The point is this: Getting micro-timing won’t give us as much entropy as we want, but it will still give us entropy. So it’s a perfectly good yet-another-source of entropy to feed in to an entropy pool (such as the input to a XOF).
If those Coldcard devices had used this code as one source of entropy, and this source of entropy was the only entropy still working, they never would had been compromised.
(I won’t update my 18-year-old PRNG to use this code, of course, since that code is now 18 years old and there are no known weaknesses in said code)