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Forums - Nintendo Discussion - Nintendo makes $6 from every Wii sold

the Article say Operating Profit of $6
here is a definition I found of operating profit:
operating profit Finance Definition
A financial measurement that is calculated by subtracting sales, general, and administrative expenses (SG&A) from gross profit. Operating profit shows how much money a company has to spend in order to sell its goods. It is an indicator of profitability.

Nintendo can make more on each unit sold just by subtracting the cost price.



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that BS sorry they make way more than that.

to manufacture it should go more than 200$ and maybe 150$



Could be true with the shitty dollar and strong yen. I wouldn't call that untrue.



Darc Requiem said:
I'm not buying it. At launch the cost estimate for the Wii was $180.

 This. I just can't believe they make so little now, when they have admitted to making $40-80 per console sold about a year ago.



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matt247 said:
SHMUPGurus said:

Actually, here's a more accurate one:


Why is it printing US dollars? Shouldn't be printing yen or Euros

OK, fine...!



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Darc Requiem said:
I'm not buying it. At launch the cost estimate for the Wii was $180.

im not buying it too.....nah $200 at launch not $180

 

 

 

While Microsoft and Sony have experienced losses producing their consoles in the hopes of making a long-term profit on software sales, Nintendo reportedly has optimized production costs to obtain a significant profit margin with each Wii unit sold. According to the Financial Times, this direct profit per Wii sold may vary from $13 in Japan to $49 in the United States and $79 in Europe.



SHMUPGurus said:
matt247 said:
SHMUPGurus said:

Actually, here's a more accurate one:


Why is it printing US dollars? Shouldn't be printing yen or Euros

OK, fine...!

 

Much better, you couldn't spot me a couple could you Moto?  I'm a bit short...



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SmokedHostage said:
konnichiwa said:
Probably more now?

Article was released today so it should be accurate..

 

 

 =p Crap thought 12 January;






famousringo said:
"Nintendo's strategy is to buy inexpensive components instead of making them in-house, allowing the Wii to sell for $260 while the PS3 costs $300."

I'm going to go with Forbes not having a clue what they're talking about.

This is truly sad for a site that is supposed to be full of financial experts.  I guess that's why we are in this mess. 



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This depends on exchange rates which are really volatile lately. One thing's for sure, those exchange rates are killing the profit margins even for Nintendo.



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