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Subaru profit climbs 48% on strong crossover sales in first quarter

TOKYO — Subaru reported a 48% increase in first-quarter operating profit on Monday as global sales grew, led by demand for the Ascent and Forester SUVs in the United States. The smallest of Japan's major automakers posted an operating income of 92.2 billion yen ($870 million) for April-June, versus 62.1 billion yen a year earlier and an average estimate of 65.6 billion yen from eight analysts polled by Refinitiv. Sales in the United States, by far Subaru's biggest market, rose 20%. It accounts for about 60% of Subaru's overall sales. The maker of Legacy sedans and Forester SUV crossovers maintained its forecast for operating income at 260 billion yen for the year to March 2020, up 45% from a year earlier. The previous fiscal year was marred by a string of recalls, production stoppages and inspection improprieties that cut the automaker's earnings in half. Subaru reiterated its annual forecast for global sales of 1.06 million vehicles. It also left unchanged its assumption that the yen will average 110 against the dollar over the course of the fiscal year, versus 111 last year. A stronger currency eats into profits because cars exported from Japan become more expensive and the value of earnings made overseas decreases.

2016 Subaru WRX makes IIHS TSP+ fun

We write about boring, utilitarian compacts being named to the Insurance Institute for Highway Safety's Top Safety Pick+ list pretty regularly. Today, we've got yet another fun car to add to the tally – the Subaru WRX. Thanks to the inclusion of the company's impressive EyeSight active safety system, the WRX was able to score a "Superior" rating on IIHS' frontal crash prevention test, which is the highest score possible. Vehicles are required to score at least an "Advanced" rating to earn the TSP+ mark. In addition to the active safety system, TSP+ vehicles must also record "Good" ratings across the four basic crash tests – front, side, rear, and rollover – and a "Good" or "Acceptable" rating the small-overlap crash test. Of course, Subaru is no stranger to IIHS' biggest honor – the Legacy and Outback were named Top Safety Pick + vehicles in April 2014. We're still scouring the Internet for the actual crash test video from IIHS. Once we uncover it, we'll update this post. Until then, scroll down for the official press release from Subaru. 2016 Subaru WRX Awarded IIHS' Highest Standard of Safety "2015 TOP SAFETY PICK (TSP) +" ? "EyeSight" achieved the highest possible rating of "Superior" for front crash prevention. ? Seven models have earned 2015 safety awards from IIHS. Tokyo, September 14, 2015 - Fuji Heavy Industries Ltd. (FHI), the manufacturer of Subaru automobiles, today announced that the Insurance Institute for Highway Safety (IIHS; a nonprofit organization supported by auto insurers in the US) has awarded the highest standard of safety, 2015 TOP SAFETY PICK+ (TSP+) along with the highest possible rating of "Superior" for front crash prevention to the 2016 Subaru WRX (US specs.), equipped with Subaru's EyeSight* driver assist technology. By adopting the EyeSight for 2016 model, WRX earned 6 of 6 points for front crash prevention. Including 2016 Subaru WRX, Subaru has seven models that have earned 2015 safety awards from IIHS - six with TOP SAFETY PICK+ and one with TOP SAFETY PICK. The EyeSight was the first system ever to use only stereo camera technology to detect the objects such as vehicles, pedestrians and cyclists. Since its Japanese debut in May 2008, features available on this system have been highly praised; they included pre-collision braking control and all-speed range adaptive cruise control tracking function.

2018 Subaru Crosstrek First Drive | Tall in stature, short on power

When the first-generation Subaru XV Crosstrek launched a few years ago, I was skeptical that more ground clearance and fender flares is all it would take to get more buyers. But sell it has. According to Subaru representatives, it's the company's third-best-selling line, and is second in the country for compact and subcompact crossover sales (first is the Jeep Renegade). Most Crosstrek sales are in America - 60 percent of them. So if lifting an Impreza can yield such impressive sales results, it's no surprise that Subaru kept the formula the same for the new Crosstrek. The end product is served well by all the improvements to the new-generation Impreza, while equally hampered by its issues. One of the few ways the Crosstrek is distinct from the Impreza is on the outside. Though the main body is the same, the front and rear bumpers are a little chunkier, and the front grille is different. It also features the tried-and-true addition of black plastic fender flares to signal its crossover and dirt road intentions. Every Crosstrek comes standard with roof rails and alloy wheels with a machined finish and black-painted accents. Those wheels are available in either 17- or 18-inch varieties. The body sits atop a raised suspension that brings ground clearance up to an impressive 8.7 inches over the Impreza's 5.1 inches. That also matches the Jeep Renegade Trailhawk for clearance. The Crosstrek's fresh bod is propelled by the same 2.0-liter flat-four as the Impreza, which, at 152 horsepower, makes four more ponies than the old engine. Torque remains the same at 145 pound-feet. The engine, which Subaru says is 80 percent new, is much less coarse and clattery than its predecessor, letting more of the pleasant boxer engine's rumbling noises through. You'll likely hear those noises plenty, because you'll need to work the car hard to get anywhere. Just as we found in the Impreza, what power the engine makes is all high in the rev band. And even when you're in the meat of it, it still takes an agonizingly long time to get up to speed. There were a number of overtaking episodes on two-lane roads during the test drive, and each was a nerve-wracking experience. Even with the foot to the floor, the Crosstrek took the tortoise's approach to forward momentum, and I was constantly fearful of a hare coming up the other lane. Brutally slow acceleration isn't particularly out of the ordinary in the subcompact and compact crossover class.