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Subaru cuts annual profit outlook on strength of yen, typhoon impact

TOKYO — Subaru lowered its annual profit forecast on expectations of a stronger yen and the impact on production from a typhoon last month, driving its shares down as much as 4.5%. Japan's smallest major automaker, one fifth of which is owned by top-ranked Toyota, cut its forecast for operating profit to 220 billion yen ($2 billion) for the year ending March 2020, from a previous forecast of 260 billion yen. Subaru revised its forecast for the yen to average 107 versus the dollar over the period, from 110 previously. A stronger currency eats into profits because cars exported from Japan become more expensive and the value of earnings made overseas decreases. The United States is Subaru's biggest market, accounting for about 60% of overall sales. Typhoon Hagibis forced Subaru to halt production at its factories in Gumna, north of Tokyo, for more than a week in October due to supply chain disruptions. The stoppage, which lasted until Oct. 25, resulted in lost production of 11,000 vehicles, Chief Executive Officer Tomomi Nakamura told a briefing in Tokyo on Wednesday. Hagibis was the worst typhoon to hit Japan in decades, leaving at least 80 people dead, according to national broadcaster NHK. "We have restarted production, but we couldn't return to full capacity immediately," Nakamura said. "Some of our suppliers' factories were completely submerged." Subaru also said vehicle sales rose nearly 20% in the first half of the fiscal year compared with a year earlier, driven almost entirely by an improvement in the United States amid strong demand for the Forester SUV crossover. Subaru shares were down 1% at 3,102 yen by 0440 GMT, after touching a low of 2,995.5 yen earlier.

2018 Subaru Crosstrek still gets a manual transmission in the US

When Subaru revealed the next generation Crosstrek, known as the XV in Europe, at the Geneva show, the company only announced the inclusion of a CVT. Fortunately, American Crosstrek buyers will still have the option to operate a clutch and shifter for themselves. It even comes with an extra gear compared with the previous generation, for a total of six cogs. The 6-speed manual will be standard equipment on base and Premium Crosstrek 2.0i models. Subaru's offering of a manual will also allow drivers to make the most of the 152 horsepower the direct-injected 2.0-liter engine makes. However, if you do still desire an automatic option, the European CVT is available as an option on base and Premium trim. It's also standard on the Limited model. The CVT can be manually shifted, too, with seven set ratios to choose from. Only the CVT is available with Subaru's "X-Mode," which incorporates hill-descent control. Regardless of configuration, every Crosstrek comes with standard alloy wheels and a touchscreen infotainment system with Apple CarPlay and Android Auto. Moving up to Premium adds a leather-wrapped steering wheel and shifter, along with an option for a sunroof. The decked-out Limited model comes with LED headlights that illuminate corners, power leather seats, keyless entry and start, and a larger 8-inch infotainment screen. Subaru also offers various driver assists on different trims including the EyeSight system with adaptive cruise control, automatic emergency braking, and lane departure warning. Pricing for the Crosstrek hasn't been announced, but the model will arrive at dealers this summer and will be on display at the New York auto show. Related Video:

Subaru announces 2019 BRZ pricing, new Series.Gray limited edition

Subaru has announced the pricing of the 2019 model year BRZ coupe, along with a new limited edition version. A 250-unit Series.Gray edition will be offered as the top version. The cheapest BRZ trim level, yet called Premium, starts at $25,795 for 2019. That is a $200 bump from 2018, and changes include a standard rear-view camera, welcome lighting for approaching or exiting the vehicle, and dual USB ports. Otherwise the equipment list largely reads like the 2018 BRZ's the $28,645 Limited trim gets an updated seven-inch multimedia system which now gets over-the-air WiFi updates. As for the $30,140 Series.Gray edition, it can be recognized from the edition-specific Cool Gray Khaki hue, which is the same color as on a limited edition of the Japan-only BRZ STI Sport unveiled at last year's Tokyo Motor Show. Essentially, the Series.Gray is based on the Limited trim level, with the $1,195 Performance Package on top that adds improved Brembo brakes front and rear, along with Sachs sports shocks. 17-inch black wheels are included, as well as different interior stitching and an improved rear-view mirror; outside mirrors have a different, crystal black finish. Meanwhile in Japan, the BRZ has also been updated slightly for 2019. While the exterior hasn't changed much, the car has gained small rear wheel arch fins to control aerodynamics more efficiently, and the shock absorbers have been changed to improve the car's handling further. Related Video: