If the compile choose to inline a function, it will replace a function call to this function by the body of the function. It now has more code to optimize inside the caller function body. Therefore, it often leads to better code.
Imagine that:
bool callee(bool a){
if(a) return false;
else return true;
}
void caller(){
if(callee(true)){
//Do something
}
//Do something
}
Once inlined, the code will be like this (approximatively):
void caller(){
bool a = true;
bool ret;
if(a) ret = false;
else ret = true;
if(ret){
//Do something
}
//Do something
}
Which may be optimized further too:
void caller(){
if(false){
//Do something
}
//Do something
}
And then to:
void caller(){
//Do something
}
The function is now much smaller and you don't have the cost of the function call and especially (regarding the question) the cost of branching.