Sensor Module misbehaving when connected to a voltage divider
The comparator LM393 has an open collector output. It can only pull down the output, therefore a pull-up resistor is needed to provide a high level signal. In your case this is the 10k resistor in parallel to the LED with the 1k resistor.

As soon as you add 2x330ohm = 660ohms to the output you effectively disable the pull-up network, because this resistance is lower than that of the pull-up network. Since the comparator also can only pull-down the signal, you can't get a high signal anymore.

The added diode is reverse biased and therefore disables the 2x 330ohms resistors. It's the same as if there were no resistors at all.

By the way, the page you link to says that the module can be operated with 3.3V.

A simplified schematic of the comparator taken from here is shown below. It should make clear, why your modification doesn't work.