How does compression of lossless images work in GIMP?

Compression level: Since compression is not lossy, the only reason to use a compression level less than 9 would be a too long time to compress file on a slow computer. Nothing to fear from decompression: it is as quick whatever the compression level.

https://docs.gimp.org/2.2/en/gimp-images-out.html

GIMP suggests using compression for lossless .png images, "compressed" images are saved using the same file type. If I set compression level to 0 when saving the image is several times larger than the original image. How does "lossless compression" work and do I lose quality by using it?

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