Yes it does, just like the network.
There are some downsides with this method though:
1) booting takes a full minute
2) if you just follow the article, your using an almost full disk so you can play with it but there isn't much space left for storing other stuff
My advice: install a second disk, partition it, format it, install Haiku on it and then remove the HD image used for installing.
At the same time: wouldn't it be wise to make the ISO a real iso image that can boot without workarounds?