The addon does not scale images by itself, so you'll have to provide images of the correct size using an image editor of your choice.
Quote:
Originally Posted by frostschutz
Supports up to about 1000 files, depending on filename length. (shorter is better). Image dimensions and offsets depends on your device, please adapt accordingly. Small filesizes are better - reduce color to grayscale (16 colors) or black/white.
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I should update it to include JPEG support as well...
PNG only for now.