2008 Mitsubishi Eclipse Gs on 2040-cars

Auto blog

Mitsubishi reports an 89% drop in annual profit

TOKYO — Mitsubishi will focus on cutting fixed costs by 20% or more in the next two years after reporting an 89% drop in annual profit, its weakest performance in three years, and skipping its year-end dividend. The coronavirus crisis has exacerbated Mitsubishi's struggles in a year where Japan's sixth biggest carmaker was already battling falling sales in China and also southeast Asia, its largest market which accounts for one-quarter of sales. Mitsubishi also said on Tuesday it would focus on growth in ASEAN countries to survive the aftermath of the pandemic. "Before the virus we had been mulling which underperforming regions and vehicle segments to cut our exposure to," CEO Takao Kato told a results teleconference. "In the wake of the virus, we need to pick up the pace of making these changes. To stay competitive in a post-coronavirus market, we need to immediately shrink our area of focus to regions and segments in which we excel." Global automakers are struggling to cope with the crisis, which has pummeled car sales due to lockdowns in many countries. Many automakers have begun to restart vehicle factories, but anemic demand, supply chain disruptions and social distancing measures at factories are expected to limit output. Mitsubishi's operating profit came in at 12.8 billion yen ($119.21 million) for the year to end March, down from 111.8 billion yen a year ago, and its lowest since the year to end March 2017. Profits exceeded a consensus estimate of 9.4 billion yen profit drawn from 15 analysts polled by Refinitiv. The automaker did not give an earnings forecast for the current business year, and did not issue a year-end dividend, compared with 10 yen per share a year ago. The junior member of the automaking partnership between Nissan and France's Renault, sold 1.13 million vehicles globally in the year ended March, down 9%. Mitsubishi will focus on growth in southeast Asia as part of the alliance's plan for each company to expand in their regions of strength. Mitsubishi said it would give more details when it reports first-quarter results. The alliance is expected to announce a revamped strategy on May 27, when it will pledge to increase cooperation to improve joint operations to remain competitive. Related Video:

2018 Mitsubishi Eclipse Cross arrives in the U.S., pricing starts at $24,290

The first shipment of the 2018 Mitsubishi Eclipse Cross has arrived in the United States. Mitsubishi's new all-wheel drive compact crossover will go on sale in showrooms in early March with a starting price of $24,290, including a destination charge of $995. The Eclipse Cross debuted last year at the Geneva Motor Show with design cues borrowed from the XR-PHEV II Concept from 2015. The exterior design, which Mitsubishi says is inspired by a runner in the "Get set" position, includes a forward-raked rear window, wedge profile and deep side crease. Its starting price slots it just below competitors like the Honda CR-V and Hyundai Tucson, and it will come in four trim levels. Those include the base ES, which is the only trim available with front-wheel drive. Adding all-wheel drive, or S-AWC in Mitsubishi speak, adds only $600 to the base price. The LE S-AWC trim starts at $25,890 and the range-topping SE S-AWC starts at $27,390, though neither are eligible for options, so those are pretty much the prices customers will be dealing with. All trim levels are powered by a direct-injection turbocharged 1.5-liter inline-four that makes 152 horsepower and 184 pound-feet of torque. The S-AWC acronym would stand for Super All-Wheel Control, Mitsubishi's system that manages torque supplied to each wheel for added straight-line stability and cornering performance. It offers three selectable driving modes — auto, snow and gravel — to enhance performance. Safety technology includes blind-spot warning and lane-change assist, forward collision mitigation and lane-departure warning, plus a system that automatically adjusts headlight brightness to the conditions. Interior features include an available 7-inch infotainment display with a touchpad controller, Apple CarPlay and Android Auto, plus voice recognition via Google Assistant or Siri. There's also a full-color LCD head-up display available. A dual-pane sunroof and heated rear seats are some of the other niceties. The Eclipse Cross joins the brand's stable of crossovers, the Outlander and slightly smaller Outlander Sport, which helped Mitsubishi to a banner year in 2017, selling more than 100,000 vehicles for the first time in a decade. It also joins the Outlander PHEV, also new for 2018. Related Video:

Carlos Ghosn's arrest casts doubt on future of Renault-Nissan alliance

For years, France's Renault and Japan's Nissan struggled to make money in the global auto business. Then came Carlos Ghosn, a Renault executive who helped to orchestrate an unprecedented transcontinental alliance, combining parts of both companies to share engineering and technology costs. Now Ghosn's arrest in Japan for alleged financial improprieties at Nissan could put the nearly 20-year-old alliance in jeopardy. Ghosn, 64, born in Brazil, schooled in France and of Lebanese heritage, is set to be ousted this week from his spot as Nissan chairman. He could also lose his roles as CEO and chairman of Renault, threatening the alliance formed in 1999 that's now selling more than 10 million automobiles a year. He's been "the glue that holds Renault and Nissan together," Bernstein analyst Max Warburton wrote in a note to investors. "It is hard not to conclude that there may be a gulf opening up between Renault and Nissan." In fact, Nissan's investigation into alleged misconduct by Ghosn is expanding to include Renault-Nissan finances, sources told Reuters — in a further sign that Nissan may seek to loosen its French parent's hold on their global carmaking alliance. Nissan told Renault's board on Monday it had evidence of potential wrongdoing at Renault-Nissan BV, the Dutch venture overseeing alliance operations under Renault's ultimate control, three people with knowledge of the matter said. Renault's board planned to meet Tuesday to discuss Ghosn's fate. "Carlos Ghosn is no longer in a position where he is capable of leading Renault," French Finance Minister Bruno Le Maire told France Info radio, calling on Renault's board to meet "in the coming hours" to set up an interim management structure. The French government owns 15 percent in Renault and has a say in its operations. Nissan's board is to meet Thursday to consider Ghosn's fate. Nissan has said it will dismiss Ghosn after he was arrested for allegedly abusing company funds and misreporting his income. That opens up a leadership void at the entire alliance, for which Ghosn officially still serves as CEO and chairman. Ghosn added Mitsubishi to the alliance two years ago after the tiny automaker was caught in a gas-mileage cheating scandal. Renault owns 43.4 percent of Nissan, which owns 15 percent of Renault, with no voting rights in a partnership that began in 1999. Since 2016, Nissan has held a 34 percent controlling stake in Mitsubishi Motor Corp.