Subaru raises profit outlook as U.S. market rebounds more than expected
Subaru Corp 7270.T raised its operating profit forecast on Wednesday by more than a third to 110 billion yen ($1.05 billion) because U.S. vehicle sales rebounded more than it expected after the coronavirus pandemic hurt demand.
Like other automakers, Subaru, which sells two-thirds of its cars in the United States, had to shutter vehicle factories earlier in the year as the coronavirus spread. Customers also stayed away from dealerships leading to a drop in production and sales.
The maker of Outback and Forester sport-utility vehicle crossovers said last month it doesn’t expect the U.S. market to rebound to the 17 million vehicle level it had been at before the pandemic for two to three years.
In the three months to Sept. 30 Subaru posted an operating profit of 46.3 billion yen compared with a 2.6 billion yen profit a year ago.
