What is Going Happen in this Situation?

I’m just curious as to what will happen in this situation as i have ready you cant gain while cutting and such.

So if i’m …

Lifting heavy
Walking incline for an hour
Hiit sprinting
HIIT punch bag

And eating healthyish and eating whenever im hungry and not controlling portions basically eating to support recovery and more.

Right now i feel great along with proper rest and i am seeing plenty of fat loss despite eating quite generously but i am also seeing gains.

I am definetly a fast gainer of fat.

Heres a pic you can see i am far off from being ripped or lean but i am tightening up and losing fat but also growing in size how is this possible ?