Fuji Heavy Industries Ltd. posted a four-fold increase in operating profit in its first fiscal quarter ended June 30, 2013, to JPY69.64 billion ($739.6 million) compared to JPY17.33 billion ($184.05 million) a year earlier, thanks to strong sales of its Subaru unit in North America. The company logged a 28-percent jump in global revenues to JPY546.9 billion ($5.81 billion) in the quarter.
The results were the highest quarterly operating profit and revenues that Fuji Heavy has achieved in its history. Subaru recorded a 30-percent surge in sales in North America in the April-June fiscal first quarter to 116,000 units. The carmaker posted an 11-percent hike in overseas unit sales 150,000 vehicles. Subaru managed to log a 15-percent jump in worldwide sales to 191,000 vehicles.
Fuji Heavy is expecting sales in North America to gain 8 percent to 420,000 vehicles in the current fiscal year ending March 31, 2014, accounting for over half of the Subaru's global sales.
Fuji Heavy is expecting its global sales to gain 4 percent in the current fiscal year to 752,000 units. Following refusal by the Chinese government to let Fuji Heavy commence production in the country, Fuji Heavy has redoubled its focus on North America. Subaru is currently one of the few global carmakers having no output in China.
Fuji Heavy President Yasuyuki Yoshinaga had aimed to make China its third manufacturing base after Japan and the US. Executive Vice President Mitsuru Takahashi disclosed at the July 31 earnings announcement that US sales accounted for almost all of the North American figures. [source: Subaru]