Replication and use of Avamar SQL agent backups

Our DBA is using a combination of FULL and Incremental SQL agent backups with FULL running once per day and Incrementals running hourly.

Replication policy is limited to 1 day which includes 19-22 backups, most of which are Incrementals.  Replication reports progress through the full database size for every backup (full or incremental) requiring a very long time.

I assume even though the incremental backup replication crawls through the full backup, only incremental data is transmitted and not a "rehydrated" full. When I check the backup on the target size, it is listed as Incremental but shown as the size of the full database.

Does an incremental on the target side need to most recent SQL FULL backup to be useful from the replication target side?