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Subaru profits fall by half last year among recall maladies

Subaru took a financial beating last year, according to its freshly released earnings report. During the full fiscal year, which ended March 31, the carmaker's operating profits effectively halved. Net income dropped 33% to 147.81 billion yen, or $1.33 billion, and revenue fell 2.2% to 3.16 trillion yen ($28.5 billion). Subaru states that its operating income declined by 48.5% to 195.5 billion yen, or to about $1.78 billion. According to Subaru, this was not only due to a decrease in sales, but also due to recall campaigns. Total production decreased nearly 6% to 989,000 units, and production stoppages at the Gunma plant were partially to blame for that — but Impreza, XV and Levorg sales also sank. The redesigned Forester did start out well in the summer, but sales in the first half of 2018 were more modest with the outgoing generation still in the showrooms. The Gunma manufacturing plant, Subaru's sole factory in Japan, ground to a halt in January 2019 to remedy issues with Forester, Crosstrek and Impreza electric power steering units, and that cost Subaru nearly 10 days of production, corresponding to around 30,000 vehicles. Earlier, there was a 500,000-vehicle recall in Japan due to fraudulent final inspections. Automotive News also lists other recent Subaru maladies, such as a low-fuel warning recall and stop-sale for all U.S-market Outbacks and Legacys, and the earlier, global recall to repair valve springs on the boxer engines of 411,000 vehicles. This particular recall hasn't been problem-free, as there have been cases where subsequent engine failures on BRZ models have been suspected of having been caused by slapdash recall work. There is also a new, large-scale recall in the horizon for Subaru, as a brake light issue on 2008-2017 vehicles necessitates the recall of some 2.3 million vehicles. However, it's not all bleak for Subaru, as U.S. sales are going strong. The carmaker predicts 2019 will be the 11th straight record year, and U.S. retail sales climbed 7.7 percent in April, which was the 89th consecutive month with increased sales. But still, not all Subaru markets are equal: On the North American market, Subaru sold 717,000 vehicles during the past fiscal year, an enormous percentage of its total sales. News Source: Subaru via Automotive News Plants/Manufacturing Recalls Subaru

The Subaru BRZ tS is back for 2020 — most of it, anyway

We had a feeling the Subaru BRZ tS was coming back not too long ago, and now it’s officially available again for the 2020 model year. This time Subaru is limiting production to 300 units, instead of the 500 we saw built for the 2018 model year. The price is also $1,960 cheaper than the 2018 car, listed for $32,395. That makes it only $650 more than a BRZ in Limited trim. So really, itÂ’s looking a fair bit more attractive than it ever has.  Subaru did take one thing away, though. The 2020 tS eliminated the massive dry carbon adjustable rear wing, replacing it with a shorty spoiler of sorts. WeÂ’re guessing the carbon fiber wing was a rather expensive piece. Everything else carries over, so that means you get the STI-tuned Sachs dampers and springs, STI engine V-brace, draw stiffeners in the chassis and subframe, plus larger Brembo brakes (four-piston in front, two-piston in rear). Michelin Pilot Sport tires wrap 18-inch bronze wheels, and itÂ’s only available in a new Ceramic White paint — the previous tS offered three colors. We also received word of small changes coming to the 2020 WRX and STI. The performance package for the WRX has been massaged a bit, and it adds a big Brembo brake package (as opposed to just high-performance pads) to the list of equipment included. The Recaro buckets, power-driver seat and moonroof delete are still included, but the package costs $2,850 now, versus the $2,050 price for 2019. If an STI is more your flavor, know that it gains keyless entry and push-button start for 2020. Subaru also redesigned the engine bay cooling ducts for better cooling, and added a new dark gray wheel option. The cheapest WRX comes to $28,395 now and the cheapest STI will run you $37,895. Those prices constitute modest bumps of $300 and $400 respectively when compared to the 2019 model year cars.

Refreshed Toyota 86/Subaru BRZ spied running around the Nurburgring

The Toyota 86 and Subaru BRZ are officially confirmed for a second generation, but it looks like this current car will not go softly into the night. One of our spy photographers just caught a camo’d up BRZ/86 pounding around the Nurburgring with a few changes in store. This tester only has camouflage on the front and rear of the car, indicating a light refresh is the extent of the styling changes. In examining the car as a whole, itÂ’s a rather conflicting tester. Both the grille and headlights tell us itÂ’s an 86, but the badge on the rear clearly says “BRZ.”  The Toyota 86 has a different grille than the BRZ, and we can see that style grille flanked by some massaged vents on both sides. Toyota uses a different style of headlight for the 86, and these look similar to those used in the current car. New front-design features are covered up by the camouflage, but the sheet metal doesnÂ’t appear to be changing. Another area of potential change is at the rear of the car. More camouflage on the trunk lid covers the obvious BRZ badge and the taillights. We donÂ’t see much in the way of differences between the taillights on this model and the current BRZ/86 twins, but the manufacturer obviously wants to keep something secret back there. What weÂ’re most excited about is seeing the extra vent behind the front wheels. Current BRZ and 86 trims donÂ’t feature such intense cooling additions. Above it sits what appears to be a badge or protrusion of some sort. The window-level badging is still visible under the wrapping, but the tire-level badge is a new one — itÂ’s similar to the design we see on the WRX and WRX STI.  All things considered, this one is a little confusing. Subaru could be adopting a more Toyota 86-esque design, but we suspect a special edition is in the works. Hopefully it involves more than just design tweaks, and gives this model a hearty send-off before the new generation arrives.