Berkshire shares dip after earnings decline, lack of buybacks disappoint investors

## Berkshire Hathaway’s Earnings Dip: What’s Happening with Buffett’s Empire?

Here’s a quick rundown of the latest news from Warren Buffett’s Berkshire Hathaway:

  • Operating Earnings Down: Berkshire Hathaway’s operating earnings decreased by 4% in the second quarter, reaching $11.16 billion. This was primarily due to a decline in insurance underwriting profits, despite gains in other sectors like railroads and manufacturing.
  • Stock Performance: Both Class A and B shares of Berkshire Hathaway experienced a drop of over 2% following the earnings report. The stock is down about 12% from its peak in early May.
  • Kraft Heinz Write-Down: Berkshire recorded a significant $3.8 billion loss on its Kraft Heinz stake, reflecting the underperformance of the consumer goods company. This comes amid reports of a potential spinoff of Kraft Heinz’s grocery business.
  • Cash Hoard Remains High: Buffett’s cash reserves are still near a record high, at $344.1 billion.
  • Stock Selling Continues: Berkshire Hathaway continued its trend of selling stocks, offloading $4.5 billion in equities in the first half of 2025.
  • No Share Repurchases: The company did not repurchase any of its own shares during the first half of 2025.
  • Analyst Perspective: Analysts are hoping for increased investment activity, a major acquisition, and share repurchases to boost the stock’s performance.

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Source: https://www.cnbc.com/2025/08/04/berkshire-shares-dip-after-earnings-decline-lack-of-buybacks-disappoint-investors-.html

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