An example method includes interpreting compressed source data to produce a set of representative colors and modulation data. Portions of the modulation data are interpreted as a plurality of vectors. Each vector pertains to a respective region of the image, which has multiple portions, each with elements. Modulation data is interpreted to include vector modifier data. A respective color for each element within a first portion of the region is determined from the set of representative colors, which are combined according to a selected vector (can be a selection made from a subset of the plurality). Colors for elements in other portions of the region are determined by selecting a vector, modifying the vector according to vector modifier data, and applying the modified vector with the set of representative colors to produce colors for elements in the region. Aspects include systems and methods for source data compression and image reconstruction.