Most of WafflePool's variance seems to come from Litecoin mining these days - profitability peaks and valleys particularly when we have good/bad luck at finding litecoin blocks..

Yup - and now Alpha-t says they are going to up their promised MH/s to match competitors (aka KnC).  This is going to be an interesting year for scrypt for sure.  I wasn't expecting 100MH devices until sometime next year.