I'm just starting to use SM2 v1.75 and I'm currently testing pixel perfect sprites.
I have 3 40x40 sprites and want to apply them to 3 GameObjects (cubes).
The camera is set up in Orthographic mode. I've unchecked Generate Mip Maps on the three original sprites.
The result is as follows:
If you need more detail than the inline image, you can access the full size here: http://dl.dropbox.com/u/3655087/sm2-sprite-issue.png
The atlas in use is on the right of this image. The game window on the left shows the sprites are stretched vertically (2x the original height). SM2 appears to be auto-detecting the height incorrectly and setting Y to 2 in the PackedSprite.
If I do not use pixel-perfect and set the height to 1 then I get the correct size.
In both cases the sprites are very low quality relative to the original.
It's probably something really simple that I'm missing. Can anybody suggest what might be wrong for both the height and the quality of the sprites?
UPDATE #1:
Thanks to Brady's response below I've realised the mistake of not having a power of 2 texture in place (It was an iPhone target at the time of writing).
This solved the stretched textures, however I cannot get the Atlas generation to behave as I expect.
If you assign a 40x40 image to a PackedSprite and it is the only PackedSprite in the atlas the edges of the image are blurry. This is the same as edges of the "Pixel perfect sprites" in the attached image.
If you assign a 32x32 image to a PackedSprite and it is the only PackedSprite in the atlas, the edges are fine and the sprite renders as I'd expect.
If you have more than one PackedSprite included in an atlas the edges are blurry as per #1. i.e. an otherwise working pixel perfect sprite is degraded once a second image is added to the atlas. For completeness the second image added was a 64x64 gradient png.
I've also witnessed the atlas generation duplicating the sprites included in a texture. Not to the extent it increased the size of the texture but filling unused space. The general problem is atlas generation is not consistent between executions for the same set of included PackedSprites/assets.
Cheers.