It's not you reading it wrong; I didn't explain myself properly. Also, thinking about it a bit more, I might be not entirely correct...
With smaller flashlights, such as single lithium cell or couple of AA's, there is not a chance. Especially not with an LED. Not a cat in hell's.
With more powerful ones, maybe, but I do mean powerful, and well collimated.
I actually tried once with a six D-cell maglite. I thought of it because I could feel the warmth of the beam on my hand. It just didn't work though.
One problem is focusing the beam to a small enough spot to concentrate the heat energy. Sunlight is easy to focus to a point because its light is near enough a parallel beam because the source is distant. The flashlight bulb isn't and simply won't focus to a small point to concentrate the energy.
I've just tried with a 200 lumen LED flashlight, using a good 4" glass lens, on the back of my hand. Managed to get a fairly small circle but no warmth.
I also tried with a 20W halogen lamp on my desk next to me, way more powerful than most flashlights. Simply couldn't get that to focus at all.
Now, if you have a high power flashlight, that's well collimated into a long-throwing beam, like the really expensive surefire tactical jobs, then maybe, just maybe, it might be do-able. I wish I had one to try it out - any volunteers??? I'm betting it still won't work though.
My 'tinder' of choice would be finely powdered potassium permanganate (2 parts) and icing sugar (1 part) well mixed, because it lights really easily from a lens.
I the only ways to use a normal flashlight to light a fire are:
1. Use wirewool to short the cells, or improvise a fuse wire and wrap that around some good tinder.
2. If it's got a good sized reflector, suspend some tinder at the focal point (where the bulb is usually) and point it at the sun.
3. Wrap some good, preferably dark/charred tinder around the bulb. Might get hot enough to ignite before the bulb burns out from overheating.
4. Carefully break the bulb's glass off and use the filament to light your tinder - be quick, it'll burn through quickly.
5. If you've got unprotected, rechargeable lithium cells, reverse-short them, put them in your fire bundle and run away.