BC7 Compression Settings Saving To DXT1 Format

I have my “Compression Settings” set to BC7, but when I save the imported texture it get’s pixelated and the format displays as “DXT1”. Any idea why this is happening?


I just tried verifying my UE4 installation, still compressing BC7 to DXT1. I am using 4.15.3, btw.

Probably also worth mentioning that I am attempting to save a grey packed texture. If I import the RGB channels individually then the DXT1 format works just fine, with no pixelation.