Buffett's Empire Swells: Profit Up, Cash Hoard Hits Record

Berkshire Hathaway Reports Increased Profit, Record Cash OMAHA, Nebraska, May 2 – Berkshire Hathaway Inc. reported an 18% increase in first-quarter operating profit to $11.35 billion, or $7,891 per Class A share, from $9.64 billion a year prior, despite economic uncertainty impacting several consumer-oriented businesses. The conglomerate, now led by Greg Abel, also disclosed a record cash reserve approaching $400 billion, reflecting challenges in identifying suitable investment opportunities.

Net income, which includes common stock investments, more than doubled to $10.1 billion, or $7,027 per Class A share, from $4.6 billion. The company repurchased $234 million of its own stock during the quarter, marking its first buybacks since May 2024. Cash holdings reached $397.4 billion by the end of March, influenced by a prolonged period without major acquisitions and the sale of significant stock holdings, including Apple.

Berkshire's insurance operations saw a 4% profit increase to $4.4 billion, despite a 35% decline in pre-tax underwriting profit at Geico due to increased accident claims and marketing expenses. Profit from BNSF railroad rose 13% to $1.38 billion, driven by higher demand for shipping grains and petroleum products.

Manufacturing, service, and retail operations recorded a 5% profit increase to $3.2 billion, while Berkshire Hathaway Energy's profit grew 2% due to increased natural gas pipeline revenue.