First, Search for 'red'. Some of the thumbnails are different sizes. The ones at the top at vertical and so the text below them is not visible. The ones near the bottom are more square and so the text is visible. Is there a setting for that?
Default the thumbnails have the same aspect ratio (width/height ratio) as the fullsize images. You can select a fixed ratio and a way to make the thumbs in Table I-C2. You can regenerate thumnails in Table VIII-A4 (after you changed I-C2.
Yopu can increase the thumbnail frame height (to get more visible) in Table I-C4.
Second, I searched all the album settings and didn't find what I was looking for. Is it possible to display the albums as just a cover photo and their name (similar to the search results) rather then as a list vertically?
I would imagine that if the cover photo was left aligned, the box would still appear, but instead of displaying vertically, it would display horizontally up to the max width and then vertically similar to the search results.
See the settings: Table I-D1 (set to 200 or so), Table IV-D3, Table II-D1,2,3.