Recovery of VMs from DPM 2007 SP1 is as easy as, if not easier than, setting up protection. In the attached document, you will find a walkthrough of how DPM 2007 SP1 makes it possible to seamlessly recover from any of the backed up point in time replicas. In this particular post, we assume that you are already protecting VMs on a standalone Hyper-V host.  The attached document will provide instructions for recovering the protected virtual machines from backup media with DPM 2007 SP1.