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WordPress PNG compression issue

I’m having issues with images getting badly compressed when uploaded to my site. It’s not an issue with photographs, but is very noticeable for images with solid blocks of colour and text.

I’ve uploaded a PNG with a solid grey background overlaid with white text, and it’s being badly compressed when WordPress resizes it to the various alternative sizes.

Original image

Large featured image size

Unfortunately I don’t have enough reputation to post more than 2 links, but you can see in the resized Large version that the text has become very blurry, and the solid grey background has a noticeable strobe to it.

I know you can turn off / adjust the level of JPG image compression, but as far as I know WordPress shouldn’t be compressing PNGs at all, so I’m at a loss to figure out what’s going on.

What could be causing this? Is this potentially an issue with the compression / resize software on my server? Or is there a way to tell WordPress not to compress PNGs, like there is with JPEGs?