliminating $5.5 million in convertible debt simplified our capital structure and improved financial flexibility, while divesting a non-core office operation removed ongoing expenses and sharpened our operating focus.

These actions are already contributing to lower cash burn. As we move through the first quarter of 2026, we expect further improvement as higher-margin initiatives implemented late last year and continued cost discipline take full effect. Improving transaction activity is supporting organic revenue growth, and in parallel we are evaluating strategic partnerships and joint ventures with established technology and infrastructure providers to develop computing-focused facilities. Together, these initiatives are intended to expand revenue opportunities and accelerate our path toward positive cash flow.

La Rosa Holdings was founded on such principles as entrepreneurial discipline, innovation, and a long-term perspective. Those principles remain unchanged; what is evolving is the scale of our ambition and the precision of our capital allocation.

I remain deeply invested, both financially and personally, in La Rosa’s success. My interests are fully aligned with yours, and I am committed to transparency, disciplined execution, and responsible stewardship of your capital.

Thank you for your continued trust, patience, and support.

Sincerely,

Joseph La Rosa, CEO

La Rosa Holdings Corp. (Nasdaq: LRHC) intends to transform the real estate industry by providing agents with flexible compensation options, including a revenue-sharing model or a fee-based structure with 100% commission. Powered by its proprietary technology platform, La Rosa aims to equip agents and franchisees with the tools they need to deliver exceptional service.

The Company offers both residential and commercial real estate brokerage services, as well as technology-driven products and support for its agents and franchise partners. Its business model includes internal services for agents and external offerings for the public, spanning real estate brokerage, franchising, education and coaching, and property management.

La Rosa operates 24 corporate-owned brokerage offices across Florida, California, Texas, Georgia, and Puerto Rico. La Rosa also started its expansion into Europe, beginning with Spain. Additionally, the Company has five franchised offices and branches and three affiliated brokerage locations in the U.S. and Puerto Rico. The Company also operates a full-service escrow settlement and title company in Florida.

This press release contains forward-looking statements regarding the Company’s current expectations that are subject to various risks and uncertainties. Such statements include statements regarding the Company’s ability to grow its business and other statements that are not historical facts, including statements which may be accompanied by the words “intends,” “may,” “will,” “plans,” “expects,” “anticipates,” “projects,” “predicts,” “estimates,” “aims,” “believes,” “hopes,” “potential” or similar words.  These statements are not guarantees of future performance and are subject to certain risks, uncertainties and assumptions that are difficult to predict. Actual results could differ materially from those described in these forward-looking statements due to certain factors, including without limitation, the Company’s ability to achieve profitable operations, customer acceptance of new services, the demand for the Company’s services and the Company’s customers' economic condition, the impact of competitive services and pricing, general economic conditions, the successful integration of the Company’s past and future acquired brokerages, the effect of the recent National Association of Realtors' landmark settlement on our business operations, and other risk factors detailed in the Company's filings with the United States Securities and Exchange Commission (the "SEC”). You are urged to carefully review and consider any cautionary statements and other disclosures, including the statements made under the heading “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, and other reports and documents that we file from time to time with the SEC. Forward-looking statements contained in this press release are made only as of the date of this press release, and La Rosa does not undertake any responsibility to update any forward-looking statements in this release, except as may be required by applicable law.