The "120" will be 120 psi or pounds per square inch, a measure of pressure.
Atmospheric pressure is about 15 psi, and is also known as 1 bar.
So 120 psi is about 8 bar, and the compression on a modern petrol engine should be at least 10 bar, so the compression is down.
There are 3 main things that cause low compression in a cylinder, which are
1. piston ring broken. If this has happened, the piston will have to come out to replace the piston ring. The cylinder wall may be badly scored. They can check if it is a piston ring by squirting oil into the cylinder through the spark plug hole before running the compression test again. If the compression goes up, this indicates a piston ring. If it does not go up, it indicates 2 or 3
2. warped head and/or blown gasket. This would be caused by the engine over-heating, which can be caused by several issues, such as water pump, faulty thermostat, blocked water passages ...a previous owner would know if it had over-heated.
3. burnt valves. This would happen if the valve clearances were not done and the engine had been heavily used with bad valve clearances
.....but I would not expect any of the above on a car that has only done 56k miles.
If I were you, I'd check the MOT history here
https://www.gov.uk/check-mot-history-vehicle
You might also be lucky, it might only be that the valve clearances for that cylinder are a long way out, I'd get them checked as Paul ("wookie") said.