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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

Subaru executive casts doubt on manual transmission future

Some disconcerting news for Subaru fans has come out from the Geneva Motor Show. Subaru's U.K. managing director told Auto Express that he doesn't see the manual transmission as having a future at the automaker. He explained that the company is really focusing on safety, and in turn Subaru's Eyesight technology. As a refresher, that system uses stereo cameras to enable features such as automatic emergency braking, lane keep assist and adaptive cruise control. The feature isn't currently available on manual-equipped Subarus, and the executive said he wasn't sure if the system was compatible. And with Subaru's push for safety and Eyesight, he said that continuing to offer manual cars without the system could undermine that push. This sounds dire at first, but we shouldn't panic yet. First, this is just an executive for Subaru's U.K. branch, not for the global company or the U.S., and car companies don't have the same offerings everywhere. For example, the Crosstrek is only offered with a CVT in Europe, but here in America – land of the free, home of the clutch – Subaru offers a six-speed manual. So, while it is possible that certain regions will have reduced or no manual options, that doesn't mean it would be across the board. View 22 Photos And even if Subaru decided it would phase out manual transmissions on most of its mainline cars, as it did with the Legacy, we can't imagine the company abandoning the transmission for its performance cars. WRX and STI fans would riot in the streets, possibly on their way to buy a next-generation Focus RS or Golf R, and the BRZ, a car built around the idea of driver engagement, wouldn't survive in a market with the Miata. Subaru may want to improve safety, but they're still a for-profit company, and sales of its performance cars would surely tank without a manual option. One more reason not to fret is that, while Subaru doesn't currently have a manual-compatible suite of semi-autonomous safety features, that doesn't mean it's impossible. As it so happens, Mazda offers low-speed automatic emergency braking as a standard feature on all its models in every trim. Mazda also has higher-speed emergency braking, lane keep assist and adaptive cruise control as options, and they are compatible with manual transmission cars. You can order up a top trim Mazda3 Grand Touring with a manual transmission right now. Keeping all this in mind, we think it's highly unlikely that Subaru will abandon the manual transmission.

'Kingsman' Subaru WRX isn't your typical rear-engined stunt car

The Subaru WRX has been a hot choice for movie cars as of late. The most popular is the rear-wheel-drive Subie from " Baby Driver," of which two stunt car examples have been sold off. But a lesser known appearance was in the movie "Kingsman: The Secret Service." Now the car used in that film is up for sale, and it's got a custom twist we've never really seen before. As the photos show, this is no ordinary WRX. Although the exterior looks like any other car, the secrets are held within. Open the trunk and there lies the engine. Look inside the cabin and there are not one, but two separate steering wheels: one in the normal right-hand-drive spot for a U.K. car, the other in the rear passenger-side seat. For those who have seen the movie (if you haven't, we recommend it), it should have clicked by now why the car has this setup. For those who haven't, there is a fairly simple explanation. In one of the scenes, the main character is seen escaping the police by driving the car backward through a narrow street at a high rate of speed. Rather than trying to accomplish this task by actually driving the car backward, the movie makers apparently cut off the body of the WRX, flipped it 180 degrees, and reattached it. So, the steering wheel that appears to be in the normal spot is actually an imposter added after the fact. The real driver's seat, steering wheel, six-speed gearbox and pedals are the ones seen in the rear seat facing the trunk. According to the seller, there are several other additions to the car, which is claimed to be an STI Spec D. The seller says the engine has several upgrades to the engine, as well as a welded-in roll cage. The car apparently does not start with the key but was bump started and ran okay. Though listed on eBay, this is not an auction. The seller has posted the car, which has 67,000 miles on it, for GBP5,950.00 (about $7,605). He also claims to have two other Subarus that were used in the movie. This would be a perfect car to charge for appearances at local events and parades. Just beware of the gremlins that are sure to pop up. This content is hosted by a third party. To view it, please update your privacy preferences. Manage Settings. Related Video: News Source: eBay Auto News Weird Car News Subaru Car Buying Used Car Buying Special and Limited Editions Performance Sedan eBay movie cars sti