What is causing your confusion, at least from what I can see, is the way the chart is written. You are correct that performance is better with lower temps, but the TAS charts in the Arrow POH I have are all based upon a certain power setting - 75%, 65%, etc. That takes the performance/temperature equation out of the picture, because 130BHP (65% power according to my POH) is 130BHP, whether it's ISA+20 or ISA-20. You may not even be able to get 130BHP out of the engine at ISA+20 at certain altitudes, but the TAS charts don't factor this in (look at the note on the power setting tables, on the other hand, and you'll see that it is addressed - you'll have to increase MP as temperature goes up in order to maintain a certain percentage of power - obviously this cannot be done indefinitely).
So if you're getting 130BHP out of the engine, you'll benefit from the lower drag that warmer (and thus less dense) air gives you, which is why the TAS is higher. This is similar to the increase in TAS that you get from flying at a higher altitude, and for the same reason.
Some POHs (like those for most Cessnas, if you have access to one of those) do their charts differently, and there you can see the effects of temperature more easily. Whereas the Arrow chart uses percent power as the basis for finding TAS, the 172 chart uses RPM. If you look at a particular RPM at a particular altitude, you'll see that percent power drops off with an increase in temperature, and you'll see that TAS generally does as well (though not linearly - in some cases it might even go up, which I believe is due to the decrease in drag being more than the reduction in power, though I'm not absolutely certain on that).