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Subaru, Mazda profits dip; both blame exchange rates

While some larger automakers took a beating on Q4 earnings, some of Japan's smaller operations managed to keep their heads just above water despite currency issues and slumping sales industry-wide. Subaru, which capped off its 11th consecutive year of U.S. sales increases, reported a 42-percent drop in operating profit in the final quarter of 2019; Mazda, which operates on an even smaller scale, saw a 76-percent drop.  Per Automotive News, both companies faced challenges apart from navigating currency exchanges.  Subaru Subaru's 2019 was marred by warranty costs stemming from repairs on high-volume models, including the Impreza and Crosstrek. Despite the drop in profit, company revenues only slid 2.3 percent. The company also says that it has managed to curtail incentive spending, largely thanks to replacement models that needed less help moving out of showrooms.  America remained a bright spot, with 2019 sales volumes increasing by nearly 3 percent over 2018. Subaru is hoping that figure will increase to 4.0 percent in 2020. Subaru's wholesale deliveries also increased in western Europe, but dropped precipitously (28 percent) in the company's home market.  Mazda The smaller Mazda faced similar challenges, but its 2019 lacked some of Subaru's more dramatic bright spots. Worldwide shipments of new vehicles dropped by 8 percent, aiding a revenue decline of 5 percent. Mazda's vehicles remained profitable on a per-unit basis, but only just.  Mazda has been undergoing aggressive cost-cutting measures, but even those were no match for reduced volumes and unattractive currency exchange rates.  Despite these challenges, both companies are keeping their earnings outlooks unchanged. The fourth quarter of 2019 represented the third quarter in both companies' fiscal years, which will end in March.  Related Video: This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. 2020 Subaru WRX STI S209 | POV Drive

2016 Mazda CX-9 First Drive

Automotive enthusiasts tend to obsess over spec sheets. How else could we know which cars and trucks are the quickest in a straight line, hold the road with the greatest tenacity, or tow the biggest trailers? More succinctly, what ammunition would we have in the seemingly endless back-and-forth of Internet forums if it weren't for specifications? Mazda's engineers think they've found a better way. The 2016 CX-9 has less horsepower than its primary competitors. The only engine available is a turbocharged four-cylinder, hooked to a six-speed automatic. Drivers won't miss the 23 horsepower (or more, as we'll soon explain) lost in the changeover from 2015 to 2016, because Mazda applied its holistic Skyactiv approach to the largest vehicle it offers. That means less weight and, ultimately, more fun. Or so they say. Are they right? Yes. And no. Most of the time, in normal on-road driving conditions, the 2016 CX-9 is the most fun you can have with three rows. But the real-world tradeoff didn't go off completely without a hitch. Reasoning that real-world performance is more important than ultimate horsepower, Mazda specified a four-cylinder for its big, three-row SUV instead of a more traditional V6. Let's get those all-important specifications out of the way: All 2016 Mazda CX-9s are fitted with a 2.5-liter turbocharged four-cylinder with 250 horsepower and, impressively, 310 pound-feet of torque at just 2,000 rpm. Unless you decide to use 87 octane, in which case you'll be limited to 227 horsepower. Mazda doesn't think owners will actually notice the difference in power levels, so there's no Premium Fuel Recommended sticker on the back of the fuel door. Mazda utilized some clever turbo trickery to deliver a diesel-like torque curve from its gasoline-fueled engine, which makes the small-displacement powerplant feel lively at low engine speeds. The flipside is that the CX-9 runs out of breath as the needle swings across the upper reaches of the tach. While that simply wouldn't do for a sportscar like the MX-5, in the CX-9 it's not necessarily a deal breaker. One benefit to the downsized engine is that it doesn't guzzle fuel. The EPA rates the CX-9 at 22 miles per gallon in the city and 28 on the highway. Drop one mpg all around for the all-wheel-drive model. Those figures beat out all the CX-9's most natural competitors, including the Honda Pilot and Toyota Highlander. The turbo-four Ford Explorer matches the 28-mpg highway figure, but loses by three in the city.

Feds investigating Mazda CX-9 over suspension problems

The National Highway Traffic Safety Administration is opening a preliminary evaluation into the 2007-2008 Mazda CX-9 because the lower ball joint in the front suspension can potentially separate while driving. An estimated 54,000 examples of the crossover might be affected. The investigation was prompted by six complaints of this happening on the road. Because the complaints are coming more rapidly as of late, NHTSA thinks the issue could be getting worse. The problem also appears to be more prevalent in states that use salt on their roads in the winter. None of the failures caused any injuries, and all but one happened at 20 miles per hour or slower. NHTSA's preliminary evaluations "assess the scope, frequency, and safety consequence" of a potential problem and can sometimes lead to recalls. Related Video: INVESTIGATION Subject : Front Suspension Ball Joint Separation Date Investigation Opened: JUN 09, 2015 Date Investigation Closed: Open NHTSA Action Number: PE15022 Component(s): SUSPENSION All Products Associated with this Investigation close Vehicle Make Model Model Year(s) MAZDA CX-9 2007-2008 Details Manufacturer: Mazda Motor Corp. SUMMARY: The Office of Defects Investigation (ODI) has received six (6) complaints (VOQs) alleging incidents of front suspension LBJ separation in MY 2007 through 2008 Mazda CX-9 vehicles. The reports appear to show an increasing trend. One of the separations allegedly occurred at 40 mph and the other 5 incidents occurred at speeds between 0 and 20 mph. The first VOQ was received in October 2013, followed by 2 reports in late 2014 and 3 reports in the first 5 months of 2015. Four of the VOQs are from states using high volumes of road salts (?salt states?) which, for purposes of this investigation, include: Connecticut, District of Columbia, Delaware, Illinois, Indiana, Iowa, Maine, Maryland, Massachusetts, Michigan, Minnesota, Missouri, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, Rhode Island, Vermont, West Virginia, and Wisconsin. The other VOQs were from northern Virginia, which borders the ?salt state? region, and South Carolina. ODI also identified EWR field report data related to the alleged defect in the subject vehicles. A preliminary investigation is being opened to assess the scope, frequency, and safety consequence of the alleged defect. The six VOQs associated with this investigation are: 10717510, 10714469, 10695142, 10668978, 10640541, and 10546535.