His unit is probably capped or/and he is using his headphones on the SE output, I have my Sennheiser HD650 connected to my Japanese NW-ZX300 over the Balanced output on high gain, I usually crank the volume between 30 to 80 depending on how loud I want to listen to and the track I am listening to (I listen at louder volume to tracks with a higher dynamic range for example) , anything higher than 80 even on high dynamic range tracks starts being painful to my ears. Of course if your unit is capped, if you are on low gain or if you are using SE, using a 300ohms pair of headphones like the HD650 is a bad idea, those are meant to be listened to at high power on high gain (people generally use an external amp to drive those), while the NW-ZX300 can drive those fine while uncapped over balanced, the SE or using it capped does not provide enough power to drive these, keep in mind that SE power output is 50mW while the balanced output is 200mW, that's 4 times as much power. You would need at the very least 150mW@16ohms to drive the HD650 efficiently, considering the capped version of the unit is restricted to a maximum of 4,2 mW regardless of the output, using the HD650 over a capped unit is not even an option.
There is also the fact that I strongly believe unlike the WM1A/Z the limitation on the EU unit isn't only software but hardware based as well (which is why there is no tourist unit available as the EU service center probably does not have replacement boards for uncapped units), this is strongly suggested by people who mentioned how some 150ohms headphones (like the HD660S) remain hard to drive on their EU units even after being uncapped through the rockbox destination tool (that's on high gain over balanced) while the factory uncapped ZX300 does not have any issue driving 300ohms headphones using the same configuration. While the software uncap does alleviate some of the issues, such as providing high gain on EU units, I do not believe it entirely removes the limitation, of course the only way to be sure would be to compare a formerly capped and a factory uncapped unit side by side with the same headphones at the same volume or to compare both motherboards. This is also why I do not believe the 1.6-4.2mW specification displayed on sony's website (
https://www.sony.co.uk/electronics/walkman/nw-zx300/specifications) to be a typo of any kind, this kind of strict limitation (we are going down from 50mW and 200mW respectively to 1.6-4.2mW) isn't only enforced by software, (most likely the capped units have an extra resistor somewhere or a different power regulator), unfortunately I cannot compare units myself, but until we know for sure, I would strongly advise not to purchase the capped version of the unit sold in Western Europe even if you can remove the software limitation.