If you buy the iron ingots and leather from the merchants in order to make a bajillion iron daggers and hide bracers just to level up smithing, then YES, you are going to lose money on the deal. Iron Daggers and Hide Bracers do not yield a lot in selling, so you end up spending coin to level smithing. It is eventually worth it in the end, since you will have the ability to craft the best gear.Its not the money I am after, would just like to improve my smithing perk without blowing all my cash!
Thanks for the reply's
On my third playthrough I will go for a wood elf and focus on stealth/archery/light armour
Money is so easy to come by that I would never waste perks for financial gain.