Looking at the graphic above, I don't think that's how it works.
If a candidate polls enough first-choice votes to win the seat outright, they do so and that's it.
If no candidate has reached the winning threshold, the candidate with the least votes is eliminated from the process and all first-choice votes for that candidate are put back in the system - the second-choice votes from those votes only are then allocated, to see if that then gives any candidate enough votes to win. If not, the candidate with the next lowest number of votes is eliminated, etc etc.
I think...