Weren’t there special compression softwares that added even more capacity?
I recall the default format was 9 sectors, 80 tracks, 2 sides with 512 bytes per sector = 720KB, and you could push up to sometimes 82/83 tracks and maybe 10 or 11 sectors to get more out of a diskette.
Actually, I think my ST originally came with a single-sided floppy drive and had to be upgraded.
Sad thing was, due to the early single sided models, many games would limit to 720k so as to not limit there market. That saw games that would happily fit upon a single double sided disc, cast upon two floppies forcing switching. So that small batch of single sided initial release systems, really did have a legacy impact that lasted for years and did it no favours.