Report: Nintendo Denies OLED Profit and Any More Iterations

[mjk45]

padib said:

IcaroRibeiro said:

I agree they aren't making 40 USD more profit from OLED, but to say this won't increase their profit margins is disingenuous

They are telling us point blank that it won't increase their profit margins, probably because those are the numbers of price versus cost.

Not sure why you would think it's disingenuous, what motivations and what numbers did you have in mind?

They may even be reducing their profit margins due to new costs of parts, manufacturing, distribution and marketing. All we know is that the profit margins won't be increasing versus the old model.

Also, it may be advantageous for them to announce an increased profit margin to investors, so I'm not sure what's disingenuous.

The fact is it's a PR statement not a financial statement and doesn't rule out the OLED switch being more profitable just that we won't see an increase in the Switches profitability and it could be linked to other factors like scale of manufacture uptake etc and since the wording is vague it may be linked with the switch's projected overall earnings.