Free Kick & Momentum

[Reffing Rev.]

K is kicking off into a stiff wind. Low squib kick bounces through until one of the R deep players muffs the kick and I start the clock as the ball bounces inside the 5. R recovers the kick at the 1.5 and his momentum carries him into the end zone. I toss my bean bag out to the 1.5. About half of K gives up, R runs it out. K's coach starts screaming, "He can't run it out of the end zone." R return to the 40 and fumbles, K recovers. R's coach rushes down the sideline pointing at the end zone, "that should have been a touchback, you can't run it out of the end zone." I explained, "The kick was recovered at the 1 and carried into the end zone, it was not a kick into the end zone." I wanted to say, "if your kid hadn't fumbled would you be wanting that touchback?"

Since both coaches didn't get it, I ask you, my colleagues two questions:

1st: am I missing a rule here, kick ended at the 1, not a touchback, ball stayed live, right?

2nd: mechanically did I do things correct or could some mechanic thing better communicated the result?