Agreed, they've done a decent job in bringing the recurring...

Agreed, they've done a decent job in bringing the recurring revenue up. However, you didnt take into account the month to month nature of the new clients, therefore it'll be wrong to annualise the $135k amount.

Also, if you look at the 1st half 2022 report, DC2 added $800k YoY to revenue and $600k to gross profit. Meanwhile, costs grew by $1m.

I doubt DC2 will be able to keep costs down for the 2H2022. Traditionally their 2H costs are higher than 1H.
Data below, all from their reports. 2H data are basically full year accounts data minus the 1st half data.
1H20 $878k vs 2H20 $1.2m
1H21 $2.3m vs 2H20 $3.1m

So I think it's unlikely DC2 will be able to grow revenue faster than costs. Also, keep in mind that DC2 is Perth based and labour costs of WA focused companies have gone through the roof due to border closure and other factors.

Additionally, they are running out of cash and they are not operating cashflow positive, which means there might be a capital raise on the horizon. The discount will be substantially large for this kind of risky micro cap speculative investments.