Hey Stuart,
Please ==always== advise us if/when you're using a version of Keyboard Maestro that is not the most current.
What version of macOS are you using? (I asked before.)
See this macro to make it easy to insert KM and macOS version info:
Paste Keyboard Maestro Version and macOS System Version
Personally I would never use an old version of Keyboard Maestro, unless I needed to for compatibility.
A) I want Peter to have upgrade money, so he can afford to keep developing Keyboard Maestro.
B) I want any and all improvements made to Keyboard Maestro.
If Peter's test above doesn't illuminate what's going on, I advise you to create a new user and install the Keyboard Maestro 9.2 Demo on it.
Run your test macro and see what happens.
-Chris