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Ok I solved it. My receiver has only one optical input. By default the HDMI ARC takes over that one input (we never use that feature so I wasn't aware of it). I was able to switch the ARC to commandeer a different (unused) input and now the optical works great. Sorry for the confusion everyone...

Thanks I thought of trying that (TV is my only other device with optical out). Of course the tv is too far away from the receiver to reach. I'll grab another cable to test.

Thanks. Have triple checked the receiver input js set to the correct one and have tried all permutations of SPDif settings. I've disconnected and reconnected the cable a few times, but still no luck. Definitely seeing the red light coming out of the Wiim. I guess I can try getting a different...

Any luck? Just got my mini and can't get sound from SPDif on my Yamaha rx-v385. Line out to an rca input on the receiver is working fine. Ive rebooted everything and verified output set to SPDif. Can't even hear the test tones when trying different SPDif settings.