Yep pretty much.
Source: https://helpcenter.veeam.com/docs/backu ... 5#truncate
1 - If the job completes successfully, Veeam Backup & Replication produces a backup file or VM replica and truncates transaction logs on the original VM. As a result, you have the backup file or replica that contains a VM image at a specific point in time.
In this scenario, you can recover a database to the point in time when the backup file or replica was created. As transaction logs on the VM are truncated, you cannot use them to get the restored database to some point in time between job sessions.
2 - You can choose not to truncate transaction logs on the VM. This option is recommended if together with Veeam Backup & Replication you use another backup too
3 - To protect Microsoft SQL Server VMs, you can instruct the backup job to create image-level VM backups and periodically back up database transaction logs. If Microsoft SQL Server fails, you can restore the Microsoft SQL Server VM from the necessary restore point of the image-level backup. After that, you can use Veeam Explorer for Microsoft SQL Server to apply transaction logs and get databases on the Microsoft SQL Server to the necessary state between backups.