It means the oil is filling in any caps between the rings and block. Dont stress on it thou, 99.9% of cars with more then 40,000kms will do the same thing (higher compression with oil in cylinders).
Although i would say 175psi is a little low for a blacktop, but if you had the funds, then rebuild, if your sorta low on cash, you could wait a while.
And if the valves stem where worn i think there would be alot of smoke on start up. But unless it fills the garage i wouldnt worry about it.