(2) About Memory, indeed, right now you have: memory_limit 128M but your Joomla needs 2x or even more.
In Hosting Panel set 256M or 512M (better!). Example (from cPanel):

(3) PHP Version: PHP 8.3 should be better compare to PHP 8.2 too, it also needs less memory to manage php scripts.
(4) Ask Hosting Support (if you're not sure) if you can use GZip compression. In cPanel > MultiPHP INI > zlib.output_compression : On.
Then inside Joomla Admin: Global Configuration > Server > Gzip Page Compression: On. It compress files, and it means less memory is used.

Some hostings also allows using LiteSpeed Web Cache, it's also a good thing.