Mexican Media Brands
Subaru’s Quarterly Revenue, Profits Jump
Subaru Corp. reports big gains in revenue and operating profit, thanks to booming demand for its all-wheel-drive vehicles in the U.S.
#economics
Share
Subaru Corp. reports big gains in revenue and operating profit, thanks to booming demand for its all-wheel-drive vehicles in the U.S.
Revenue climbed 16% to 833 billion yen ($7.8 billion), as unit sales expanded 9% to 263,000 units.
Subaru’s operating profit in the fiscal first quarter ended June 31 zoomed 48% to 92 billion yen ($867 million). Net profit climbed 40% to 66.6 billion yen ($628 million).
Results this year compare with a previous 12-month period marked by large recalls, production disruptions and a safety inspection scandal in Japan that cut operating and net income by 49% and 33%, respectively.
Subaru confirms earlier guidance that it expects its worldwide sales will reach 1.06 million units this year compared with 1.00 million in 2018. The company also expects revenue to grow 3% and operating profit to surge by one-third.
RELATED CONTENT
-
China and U.S. OEMs
When Ford announced its 3rd quarter earning on October 24, the official announcement said, in part, “Company revenue was up 3 percent year over year, with net income and company adjusted EBIT both down year over year, primarily driven by continued challenges in China.” The previous day, perhaps as a preemptive move to answer the question “If things are going poorly in China, what are you doing about it?, Ford announced that it was establishing Ford China as a stand-alone business unit.
-
VW Warns of Higher Costs to Develop EVs
CEO Herbert Diess says the €20 billion ($23 billion) Volkswagen AG has budgeted to electrify its entire vehicle lineup won’t be enough to meet that goal.
-
Ford’s $42 Billion Cash Cow
F-Series pickups generate about 30% of the carmaker’s revenue. The tally is about twice as much as what McDonald’s pulls in.