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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

We go Unplugged to celebrate Mazda Miata Month

Chances are good that you, loyal Autoblog reader, have long since chosen to follow us on Twitter and 'like' us on Facebook. (If you haven't, feel free to take a second and do so right now.) Anyway, if you're one of our social media posse, you might have already heard that we're smack dab in the middle of Miata Month. We've gotten Mazda to loan us a couple of MX-5 Miatas, allowing us to say a protracted, tear-filled goodbye to the current generation (NC) of the beloved roadster, just before it exits stage right and ushers in the next generation.
You'll see a few more Miata Month items here on Autoblog after we've said our final farewell, but we absolutely wanted to make sure we created some great video evidence of our month, as well. Right down below, then, in its unfiltered-audio splendor, is the Autoblog Unplugged version of the 2015 Mazda MX-5 Miata PRHT. Your author had a pretty great time wringing out the roadster for the creation of our short vid, and we really hope you dig listening along.

Mazda explains the thinking behind the MX-30's small battery pack

Mazda's first production-bound electric car, the MX-30, relies on a 35.5-kilowatt-hour lithium-ion battery pack for power. That's relatively small, but the Japanese firm argued it's exactly what the model needs to let motorists drive electric while keeping their environmental footprint in check. Christian Schultze, head of Mazda's European research and development center, told Automotive News Europe the MX-30's battery is responsibly-sized. He explained engineers took a variety of factors into account when debating kilowatt-hours, including how much energy is required to build the pack, how much electricity is needed for a full charge, and the environmental impact of replacing the battery, which Mazda expects could be necessary after the MX-30 has covered about 100,000 miles. Sticking with a smaller pack yields total CO2 emissions on par with a turbodiesel-powered Mazda3. In contrast, using a 95-kilowatt-hour battery (which is close to what Tesla's bigger models use) would have increased the MX-30's life-long CO2 output considerably by requiring more energy to build, and needing far more electricity to achieve a 100% charge. We're not quite sure that math or battery longevity assumption hold up under scrutiny. In any case, small is the direction Mazda decided to go. The trade-off is that the MX-30 (pictured) is expected to drive for about 124 miles between charges, and that figure was achieved on the hugely optimistic WLTP testing cycle; real-world mileage will be lower. That's hardly a jaw-dropping number, and the crossover doesn't qualify for the coveted long-range label, but Schultze told British magazine Autocar it's more than enough to cover the daily transportation requirements of the average European motorist, which stands at a total of 31 miles. That's significant, because Europe will be one of the MX-30's key markets. Deliveries are scheduled to begin in early 2021. Mazda hasn't announced whether it will sell the MX-30 in the United States, or if it will wait until it has a longer-range electric car to enter the segment.