You do know Very Hard halves the final damage taken by NPCs right? If you're actually dealing 70 damage a shot on Very Hard, you'd be hitting for 140 on normal. That said, apparently the explosion grpahic ruins it's damage in VATS, but it should work properly in real time.
Like I said, I do know it works perfectly fine in real time. However, that being said, I'd like for it to work in VATS as well.
Is that so hard to express, or is everyone going to keep floundering about how using VATS is bad?