Summary
This tool downloads the original HEIC file only, and neither the edited HEIC file, nor the AAE file (which contains edits in XML format).
Go to iCloud photos in the browser - go to an edited photo, long press the download button - download unmodified original. This is the only file that this tool downloads.
But now go to the Photos app on mac, go to a photo synced from icloud, file > export unmodified original. It will save the HEIC as well as the AAE file:

On the iphone, you can see all 3 files:

Context
This is an expected feature. without this, all edits to the photo are lost.
Summary
This tool downloads the original HEIC file only, and neither the edited HEIC file, nor the AAE file (which contains edits in XML format).
Go to iCloud photos in the browser - go to an edited photo, long press the download button - download unmodified original. This is the only file that this tool downloads.
But now go to the Photos app on mac, go to a photo synced from icloud, file > export unmodified original. It will save the HEIC as well as the AAE file:

On the iphone, you can see all 3 files:

Context
This is an expected feature. without this, all edits to the photo are lost.