There is a big difference between latency and throughput. FPS is throughput. If you assume the entire system is producing only the current frame then those numbers are directly correlated. But most systems, especially game engines/hardware, always have multiple things going in parallel simultaneously.
The H.264 encoder on my CPU introduces >16.7ms of latency into a video stream, but it can encode hundreds of frames per second of SD video all day. Adding ~1 more frame of latency may be worth a quadrupling in image quality/resolution in most circumstances.
Great start but definitely needs additional work to be usable in games.