Everyone doing these calculations needs to take a few things into account:

1.) As mentioned above, you don't want to use the full asking price for mats on the GTN. The value of something isn't determined by how much someone is trying to sell it for - it's determined by where the buyers and sellers are meeting. (this is also how you do away with the "just sell the mats" argument - people don't just sit there buying every mat on the GTN... a lot of those don't ever sell).

2.) You need to account for the mats you get back when REing something. If I make a belt and then RE it for the augmentation component, I not only get one component, I get 1-2 mats back. So, it actually takes 2-3 mats per component, not 4.

3.) You need to account for crits in crafting the kits themselves. So, per kit that comes out of this process, you used less than 10 components. If you have a 15% crit chance, then for every 100 components, you end up with 11.5 kits.

Adding #2 and #3 together, you end up with something like (conservatively assuming it's 3 mats per component) 3x100 mats yielding 11.5 kits (and of course, you also use the 400 credit buyable mats).

In terms of farming mats, that ends up being 26 mats per kit. Now, I won't try to put a hard value on the mats, but when you say it costs 26 mats + the piece you can get from the vendor (you need at most 11 of those, so 4400 credits), the price of 35k doesn't seem so low.