Generally yes, the Surface test functions designed to detect, reveal and improve the disk status in all possible ways.
However, from a disk drive which had 0% health, I'd not expect too much. It is possible that it can be improved slightly (as you can see) but it will never work as a perfect disk drive.
I'd recommend to use the tests in order to attempt to make the drive stable. If you can achieve that all blocks in the surface test will be reported as green (no yellow or red blocks) then the drive may still be useful, even if its health is low. But considering the problems and the currently low health, I'd never save important, mission critical data on it.
Please check the Support -> Frequently Asked Questions -> How to repair hard disk drive? How to eliminate displayed hard disk problems?
( https://www.hdsentinel.com/faq_repair_hard_disk_drive.php )
page for generic information about how to repair.
If you use Report menu -> Send test report to developer option, I can check the actual status of the disk drive and assist - if things can be generally further improved.