When are Bitcoin transaction outputs generated more than two? When are Bitcoin transaction outputs generated more than two?

In my understanding, if my wallet has only UTXOs that have more values than i wanted to spend(send), then two outputs are generated which one is for sending my BTC to someone and another is for change to my wallet back. But I saw several transactions in bitcoin explorer that has more than 3 outputs. What are they?
Bitcoin inputs and outputs are only limited by transaction size. There are  scenarios when you may see a few inputs with many outputs, such as an exchange performing many user withdrawals in a single transaction.

Conversely, you often see transactions with hundreds of inputs, and very few outputs. These are also usually exchanges, or people/companies with lots of receiving addresses, combining the utxos into a handful or large utxos (usually to a cold wallet).