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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

Toyota will build new SUV at Alabama plant it's building with Mazda

WASHINGTON — Toyota Motor Corp said Wednesday it will build a new sport utility vehicle at its $1.6 billion joint venture assembly plant in Alabama rather than produce Corolla cars. The largest Japanese automaker announced in January 2018 it would build the factory in Alabama in a joint venture with Mazda. Toyota said the shift is due to "a growing consumer appetite for light trucks and SUVs." Mazda announced in February 2019 that it would build a new SUV at the plant. Toyota said it still expects the plan to start production in 2021. Construction remains on schedule, and hiring has begun. The plant could create up to 4,000 new jobs and build 300,000 vehicles annually. Corolla production will remain at Toyota's plant in Blue Springs, Miss.

Leaked images show digital gauge cluster for Mazda3

Most everything divulged about the 2019 Mazda3 so far has focused on the trick Spark Controlled Compression Ignition (SPCCI) Skyactiv-X engine. If a series of photos posted on a Chinese website are accurate, it looks like Mazda has novel plans for the cockpit as well. The three images show a three-color, all-digital gauge cluster in two different configurations. The first configuration places a three-digit speedo in the center of a blue-ringed tachometer, with gear indicator and water temp displays on the left, fuel range calculator and what appears to be a funky clock on the right. The second configuration splits the tachometer to the left and the speedo to the right. In between them is what looks like a road surface display for automatic cruise control. Trip info lies just under the blue-banded road, while water temp, fuel gauge, gear indicator and range info line up across the bottom. A swath of empty space on the left could be where Mazda's relocated the current car's passel of warning signals. Of note: Everything around the digital gauges appears to come straight from the current Mazda3. The instrument panel surround, the steering wheel and buttons, the stalks, all of it is lifted from today's car. If the photos are what's headed our way on some trim of the 2019 Mazda3, though, they show a clean, handsome evolution of the no-nonsense cluster in the current compact hatch. Mazda's worked up a head of good press on the run-up to the Mazda3 launch for both the engine and the dynamics. We're told we'll get between 10 and 30 percent more torque from the 2.0-liter SPCCI Skyactiv-X, and about 25 percent better fuel economy compared to today's 2.0-liter Skyactiv-G. Handling-wise, the jinba ittai philosophy — horse and rider as one — has led to engineers reworking everything from tire sidewall stiffness to multi-contoured torsion elements and the mounting and shape of the seats. The hatchback's torsional stiffness climbs by 30 percent, any excess rigidity countered by 7.5 meters of "matrix resin material" applied in 16 places on the body "to absorb vibration and dissipate it as heat." The point has been to eliminate dynamic static between the driver and the road, and then to give the driver the best natural seating position to take advantage of the body's reflexes to dynamic input. At the same time, this digital gauge cluster might also give that driver something tasty to look at. Related Video: