The best explanation for why the siblings look more like each other and less like their grandparents is: The siblings are more closely related to each other than they are to their grandparents.
Siblings share a greater proportion of their genetic material with one another (typically around 50%) than they do with their grandparents, who share approximately 25% of their genetic makeup with each grandchild. This closer genetic relationship results in siblings looking more alike than they do when compared to their grandparents.