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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

We drive a Subaru to one of the world's largest glaciers

Now that we're back from Patagonia, senior video producer Chris McGraw is emptying out his camera memory and putting together a number of short clips showing the various places we visited along the journey. (Yes, we wanted to upload these last week, but had little to no wifi connectivity along the way.) In this latest video, we bring you the sights from our trip to the Perito Moreno Glacier in Argentina, and a look at the roads leading into Chile. Our chariot for what was actually Day 3 of the trip was a Subaru Forester, which had no problem tackling the rough dirt and gravel roads through Patagonia, and was an excellent cruiser for the twisty paved roads leading into the Andes mountain range. The Perito Moreno Glacier is massive – roughly three times the size of Manhattan – and is one of only a few glaciers in Patagonia that's still growing. It is truly an awesome sight – one that's hard to describe, because when you see it, you just sort of stand there, mouth agape, fascinated. We've got a few more clips in the works, including our full Patagonia feature video. Stay tuned, and enjoy the view.

Subaru beefs up new Exiga Crossover 7 in Japan

While we wait for Subaru to roll out a replacement for the troubled Tribeca crossover here in North America, in other markets the Japanese automaker continues to introduce other wagons of varying heights and capacities. Like the Levorg wagon offered in Japan and soon to be introduced in Europe, or the new Exiga Crossover 7 announced for the company's domestic market. We first caught a glimpse of the Exiga in concept form way back at the 2007 Tokyo Motor Show, and the seven-seat wagon entered production the following year. What sets this version apart is its higher stance, transforming it into a pseudo-crossover in similar fashion to how the Outback transformed the Legacy or the XV Crosstrek builds upon the Impreza. It's based on the same platform as well, and retains the existing Exiga's seven-seat cabin, with three rows of seating that fold down to make the interior volume adaptable to whatever needs might arise. The crossover version also rides higher on 17-inch wheels, with reinforced lower bodywork, a larger front grille and roof rails to give it a more rugged look. Power comes in the form of a 2.5-liter boxer four, mated to a continuously variable transmission and driving 171 horsepower to all four wheels in typical Subaru style. Fuji Heavy figures it will sell around 600 of these every month in Japan, but it looks unlikely to export it to other markets - least of all our own. Jacked up and ruggedized though it may be, our sources at Subaru tell us this vehicle is too small to have anything to do with the Tribeca replacement we've been waiting for and which promises to be a fair bit larger to suit American tastes. (Google-translated) Subaru new "CROSSOVER 7 (crossover Seven)" released April 16, 2015 Fuji Heavy Industries, the crossover model "CROSSOVER 7" of the new genre of "urban SUV x multiplayer car" (official name: "EXIGA CROSSOVER 7") the will be released today. CROSSOVER 7, the interior and exterior that incorporates elements of fashion and authentic SUV, all-weather AWD performance of Subaru unique, combines the 7-seater of packaging full of airy, is the new crossover model. You can also use in a variety of applications, and new proposal as "7-seater SUV" to achieve an active lifestyle.