Textlabel/Frame Automaticsize not working?

I am making a custom chat. It works and everything but there is one issue. The chat segments are far spaced, and that is because the frame is larger than it needs to be (because the player might be sending a bigger message).

Basically, I want the frame to expand to the text.

I tried making both the textlabel and frame parent automaticsize XY, but it didn’t seem to make a different in-game (it worked in studio until i played it).

image
Here is what i mean by wrongly sized to the text.

This is the hierarchy:
image

Any idea why it isn’t working?