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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.

Junkyard Gem: 1984 Subaru GL 4WD Wagon, Colorado Stereotypes Edition

I live in Denver, which means my local junkyards are well-stocked with used-up Subarus. These days, that means mostly Outbacks from the 1995-2005 period, but sufficient 1970s and 1980s Subarus remain in service that they show up from time to time. Here, in a Denver self-service yard, is a second-generation Leone wagon, from the era when this car was called just "the Subaru" in the American market. It appears that this car's final owner named it The Little D. Right next to the rag being used as a gas cap, a Yoda-ized Steal Your Face skull. This sticker from Incredible Extracts is easy to find in and on the cars in Denver-area wrecking yards. Someone made a pretty good Hunter S. Thompson stencil for the right-hand rear side glass. Neither of the two other members of the Male Hipster Holy Trinity (Kerouac and Bukowski) are to be found here, but then those two didn't live in Colorado. Anonymous is everywhere, even the junkyard. In 1984, the GL was the top trim level of the Subaru wagon, and the MSRP on this car was $8,168. That's about 19 grand in 2017 dollars. The going rate for a hooptie '84 GL wagon in 2017 is about $250. This car has manually-actuated four-wheel-drive, rather than the center-differential-equipped all-wheel-drive you'll get with your 21st-century Subaru. This meant that drivers were supposed to use front-wheel-drive on dry asphalt and four-wheel-drive on snow or dirt, but many didn't understand the concept and tore up their tires and/or powertrains by running 4WD at all times. These cars would get you to the slopes every time, and they'd do it cheaply enough for you to afford your preferred intoxicants once you got there. This car's 34 years on the road are done, but many of its kind remain. Related video:

Toyota Corolla Cross, Audi Q4 Sportback E-Tron and which beers are like which cars | Autoblog Podcast #635

In this week's Autoblog Podcast, Editor-in-Chief Greg Migliore is joined by Consumer Editor Jeremy Korzeniewski and Senior Editor, Green, John Beltz Snyder. They're thirsty this week, but first, they talk about the Subaru Forester and Lexus NX they've been driving. They dig into the news about the Toyota Corolla Cross, Audi Q4 Sportback E-Tron and J.D. Power's surprising Initial Quality Study results. A longtime Autoblog Podcast listener suggested our editors try to relate some of their favorite beers to their favorite cars, and they happily oblige. Finally, they help a listener choose a new car in the "Spend My Money" segment. Autoblog Podcast #635 Get The Podcast iTunes – Subscribe to the Autoblog Podcast in iTunes RSS – Add the Autoblog Podcast feed to your RSS aggregator MP3 – Download the MP3 directly Rundown Cars we're driving Long-term 2019 Subaru Forester 2020 Lexus NX 300h News Toyota Corolla Cross is headed our way Audi Q4 Sportback E-Tron concept revealed Dodge and Kia lead J.D. Power 2020 Initial Quality Study Cars and their beer counterparts Spend My Money Feedback Email – Podcast@Autoblog.com Review the show on iTunes Show full video transcript text - Hey, everybody. This is Autoblog Podcast producer Eric here. I'm just hopping in quickly at the beginning of the episode to let you know that this episode of the Autoblog Podcast is brought to you by these SoFi Daily Podcast. Reaching financial independence starts with having the right information. So every weekday morning, SoFi keeps you up to date with important business news and stock market happenings and how they affect your financial life. So get your money right and search for SoFi-- that's S-O-F-I-- wherever you get your podcasts. On with the show. [THEME MUSIC] [ENGINE REVVING] [CAR DRIVES AWAY] GREG MIGLIORE: Hello, and welcome to another episode of the Autoblog Podcast. I am Greg Migliore. We have a great show for you today on this hot, sizzling Thursday afternoon in July. Joining me today is senior editor for all things green, John Snyder. What's up, man? JOHN BELTZ SNYDER: Hey. Just trying to beat the heat with some iced coffee today. GREG MIGLIORE: Sounds good, sounds good. My coffee is just cold because I haven't microwaved it in a while. And chuckling at that remark-- charitably, I guess-- is consumer editor Jeremy Korzeniewski. How you doing? JEREMY KORZENIEWSKI: I'm doing good. I-- I mean, unlike you guys, I stopped drinking coffee about an hour ago.