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POE said:
Soundwave said:
POE said:
800 million is not so much when you consider that this year they will make like 600 million.


Not sure where you're getting that number from. 

Nintendo's forecast for this fiscal year (ending March 2015) is $254 million in profit, the bulk of that coming from a favorable currency flucuations (yen/dollar), also all the Wii U's they sold for most of this fiscal year where pure profit because they were manufactured for the previous fiscal year (Nintendo simply couldn't sell them then, and took a book loss on their manufaturing last fiscal year). That's a bit of an anamoly that won't happen again. 

Nope. They expect to make $254 million in operational profit. Net profit are expected to be something like 600 million.


That's incorrect. Operating income will be $169 million (forecast). Net income will be $254 million.

A huge disparity between operating income and net income isn't good because it inidicates you are making money, but only because of external factors (like currency flucuation and layoffs) not because of your actual core business (video game sales). That's why investors tend to look more closely at the operating income figure, because it's a more accurate look at a company's actual health/performance. That's also why you may recall Nintendo's stock price got rocked last week, because Nintendo downgraded their operating profit number signficantly for the fiscal year.