God saw their works, that they turned from their evil way; and God relented from the disaster that He had said He would bring upon them, and He did not do it.
Things God Does
and other interpretations
God sees what you do
God honours repentance (turning from their way) with mercy
It’s the change in direction (turning) not the change in behavior that God sees
See also
Mark 1:13 — The time is fulfilled, and the kingdom of God is at hand. Repent, and believe in the gospel.
Acts 2:37-38 — “Men and brethren, what shall we do?" Then Peter said to them, “Repent, and let every one of you be baptized in the name of Jesus Christ for the forgiveness of sins”
Application
Be in a constant state of turning from your evil way
Keep in mind that God sees me and that He looks on me with favor and gentleness (He remembers that I am made of dust — Psalm 103:14)