We have thousands (2532 last run) of screenshots in our reports so the disk size was pretty large (3.48 GB). I enabled -z param to compress screenshots to 25% of their original size and it worked on a small sample but crashes on our full nightly test run. Memory continuously keeps getting eaten and I saw it go up >100 GBs of RAM until it finally gets forced killed with out of memory error status code 137.
Current workaround I found was to leave off the image resize param and instead resize it manually after with imagemagick (install with brew install imagemagick) which uses hardly any memory when running (< 100 MB):
magick mogrify -resize 25% *.jpeg
May be related: #230
Version: 2.3.4
I'm not able to share my exact Xcode report to use as a test case.