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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

Five vehicles named Top Safety Pick+ including new Civic, MKZ

In an attempt to help push vehicle safety to a higher level, the Insurance Institute for Highway Safety created a stricter Top Safety Pick+ rating last year, which incorporates a brutal small overlap test and requires cars to get Good ratings in four out of the five categories (and no less than Acceptable in the fifth). Joining the list of the safest cars of 2013, the 2013 Volvo XC60, Lincoln MKZ, Honda Civic (sedan and coupe) and the 2014 Mazda6 have all received the coveted TSP+ rating.
The Mazda6 and Lincoln MKZ have both been completely redesigned, and both received Acceptable ratings in the small overlap test. The Honda Civic, coming off its emergency refresh for 2013, is the first small car to be subjected to the small overlap test, and IIHS says that one of the car's many upgrades includes a stiffer front structure allowing it to receive Good ratings in all categories. Similarly, the XC60 gets all Good ratings thanks to, according to IIHS, Volvo updating the airbag software allowing the side airbags to inflate during the small overlap test.
The 2014 Subaru Forester has not yet been subjected to the small overlap test, so it must make do with just a Top Safety Pick rating until the IIHS tests small utility vehicles, which is expected to happen later in the spring.

Mazda says Skyactiv-X will come to the U.S, but not when

Mazda executives say the new 2.0-liter Skyactiv-X powerplant will still take some time to arrive to the North American market. The Skyactiv-X is a high-compression gasoline engine, and its 16:1 compression ratio is comparable to that of a diesel engine. "We have a lot of technology. And we are introducing each technology in each region when the time is right," said Mazda North America CEO Masahiro Moro at the SAE International WCX Conference, according to Automotive News. Moro stated that while the Skyactiv-X can indeed pass EPA emissions regulations, it's not in the immediate pipeline for U.S-bound Mazdas; the slightly less hardcore Skyactiv-G will be amended first. The launch-spec 2.5-liter Skyactiv-G engine in the new Mazda 3 will reportedly be supplemented by a 2.0-liter Skyactiv-G, which also has a bold compression ratio: according to Mazda, its ratio of 14:1 is the highest of any production gasoline engine. However, Moro didn't state the exact timeline for that Skyactiv-G's arrival, either. The compression ratio of the 2.5-liter "big block" available now is 13:1. In the 2019 model-year Miata roadster, the 2.0-liter Skyactiv-G makes 181 horsepower, and an earlier Slovakian Euro-spec leak mentioned the 2.0-liter 3's power figure at 164hp. The bottom line is thermal efficiency through being able to extract more energy out of gasoline, and moving from G to X would improve fuel economy by 20-30 percent while giving more power. If the Slovakian specifications are to be believed, the Skyactiv-X would make 178h p and 164 lb-ft in the Mazda3.